MO has been successfully added to your Stock Email Alerts list.
You can manage your stock email alerts here.
MO has been removed from your Stock Email Alerts list.
Please enter Portfolio Name for new portfolio.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Altria Group's annualized Net Income for the quarter that ended in Mar. 2024 was $8,516 Mil. Altria Group's average Total Assets over the quarter that ended in Mar. 2024 was $37,523 Mil. Therefore, Altria Group's annualized ROA % for the quarter that ended in Mar. 2024 was 22.70%.
The historical rank and industry rank for Altria Group's ROA % or its related term are showing as below:
During the past 13 years, Altria Group's highest ROA % was 36.80%. The lowest was -2.47%. And the median was 14.85%.
The historical data trend for Altria Group's ROA % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Altria Group Annual Data | |||||||||||||||||||||
Trend | Dec14 | Dec15 | Dec16 | Dec17 | Dec18 | Dec19 | Dec20 | Dec21 | Dec22 | Dec23 | |||||||||||
ROA % | Get a 7-Day Free Trial | -2.47 | 9.24 | 5.69 | 15.07 | 21.53 |
Altria Group Quarterly Data | ||||||||||||||||||||
Jun19 | Sep19 | Dec19 | Mar20 | Jun20 | Sep20 | Dec20 | Mar21 | Jun21 | Sep21 | Dec21 | Mar22 | Jun22 | Sep22 | Dec22 | Mar23 | Jun23 | Sep23 | Dec23 | Mar24 | |
ROA % | Get a 7-Day Free Trial | 19.38 | 22.89 | 23.54 | 21.96 | 22.70 |
For the Tobacco subindustry, Altria Group's ROA %, along with its competitors' market caps and ROA % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
For the Tobacco Products industry and Consumer Defensive sector, Altria Group's ROA % distribution charts can be found below:
* The bar in red indicates where Altria Group's ROA % falls into.
Altria Group's annualized ROA % for the fiscal year that ended in Dec. 2023 is calculated as:
ROA % | = | Net Income (A: Dec. 2023 ) | / | ( (Total Assets (A: Dec. 2022 ) | + | Total Assets (A: Dec. 2023 )) | / count ) |
= | 8130 | / | ( (36954 | + | 38570) | / 2 ) | |
= | 8130 | / | 37762 | ||||
= | 21.53 % |
Altria Group's annualized ROA % for the quarter that ended in Mar. 2024 is calculated as:
ROA % | = | Net Income (Q: Mar. 2024 ) | / | ( (Total Assets (Q: Dec. 2023 ) | + | Total Assets (Q: Mar. 2024 )) | / count ) |
= | 8516 | / | ( (38570 | + | 36475) | / 2 ) | |
= | 8516 | / | 37522.5 | ||||
= | 22.70 % |
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Mar. 2024) net income data. ROA % is displayed in the 30-year financial page.
Altria Group (NYSE:MO) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
ROA % | (Q: Mar. 2024 ) | ||
= | Net Income | / | Total Assets |
= | 8516 | / | 37522.5 |
= | (Net Income / Revenue) | * | (Revenue / Total Assets) |
= | (8516 / 18868) | * | (18868 / 37522.5) |
= | Net Margin % | * | Asset Turnover |
= | 45.13 % | * | 0.5028 |
= | 22.70 % |
Note: The Net Income data used here is four times the quarterly (Mar. 2024) net income data. The Revenue data used here is four times the quarterly (Mar. 2024) revenue data.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Thank you for viewing the detailed overview of Altria Group's ROA % provided by GuruFocus.com. Please click on the following links to see related term pages.
Clarke Ian L.t. | director | 6601 W BROAD ST, RICHMOND VA 23230 |
Robert Matthew Davis | director | 6601 W. BROAD STREET, RICHMOND VA 23230 |
Jacinto J Hernandez | director | 777 HIDDEN RIDGE, IRVING TX 75038 |
Mario Max Yzaguirre | director | 1515 WEST 190TH STREET, SUITE 275, GARDENA CA 90248 |
Marjorie Mary Connelly | director | 2580 PALMER DR, KESWICK VA 22947 |
Ellen R Strahlman | director | ALTRIA GROUP, INC., 6601 W. BROAD STREET, RICHMOND VA 23230 |
Nabil Y Sakkab | director | 6601 WEST BROAD STREET, RICHMOND VA 23230 |
Virginia E Shanks | director | 4170 CAUGHLIN PARKWAY, RENO NV 89519 |
Casteen John T Iii | director | 301 S. COLLEGE STREET, 30TH FLOOR, NC0630, CHARLOTTE NC 28288-0630 |
Kathryn B. Mcquade | director | 6601 WEST BROAD STREET, RICHMOND VA 23230 |
Kiely W Leo Iii | director | |
Mark Newman | director | 1011 WARRENVILLE ROAD, SUITE 600, LISLE IL 60532 |
Kelly Ennis Debra J | director | 4405 A INTERNATIONAL BLVD, NORCROSS GA 30093 |
Surgner W Hildebrandt Jr | officer: VP, Corp. Sec'y & Assoc. GC | 6601 WEST BROAD STREET, RICHMOND VA 23230 |
Daniel J Bryant | officer: Vice President & Treasurer | 6601 WEST BROAD STREET, RICHMOND VA 23230 |
From GuruFocus
By GuruFocus Research • 01-23-2024
By GuruFocus Research • 01-23-2024
By GuruFocus Research • 01-23-2024
By GuruFocus Research • 01-23-2024
By GuruFocus Research • 01-23-2024
By GuruFocus Research • 01-23-2024
By GuruFocus Research • 01-23-2024
By GuruFocus Research • 01-23-2024
By Business Wire • 01-18-2024
By GuruFocus Research • 01-23-2024
Disclaimers: GuruFocus.com is not operated by a broker or a dealer. It has an affiliated registered investment adviser, which serves as the subadviser to an exchange traded fund. This investment adviser does not provide advice to individual investors. Under no circumstances does any information posted on GuruFocus.com represent a recommendation to buy or sell a security. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The individuals or entities selected as "gurus" may buy and sell securities before and after any particular article and report and information herein is published, with respect to the securities discussed in any article and report posted herein. Gurus may be added or dropped from the GuruFocus site at any time. In no event shall GuruFocus.com be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or available on GuruFocus.com, or relating to the use of, or inability to use, GuruFocus.com or any content, including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. The gurus listed in this website are not affiliated with GuruFocus.com, LLC. Stock quotes provided by InterActive Data. Fundamental company data provided by Morningstar, updated daily.