FortescueASX:FMG -1.61%78 ROA % is 12.25% as of Dec. 2025, which is 30% below its 10-year median of 17.47. GuruFocus rates ASX:FMG with a GF Score™ of 78/100 and a GF Value™ of A$19.96 (Fairly Valued). The stock has 6 warning signs investors should review. Among 2,665 Metals & Mining companies, Fortescue ranks better than 90.69% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Fortescue's annualizedNet Income for the quarter that ended in Dec. 2025 was A$5,761 Mil.
Fortescue's average Total Assets over the quarter that ended in Dec. 2025 was A$47,029 Mil. Therefore, Fortescue's annualized ROA % for the quarter that ended in Dec. 2025 was 12.25%.
The historical rank and industry rank for Fortescue's ROA % or its related term are showing as below:
ASX:FMG'
s ROA % Range Over the Past 10 Years
Min: 4.78 Med: 17.47 Max: 37.92
Current: 12.15
During the past 13 years, Fortescue's highest ROA % was 37.92%. The lowest was 4.78%. And the median was 17.47%.
ASX:FMG's ROA % is ranked better than 90.69% of 2665
companies
in the Metals & Mining industry
Industry Median: -16.81
vs ASX:FMG: 12.15
Fortescue (ASX:FMG) 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.
Fortescue ROA % Related Terms
Fortescue ROA % Historical Data
* Premium members only.
The historical data trend for Fortescue'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 Other Industrial Metals & Mining subindustry, Fortescue'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.
Fortescue ROA % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Fortescue's ROA % distribution charts can be found below:
* The bar in red indicates where Fortescue'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.
Fortescue (ASX:FMG) has a ROA % of 12.25% 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 Fortescue and its competitors. This is 30% below median its historical median of 17.47. Over the past decade, Fortescue's ROA % has ranged from 4.78 to 37.92. According to the industry distribution chart, Fortescue ranks #248 out of 2665 companies in the Metals & Mining industry, placing it in the top 9.3%.
Is Fortescue's ROA % too high?
Fortescue's current ROA % of 12.25% is 30% below median its 10-year median of 17.47. Over the past 10 years, this metric has ranged from a low of 4.78 to a high of 37.92. Based on the distribution chart, Fortescue ranks #248 out of 2665 companies in the Metals & Mining industry, which is in the top quartile — a strong position relative to peers. Overall, Fortescue has a GF Score™ of 78/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Fortescue's ROA % compare to competitors?
According to the Metals & Mining industry distribution chart, Fortescue ranks #248 out of 2665 companies for ROA %. This places Fortescue in the top 9% of its industry — outperforming the majority of peers. Historically, Fortescue's own ROA % has ranged from 4.78 to 37.92 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for a Metals & Mining company?
A good ROA % depends on the Metals & Mining industry context. 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 Fortescue and its competitors. Fortescue's current ROA % is 12.25%, which is 30% below median its own 10-year median of 17.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fortescue stock overvalued right now?
Based on GuruFocus' analysis, Fortescue (ASX:FMG) is currently considered Fairly Valued. The stock's GF Value™ is A$19.96, compared to a current price of A$18.94 — trading 5.1% below its estimated fair value. The current ROA % is 12.25%, which is 30% below median its 10-year median of 17.47. Fortescue's overall GF Score™ is 78/100 with 6 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 Fortescue (ASX:FMG), the current ROA % is 12.25% 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 Fortescue (ASX:FMG) Overvalued in 2026?
Based on GuruFocus' analysis, Fortescue stock appears to be undervalued.
The current stock price of A$18.94 is trading 5.1% below its estimated GF Value™ of A$19.96.
GuruFocus considers Fortescue to be Fairly Valued.
Key valuation signals for ASX:FMG:
ROA %: 12.25% (30% below median its 10-year median of 17.47)
GF Value™: A$19.96 vs. price of A$18.94 (5.1% below fair value)
No single metric tells the full story. See the ASX:FMG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Fortescue is an Australia-based iron ore miner. It has grown from obscurity at the start of 2008 to become the world's fourth-largest producer. Growth was fueled by debt, now repaid. Expansion from 55 million metric tons in fiscal 2012 to about 195 million metric tons in 2025 means Fortescue supplies around 10% of global seaborne iron ore. Further expansion to about 210 million metric tons is likely once its 22 million metric ton Iron Bridge magnetite mine ramps up, likely in 2028. However, with longer-term demand likely to decline as China's economy matures, its future margins are likely to be below historical averages. More recently, Fortescue diversified into copper and green energy. It has big ambitions here, but its efforts are at an early stage.
78GF Score
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