ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Electro Optic Systems Hldgs's annualizedNet Income for the quarter that ended in Dec. 2025 was A$-56.4 Mil.
Electro Optic Systems Hldgs's average Total Assets over the quarter that ended in Dec. 2025 was A$361.8 Mil. Therefore, Electro Optic Systems Hldgs's annualized ROA % for the quarter that ended in Dec. 2025 was -15.57%.
The historical rank and industry rank for Electro Optic Systems Hldgs's ROA % or its related term are showing as below:
ASX:EOS'
s ROA % Range Over the Past 10 Years
Min: -29.33 Med: -5.22 Max: 16.75
Current: 4.96
During the past 13 years, Electro Optic Systems Hldgs's highest ROA % was 16.75%. The lowest was -29.33%. And the median was -5.22%.
ASX:EOS's ROA % is ranked better than 67.7% of 356
companies
in the Aerospace & Defense industry
Industry Median: 2.5
vs ASX:EOS: 4.96
Electro Optic Systems Hldgs (ASX:EOS) 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 two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-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.
For the Aerospace & Defense subindustry, Electro Optic Systems Hldgs'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.
Electro Optic Systems Hldgs ROA % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Electro Optic Systems Hldgs's ROA % distribution charts can be found below:
* The bar in red indicates where Electro Optic Systems Hldgs'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 two times the semi-annual (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Electro Optic Systems Hldgs (ASX:EOS) has a ROA % of -15.57% 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 Electro Optic Systems Hldgs and its competitors. According to the industry distribution chart, Electro Optic Systems Hldgs ranks #115 out of 356 companies in the Aerospace & Defense industry, placing it in the top 32.3%.
Is Electro Optic Systems Hldgs' ROA % too high?
Electro Optic Systems Hldgs' current ROA % is -15.57%. Based on the distribution chart, Electro Optic Systems Hldgs ranks #115 out of 356 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Electro Optic Systems Hldgs has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Electro Optic Systems Hldgs' ROA % compare to GE and RTX?
According to the Aerospace & Defense industry distribution chart, Electro Optic Systems Hldgs ranks #115 out of 356 companies for ROA %. This puts Electro Optic Systems Hldgs in the upper half of its industry. The industry median ROA % is 2.50. 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 2.50, based on 356 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 Electro Optic Systems Hldgs and its competitors. For the Aerospace & Defense industry, the median ROA % is 2.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Electro Optic Systems Hldgs's current ROA % is -15.57%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Electro Optic Systems Hldgs stock overvalued right now?
Based on GuruFocus' analysis, Electro Optic Systems Hldgs (ASX:EOS) is currently considered Significantly Overvalued. The stock's GF Value™ is A$1.18, compared to a current price of A$9.75 — trading 726.3% above its estimated fair value. The current ROA % is -15.57%. Electro Optic Systems Hldgs' overall GF Score™ is 63/100 with 5 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 Electro Optic Systems Hldgs (ASX:EOS), the current ROA % is -15.57% 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 Electro Optic Systems Hldgs (ASX:EOS) Overvalued in 2026?
Based on GuruFocus' analysis, Electro Optic Systems Hldgs stock appears to be overvalued.
The current stock price of A$9.75 is trading 726.3% above its estimated GF Value™ of A$1.18.
GuruFocus considers Electro Optic Systems Hldgs to be Significantly Overvalued.
Key valuation signals for ASX:EOS:
ROA %: -15.57%
GF Value™: A$1.18 vs. price of A$9.75 (726.3% above fair value)
No single metric tells the full story. See the ASX:EOS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Electro Optic Systems Hldgs Ltd is an Australian technology company. It develops and produces electro-optic technologies for the aerospace market. The group's reportable segments are Defence and Space Systems. It generates maximum revenue from the Defence segment. The Defence segment develops, manufactures, and markets fire control, surveillance, and weapon systems to approved military customers. The Space Systems segment includes a range of ground products available to support the Australian and international space markets. Geographically, it derives a majority of its revenue from Australia.
63GF Score
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