GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Travel & Leisure » The Stars Group Inc (NAS:TSG) » Definitions » ROA %

The Stars Group (The Stars Group) ROA % : 2.93% (As of Dec. 2019)


View and export this data going back to 2015. Start your Free Trial

What is The Stars Group ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. The Stars Group's annualized Net Income for the quarter that ended in Dec. 2019 was $326 Mil. The Stars Group's average Total Assets over the quarter that ended in Dec. 2019 was $11,134 Mil. Therefore, The Stars Group's annualized ROA % for the quarter that ended in Dec. 2019 was 2.93%.

The historical rank and industry rank for The Stars Group's ROA % or its related term are showing as below:

TSG' s ROA % Range Over the Past 10 Years
Min: -7.16   Med: 0.17   Max: 4.77
Current: 0.56

During the past 13 years, The Stars Group's highest ROA % was 4.77%. The lowest was -7.16%. And the median was 0.17%.

TSG's ROA % is not ranked
in the Travel & Leisure industry.
Industry Median: 2.245 vs TSG: 0.56

The Stars Group ROA % Historical Data

The historical data trend for The Stars 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.

* Premium members only.

The Stars Group ROA % Chart

The Stars Group Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.56 2.45 4.77 -1.23 0.56

The Stars Group Quarterly Data
Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -1.39 0.99 0.17 -1.86 2.93

Competitive Comparison of The Stars Group's ROA %

For the Gambling subindustry, The Stars 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.


The Stars Group's ROA % Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, The Stars Group's ROA % distribution charts can be found below:

* The bar in red indicates where The Stars Group's ROA % falls into.



The Stars Group ROA % Calculation

The Stars Group's annualized ROA % for the fiscal year that ended in Dec. 2019 is calculated as:

ROA %=Net Income (A: Dec. 2019 )/( (Total Assets (A: Dec. 2018 )+Total Assets (A: Dec. 2019 ))/ count )
=62.822/( (11265.538+11275.782)/ 2 )
=62.822/11270.66
=0.56 %

The Stars Group's annualized ROA % for the quarter that ended in Dec. 2019 is calculated as:

ROA %=Net Income (Q: Dec. 2019 )/( (Total Assets (Q: Sep. 2019 )+Total Assets (Q: Dec. 2019 ))/ count )
=325.804/( (10992.815+11275.782)/ 2 )
=325.804/11134.2985
=2.93 %

* 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 (Dec. 2019) net income data. ROA % is displayed in the 30-year financial page.


The Stars Group  (NAS:TSG) 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 bank’s 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: Dec. 2019 )
=Net Income/Total Assets
=325.804/11134.2985
=(Net Income / Revenue)*(Revenue / Total Assets)
=(325.804 / 2751.848)*(2751.848 / 11134.2985)
=Net Margin %*Asset Turnover
=11.84 %*0.2472
=2.93 %

Note: The Net Income data used here is four times the quarterly (Dec. 2019) net income data. The Revenue data used here is four times the quarterly (Dec. 2019) 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.


The Stars Group ROA % Related Terms

Thank you for viewing the detailed overview of The Stars Group's ROA % provided by GuruFocus.com. Please click on the following links to see related term pages.


The Stars Group (The Stars Group) Business Description

Traded in Other Exchanges
N/A
Address
200 Bay Street, Royal Bank Plaza, South Tower, Suite 3205, Toronto, ON, CAN, M5J 2J3
The Stars Group Inc is an online and mobile gaming company with poker, gaming, and betting product offerings. These products are offered both, directly and indirectly, under-owned or licensed gaming brands, and the company also owns several live poker tour and events brands. The firm's primary sources of revenue are its online gaming businesses. The company has three segments based on geography: International, United Kingdom, and Australia. Stars Group generates the majority of its revenue from the International segment.