Abu Dhabi National Takaful Co PSCADX:TKFL 72 ROA % is 8.19% as of Dec. 2025, which is 24% above its 10-year median of 6.61. GuruFocus rates ADX:TKFL with a GF Score™ of 72/100 and a GF Value™ of د.إ8.21 (Significantly Undervalued). Among 510 Insurance companies, Abu Dhabi National Takaful Co PSC ranks better than 88.43% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Abu Dhabi National Takaful Co PSC's annualizedNet Income for the quarter that ended in Dec. 2025 was د.إ132.8 Mil.
Abu Dhabi National Takaful Co PSC's average Total Assets over the quarter that ended in Dec. 2025 was د.إ1,621.3 Mil. Therefore, Abu Dhabi National Takaful Co PSC's annualized ROA % for the quarter that ended in Dec. 2025 was 8.19%.
ADX:TKFL'
s ROA % Range Over the Past 10 Years
Min: 5.89 Med: 6.61 Max: 8.9
Current: 8.19
During the past 13 years, Abu Dhabi National Takaful Co PSC's highest ROA % was 8.90%. The lowest was 5.89%. And the median was 6.61%.
ADX:TKFL's ROA % is ranked better than 88.43% of 510
companies
in the Insurance industry
Industry Median: 2.68
vs ADX:TKFL: 8.19
Abu Dhabi National Takaful Co PSC (ADX:TKFL) 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 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.
Abu Dhabi National Takaful Co PSC ROA % Related Terms
Abu Dhabi National Takaful Co PSC ROA % Historical 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.
For the Insurance - Diversified subindustry, Abu Dhabi National Takaful Co PSC'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.
Abu Dhabi National Takaful Co PSC ROA % vs Insurance Industry
For the Insurance industry and Financial Services sector, Abu Dhabi National Takaful Co PSC's ROA % distribution charts can be found below:
* The bar in red indicates where Abu Dhabi National Takaful Co PSC'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.
Abu Dhabi National Takaful Co PSC (ADX:TKFL) has a ROA % of 8.19% 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 Abu Dhabi National Takaful Co PSC and its competitors. This is 24% above median its historical median of 6.61. Over the past decade, Abu Dhabi National Takaful Co PSC's ROA % has ranged from 5.89 to 8.90. According to the industry distribution chart, Abu Dhabi National Takaful Co PSC ranks #59 out of 510 companies in the Insurance industry, placing it in the top 11.6%.
Is Abu Dhabi National Takaful Co PSC's ROA % too high?
Abu Dhabi National Takaful Co PSC's current ROA % of 8.19% is 24% above median its 10-year median of 6.61. Over the past 10 years, this metric has ranged from a low of 5.89 to a high of 8.90. The Insurance industry median ROA % is 2.68. Abu Dhabi National Takaful Co PSC's value of 8.19% is 205.6% above this industry median. Based on the distribution chart, Abu Dhabi National Takaful Co PSC ranks #59 out of 510 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, Abu Dhabi National Takaful Co PSC has a GF Score™ of 72/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Abu Dhabi National Takaful Co PSC's ROA % compare to BRK.A and AIG?
According to the Insurance industry distribution chart, Abu Dhabi National Takaful Co PSC ranks #59 out of 510 companies for ROA %. This places Abu Dhabi National Takaful Co PSC in the top 12% of its industry — outperforming the majority of peers. The industry median ROA % is 2.68. Abu Dhabi National Takaful Co PSC's value of 8.19% is 205.6% above this benchmark. Historically, Abu Dhabi National Takaful Co PSC's own ROA % has ranged from 5.89 to 8.90 over the past decade. While the company's 10-year median is 6.61 vs. the industry median of 2.68, Abu Dhabi National Takaful Co PSC 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 ROA % for an Insurance company?
The median ROA % among Insurance companies is 2.68, based on 510 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. Abu Dhabi National Takaful Co PSC's current ROA % of 8.19% is 205.6% 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 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 Abu Dhabi National Takaful Co PSC and its competitors. For the Insurance industry, the median ROA % is 2.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Abu Dhabi National Takaful Co PSC's current ROA % is 8.19%, which is 24% above median its own 10-year median of 6.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Abu Dhabi National Takaful Co PSC stock overvalued right now?
Based on GuruFocus' analysis, Abu Dhabi National Takaful Co PSC (ADX:TKFL) is currently considered Significantly Undervalued. The stock's GF Value™ is د.إ8.21, compared to a current price of د.إ5.09 — trading 38% below its estimated fair value. The current ROA % is 8.19%, which is 24% above median its 10-year median of 6.61 and 205.6% above the Insurance industry median of 2.68. Abu Dhabi National Takaful Co PSC's overall GF Score™ is 72/100. 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 Abu Dhabi National Takaful Co PSC (ADX:TKFL), the current ROA % is 8.19% 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 Abu Dhabi National Takaful Co PSC (ADX:TKFL) Overvalued in 2026?
Based on GuruFocus' analysis, Abu Dhabi National Takaful Co PSC stock appears to be undervalued.
The current stock price of د.إ5.09 is trading 38% below its estimated GF Value™ of د.إ8.21.
GuruFocus considers Abu Dhabi National Takaful Co PSC to be Significantly Undervalued.
Key valuation signals for ADX:TKFL:
ROA %: 8.19% (24% above median its 10-year median of 6.61)
GF Value™: د.إ8.21 vs. price of د.إ5.09 (38% below fair value)
Industry Position: 205.6% above the Insurance median (#59 of 510)
No single metric tells the full story. See the ADX:TKFL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Abu Dhabi National Takaful Co PSC Business Description
Abu Dhabi National Takaful Co PSC is engaged in providing Takaful insurance solutions for the regional market. The company is licensed by the Ministry of Economy & Commerce as the first Takaful operator in the emirates of Abu Dhabi and is among the Islamic insurance companies operating in the United Arab Emirates. The company's core business activities and investments are conducted in accordance with the Islamic Sharia. The company has different types of products and services, which have been developed under the guidance of the Fatwa & Sharia Supervisory Board to meet the varying needs of clients in the field of Islamic finance.
72GF Score
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