Nick ScaliASX:NCK -0.81%90 ROA % is 11.49% as of Dec. 2025, which is 35% below its 10-year median of 17.59. GuruFocus rates ASX:NCK with a GF Score™ of 90/100 and a GF Value™ of A$16.46 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,134 Retail - Cyclical companies, Nick Scali ranks better than 83.51% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Nick Scali's annualizedNet Income for the quarter that ended in Dec. 2025 was A$82.0 Mil.
Nick Scali's average Total Assets over the quarter that ended in Dec. 2025 was A$713.1 Mil. Therefore, Nick Scali's annualized ROA % for the quarter that ended in Dec. 2025 was 11.49%.
The historical rank and industry rank for Nick Scali's ROA % or its related term are showing as below:
ASX:NCK'
s ROA % Range Over the Past 10 Years
Min: 8.18 Med: 17.59 Max: 28.58
Current: 9.76
During the past 13 years, Nick Scali's highest ROA % was 28.58%. The lowest was 8.18%. And the median was 17.59%.
ASX:NCK's ROA % is ranked better than 83.51% of 1134
companies
in the Retail - Cyclical industry
Industry Median: 2.725
vs ASX:NCK: 9.76
Nick Scali (ASX:NCK) 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.
Nick Scali ROA % Related Terms
Nick Scali ROA % Historical Data
* Premium members only.
The historical data trend for Nick Scali'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 Specialty Retail subindustry, Nick Scali'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.
Nick Scali ROA % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Nick Scali's ROA % distribution charts can be found below:
* The bar in red indicates where Nick Scali'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.
Nick Scali (ASX:NCK) has a ROA % of 11.49% 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 Nick Scali and its competitors. This is 35% below median its historical median of 17.59. Over the past decade, Nick Scali's ROA % has ranged from 8.18 to 28.58. According to the industry distribution chart, Nick Scali ranks #187 out of 1134 companies in the Retail - Cyclical industry, placing it in the top 16.5%.
Is Nick Scali's ROA % too high?
Nick Scali's current ROA % of 11.49% is 35% below median its 10-year median of 17.59. Over the past 10 years, this metric has ranged from a low of 8.18 to a high of 28.58. The Retail - Cyclical industry median ROA % is 2.73. Nick Scali's value of 11.49% is 321.7% above this industry median. Based on the distribution chart, Nick Scali ranks #187 out of 1134 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Nick Scali has a GF Score™ of 90/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Nick Scali's ROA % compare to CASY and WSM?
According to the Retail - Cyclical industry distribution chart, Nick Scali ranks #187 out of 1134 companies for ROA %. This places Nick Scali in the top 17% of its industry — outperforming the majority of peers. The industry median ROA % is 2.73. Nick Scali's value of 11.49% is 321.7% above this benchmark. Historically, Nick Scali's own ROA % has ranged from 8.18 to 28.58 over the past decade. While the company's 10-year median is 17.59 vs. the industry median of 2.73, Nick Scali 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 a Retail - Cyclical company?
The median ROA % among Retail - Cyclical companies is 2.73, based on 1,134 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. Nick Scali's current ROA % of 11.49% is 321.7% 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 Nick Scali and its competitors. For the Retail - Cyclical industry, the median ROA % is 2.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nick Scali's current ROA % is 11.49%, which is 35% below median its own 10-year median of 17.59. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nick Scali stock overvalued right now?
Based on GuruFocus' analysis, Nick Scali (ASX:NCK) is currently considered Fairly Valued. The stock's GF Value™ is A$16.46, compared to a current price of A$15.86 — trading 3.6% below its estimated fair value. The current ROA % is 11.49%, which is 35% below median its 10-year median of 17.59 and 321.7% above the Retail - Cyclical industry median of 2.73. Nick Scali's overall GF Score™ is 90/100 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 Nick Scali (ASX:NCK), the current ROA % is 11.49% 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 Nick Scali (ASX:NCK) Overvalued in 2026?
Based on GuruFocus' analysis, Nick Scali stock appears to be undervalued.
The current stock price of A$15.86 is trading 3.6% below its estimated GF Value™ of A$16.46.
GuruFocus considers Nick Scali to be Fairly Valued.
Key valuation signals for ASX:NCK:
ROA %: 11.49% (35% below median its 10-year median of 17.59)
GF Value™: A$16.46 vs. price of A$15.86 (3.6% below fair value)
Industry Position: 321.7% above the Retail - Cyclical median (#187 of 1134)
No single metric tells the full story. See the ASX:NCK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nick Scali Ltd engages in the sourcing and retailing of household furniture and related accessories in Australia and New Zealand. It offers products of Sofas & Armchairs, Living Room, Dining Room, Bedroom, and Rugs & Accessories. The Company has two reportable segments, being the retailing of furniture in Australia and New Zealand, as well as the United Kingdom.
90GF Score
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