Atlantic AmericanAAME -2.30%63 ROA % is 0.54% as of Sep. 2025, which is 13% below its 10-year median of 0.62. GuruFocus rates AAME with a GF Score™ of 63/100 and a GF Value™ of $2.04 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 508 Insurance companies, Atlantic American ranks worse than 68.9% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Atlantic American's annualizedNet Income for the quarter that ended in Sep. 2025 was $2.3 Mil.
Atlantic American's average Total Assets over the quarter that ended in Sep. 2025 was $430.1 Mil. Therefore, Atlantic American's annualized ROA % for the quarter that ended in Sep. 2025 was 0.54%.
The historical rank and industry rank for Atlantic American's ROA % or its related term are showing as below:
AAME'
s ROA % Range Over the Past 10 Years
Min: -1.1 Med: 0.62 Max: 3.11
Current: 1.26
During the past 13 years, Atlantic American's highest ROA % was 3.11%. The lowest was -1.10%. And the median was 0.62%.
AAME's ROA % is ranked worse than 68.9% of 508
companies
in the Insurance industry
Industry Median: 2.7
vs AAME: 1.26
Atlantic American (NAS:AAME) 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:
Note:
The Net Income data used here is four times the quarterly (Sep. 2025) net income data. The Revenue data used here is four times the quarterly (Sep. 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.
Atlantic American ROA % Related Terms
Atlantic American ROA % Historical Data
* Premium members only.
The historical data trend for Atlantic American'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.
For the Insurance - Life subindustry, Atlantic American'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.
Atlantic American ROA % vs Insurance Industry
For the Insurance industry and Financial Services sector, Atlantic American's ROA % distribution charts can be found below:
* The bar in red indicates where Atlantic American'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 four times the quarterly (Sep. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Atlantic American (AAME) has a ROA % of 0.54% as of Sep. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Atlantic American and its competitors. This is 13% below median its historical median of 0.62. According to the industry distribution chart, Atlantic American ranks #350 out of 508 companies in the Insurance industry, placing it in the top 68.9%.
Is Atlantic American's ROA % too high?
Atlantic American's current ROA % of 0.54% is 13% below median its 10-year median of 0.62. The Insurance industry median ROA % is 2.70. Atlantic American's value of 0.54% is 80% below this industry median. Based on the distribution chart, Atlantic American ranks #350 out of 508 companies in the Insurance industry, which is below the industry midpoint. Overall, Atlantic American has a GF Score™ of 63/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Atlantic American's ROA % compare to UTGN and AFL?
According to the Insurance industry distribution chart, Atlantic American ranks #350 out of 508 companies for ROA %. This places Atlantic American in the lower half of its industry. The industry median ROA % is 2.70. Atlantic American's value of 0.54% is 80% below this benchmark. While the company's 10-year median is 0.62 vs. the industry median of 2.70, Atlantic American has consistently been below 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 ROA % for an Insurance company?
The median ROA % among Insurance companies is 2.70, based on 508 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. Atlantic American's current ROA % of 0.54% is 80% below 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 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 Atlantic American and its competitors. For the Insurance industry, the median ROA % is 2.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Atlantic American's current ROA % is 0.54%, which is 13% below median its own 10-year median of 0.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Atlantic American stock overvalued right now?
Based on GuruFocus' analysis, Atlantic American (AAME) is currently considered Modestly Undervalued. The stock's GF Value™ is $2.04, compared to a current price of $1.70 — trading 16.7% below its estimated fair value. The current ROA % is 0.54%, which is 13% below median its 10-year median of 0.62 and 80% below the Insurance industry median of 2.70. Atlantic American's overall GF Score™ is 63/100 with 2 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 Atlantic American (AAME), the current ROA % is 0.54% as of Sep. 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 Atlantic American (AAME) Overvalued in 2026?
Based on GuruFocus' analysis, Atlantic American stock appears to be undervalued.
The current stock price of $1.70 is trading 16.7% below its estimated GF Value™ of $2.04.
GuruFocus considers Atlantic American to be Modestly Undervalued.
Key valuation signals for AAME:
ROA %: 0.54% (13% below median its 10-year median of 0.62)
GF Value™: $2.04 vs. price of $1.70 (16.7% below fair value)
Industry Position: 80% below the Insurance median (#350 of 508)
No single metric tells the full story. See the AAME stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Atlantic American Corp operates in specialty markets within the life and health and property and casualty insurance industries. The company has two segments: American Southern, It provides property and casualty insurance including bodily injury and property damage liability coverage, uninsured motorist coverage, and physical damage coverage for commercial accounts, and Bankers Fidelity, the company's life and health operations offer a variety of life and supplemental health products including ordinary and term life insurance, Medicare supplement, and other health insurance.
63GF Score
Get the complete analysis for AAME
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
AAME has been successfully added to your 
