ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Applied Aerospace & Defense's annualizedNet Income for the quarter that ended in Dec. 2025 was $-49.0 Mil.
Applied Aerospace & Defense's average Total Assets over the quarter that ended in Dec. 2025 was $974.5 Mil. Therefore, Applied Aerospace & Defense's annualized ROA % for the quarter that ended in Dec. 2025 was -5.03%.
The historical rank and industry rank for Applied Aerospace & Defense's ROA % or its related term are showing as below:
AADX'
s ROA % Range Over the Past 10 Years
Min: -5.03 Med: -4.35 Max: -3.66
Current: -5.03
During the past 2 years, Applied Aerospace & Defense's highest ROA % was -3.66%. The lowest was -5.03%. And the median was -4.35%.
AADX's ROA % is ranked worse than 76.04% of 359
companies
in the Aerospace & Defense industry
Industry Median: 2.46
vs AADX: -5.03
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:
Note:
The Net Income data used here is one times the annual (Dec. 2025) net income data. The Revenue data used here is one times the annual (Dec. 2025) 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.
* 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.
Applied Aerospace & Defense ROA % Chart
Applied Aerospace & Defense Annual Data
Trend
Dec24
Dec25
ROA %
-3.66
-5.03
Applied Aerospace & Defense Semi-Annual Data
Dec24
Dec25
ROA %
-3.66
-5.03
AADX vs YSS, ACHR, LUNR: ROA % Comparison
For the Aerospace & Defense subindustry, Applied Aerospace & Defense'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.
Applied Aerospace & Defense ROA % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Applied Aerospace & Defense's ROA % distribution charts can be found below:
* The bar in red indicates where Applied Aerospace & Defense's ROA % 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 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 one times the annual (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Applied Aerospace & Defense (AADX) has a ROA % of -5.03% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Applied Aerospace & Defense and its competitors. According to the industry distribution chart, Applied Aerospace & Defense ranks #273 out of 359 companies in the Aerospace & Defense industry, placing it in the top 76%.
Is Applied Aerospace & Defense's ROA % too high?
Applied Aerospace & Defense's current ROA % is -5.03%. Based on the distribution chart, Applied Aerospace & Defense ranks #273 out of 359 companies in the Aerospace & Defense industry, which is in the bottom quartile relative to peers. Overall, Applied Aerospace & Defense has a GF Score™ of 11/100, reflecting its overall financial health beyond just this single metric.
How does Applied Aerospace & Defense's ROA % compare to YSS and ACHR?
According to the Aerospace & Defense industry distribution chart, Applied Aerospace & Defense ranks #273 out of 359 companies for ROA %. This places Applied Aerospace & Defense in the lower half of its industry. The industry median ROA % is 2.46. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for an Aerospace & Defense company?
The median ROA % among Aerospace & Defense companies is 2.46, based on 359 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Applied Aerospace & Defense and its competitors. For the Aerospace & Defense industry, the median ROA % is 2.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Applied Aerospace & Defense's current ROA % is -5.03%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Applied Aerospace & Defense stock overvalued right now?
Applied Aerospace & Defense (AADX) has a current ROA % of -5.03%. The current ROA % is -5.03%. Applied Aerospace & Defense's overall GF Score™ is 11/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Applied Aerospace & Defense (AADX), the current ROA % is -5.03% 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.
Applied Aerospace & Defense Inc specializes in providing engineering and vertically integrated manufacturing solutions for space and defense technology companies. The company builds complex hardware for extreme operating environments, combining deep material science and IP-enabled process expertise with the ability to enable rapid prototyping, enhance new product development, and responsively scale production. The majority of the company's revenue is derived from the sales of Defense Aviation and Airborne Systems, followed by Space and Launch Systems, C5ISR and Precision Strike Systems.
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