Arena REITASX:ARF +0.31%85 Return-on-Tangible-Asset is 11.48% as of Dec. 2025, which is 26% above its 10-year median of 9.08. GuruFocus rates ASX:ARF with a GF Score™ of 85/100 and a GF Value™ of A$3.53 (Fairly Valued). The stock has 5 warning signs investors should review. Among 936 REITs companies, Arena REIT ranks better than 81.62% on this metric.
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Arena REIT's annualizedNet Income for the quarter that ended in Dec. 2025 was A$219.3 Mil. Arena REIT's average total tangible assets for the quarter that ended in Dec. 2025 was A$1,910.5 Mil. Therefore, Arena REIT's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was 11.48%.
The historical rank and industry rank for Arena REIT's Return-on-Tangible-Asset or its related term are showing as below:
ASX:ARF'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 3.63 Med: 9.08 Max: 25.24
Current: 8.31
During the past 13 years, Arena REIT's highest Return-on-Tangible-Asset was 25.24%. The lowest was 3.63%. And the median was 9.08%.
ASX:ARF's Return-on-Tangible-Asset is ranked better than 81.62% of 936
companies
in the REITs industry
Industry Median: 3.25
vs ASX:ARF: 8.31
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset 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 Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
Arena REIT Return-on-Tangible-Asset Related Terms
Arena REIT Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Arena REIT's Return-on-Tangible-Asset 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.
ASX:ARF vs EQIX, AMT, DLR: Return-on-Tangible-Asset Comparison
For the REIT - Specialty subindustry, Arena REIT's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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.
Arena REIT Return-on-Tangible-Asset vs REITs Industry
For the REITs industry and Real Estate sector, Arena REIT's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Arena REIT's Return-on-Tangible-Asset falls into.
* 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 Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is two times the semi-annual (Dec. 2025) net income data.
What does a Return-on-Tangible-Asset of 11.48% mean?
Arena REIT (ASX:ARF) has a Return-on-Tangible-Asset of 11.48% as of Dec. 2025. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Arena REIT and its competitors. This is 26% above median its historical median of 9.08. Over the past decade, Arena REIT's Return-on-Tangible-Asset has ranged from 3.63 to 25.24. According to the industry distribution chart, Arena REIT ranks #172 out of 936 companies in the REITs industry, placing it in the top 18.4%.
Is Arena REIT's Return-on-Tangible-Asset too high?
Arena REIT's current Return-on-Tangible-Asset of 11.48% is 26% above median its 10-year median of 9.08. Over the past 10 years, this metric has ranged from a low of 3.63 to a high of 25.24. The REITs industry median Return-on-Tangible-Asset is 3.25. Arena REIT's value of 11.48% is 253.2% above this industry median. Based on the distribution chart, Arena REIT ranks #172 out of 936 companies in the REITs industry, which is in the top quartile — a strong position relative to peers. Overall, Arena REIT has a GF Score™ of 85/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Arena REIT's Return-on-Tangible-Asset compare to EQIX and AMT?
According to the REITs industry distribution chart, Arena REIT ranks #172 out of 936 companies for Return-on-Tangible-Asset. This places Arena REIT in the top 18% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.25. Arena REIT's value of 11.48% is 253.2% above this benchmark. Historically, Arena REIT's own Return-on-Tangible-Asset has ranged from 3.63 to 25.24 over the past decade. While the company's 10-year median is 9.08 vs. the industry median of 3.25, Arena REIT has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Asset for a REITs company?
The median Return-on-Tangible-Asset among REITs companies is 3.25, based on 936 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Arena REIT's current Return-on-Tangible-Asset of 11.48% is 253.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Arena REIT and its competitors. For the REITs industry, the median Return-on-Tangible-Asset is 3.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arena REIT's current Return-on-Tangible-Asset is 11.48%, which is 26% above median its own 10-year median of 9.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arena REIT stock overvalued right now?
Based on GuruFocus' analysis, Arena REIT (ASX:ARF) is currently considered Fairly Valued. The stock's GF Value™ is A$3.53, compared to a current price of A$3.24 — trading 8.2% below its estimated fair value. The current Return-on-Tangible-Asset is 11.48%, which is 26% above median its 10-year median of 9.08 and 253.2% above the REITs industry median of 3.25. Arena REIT's overall GF Score™ is 85/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For Arena REIT (ASX:ARF), the current Return-on-Tangible-Asset is 11.48% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Arena REIT (ASX:ARF) Overvalued in 2026?
Based on GuruFocus' analysis, Arena REIT stock appears to be undervalued.
The current stock price of A$3.24 is trading 8.2% below its estimated GF Value™ of A$3.53.
GuruFocus considers Arena REIT to be Fairly Valued.
Key valuation signals for ASX:ARF:
Return-on-Tangible-Asset: 11.48% (26% above median its 10-year median of 9.08)
GF Value™: A$3.53 vs. price of A$3.24 (8.2% below fair value)
Industry Position: 253.2% above the REITs median (#172 of 936)
No single metric tells the full story. See the ASX:ARF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arena REIT is an internally managed Australian property trust. The REIT specializes in leasing social infrastructure properties, with close to 300 childcare centers and about a dozen healthcare facilities in its portfolio. Typically, tenants enter into long-term leases with inflation-linked or fixed rental escalations every year. All leases are "triple net," meaning tenants pay for all statutory and operating outgoings and costs, such as land tax, insurance, electricity, and maintenance. The tenant profile is concentrated—almost three quarters of rents are generated from the top five tenants. Arena actively grows its property book through acquisitions and developments, and historically added on average 10 sites, net of divestments, per year.
85GF Score
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