Nine Entertainment Co. HoldingsASX:NEC -1.64%66 ROA % is 52.53% as of Dec. 2025, which is 1047% above its 10-year median of 4.58. GuruFocus rates ASX:NEC with a GF Score™ of 66/100 and a GF Value™ of A$1.34 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 1,042 Media - Diversified companies, Nine Entertainment Co. Holdings ranks better than 98.08% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Nine Entertainment Co. Holdings's annualizedNet Income for the quarter that ended in Dec. 2025 was A$1,794 Mil.
Nine Entertainment Co. Holdings's average Total Assets over the quarter that ended in Dec. 2025 was A$3,416 Mil. Therefore, Nine Entertainment Co. Holdings's annualized ROA % for the quarter that ended in Dec. 2025 was 52.53%.
ASX:NEC'
s ROA % Range Over the Past 10 Years
Min: -14.64 Med: 4.58 Max: 25.48
Current: 25.48
During the past 12 years, Nine Entertainment Co. Holdings's highest ROA % was 25.48%. The lowest was -14.64%. And the median was 4.58%.
ASX:NEC's ROA % is ranked better than 98.08% of 1042
companies
in the Media - Diversified industry
Industry Median: 0.65
vs ASX:NEC: 25.48
Nine Entertainment Co. Holdings (ASX:NEC) 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.
Nine Entertainment Co. Holdings ROA % Related Terms
Nine Entertainment Co. Holdings 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 Entertainment subindustry, Nine Entertainment Co. Holdings'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.
Nine Entertainment Co. Holdings ROA % vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Nine Entertainment Co. Holdings's ROA % distribution charts can be found below:
* The bar in red indicates where Nine Entertainment Co. Holdings'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.
Nine Entertainment Co. Holdings (ASX:NEC) has a ROA % of 52.53% 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 Nine Entertainment Co. Holdings and its competitors. This is 1047% above median its historical median of 4.58. According to the industry distribution chart, Nine Entertainment Co. Holdings ranks #20 out of 1042 companies in the Media - Diversified industry, placing it in the top 1.9%.
Is Nine Entertainment Co. Holdings' ROA % too high?
Nine Entertainment Co. Holdings' current ROA % of 52.53% is 1047% above median its 10-year median of 4.58. The Media - Diversified industry median ROA % is 0.65. Nine Entertainment Co. Holdings' value of 52.53% is 7981.5% above this industry median. Based on the distribution chart, Nine Entertainment Co. Holdings ranks #20 out of 1042 companies in the Media - Diversified industry, which is in the top quartile — a strong position relative to peers. Overall, Nine Entertainment Co. Holdings has a GF Score™ of 66/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Nine Entertainment Co. Holdings' ROA % compare to NFLX and DIS?
According to the Media - Diversified industry distribution chart, Nine Entertainment Co. Holdings ranks #20 out of 1042 companies for ROA %. This places Nine Entertainment Co. Holdings in the top 2% of its industry — outperforming the majority of peers. The industry median ROA % is 0.65. Nine Entertainment Co. Holdings' value of 52.53% is 7981.5% above this benchmark. While the company's 10-year median is 4.58 vs. the industry median of 0.65, Nine Entertainment Co. Holdings 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 Media - Diversified company?
The median ROA % among Media - Diversified companies is 0.65, based on 1,042 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. Nine Entertainment Co. Holdings's current ROA % of 52.53% is 7981.5% 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 Nine Entertainment Co. Holdings and its competitors. For the Media - Diversified industry, the median ROA % is 0.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nine Entertainment Co. Holdings's current ROA % is 52.53%, which is 1047% above median its own 10-year median of 4.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nine Entertainment Co. Holdings stock overvalued right now?
Based on GuruFocus' analysis, Nine Entertainment Co. Holdings (ASX:NEC) is currently considered Possible Value Trap. The stock's GF Value™ is A$1.34, compared to a current price of A$0.90 — trading 32.8% below its estimated fair value. The current ROA % is 52.53%, which is 1047% above median its 10-year median of 4.58 and 7981.5% above the Media - Diversified industry median of 0.65. Nine Entertainment Co. Holdings' overall GF Score™ is 66/100 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 Nine Entertainment Co. Holdings (ASX:NEC), the current ROA % is 52.53% 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 Nine Entertainment Co. Holdings (ASX:NEC) Overvalued in 2026?
Based on GuruFocus' analysis, Nine Entertainment Co. Holdings stock appears to be undervalued.
The current stock price of A$0.90 is trading 32.8% below its estimated GF Value™ of A$1.34.
GuruFocus considers Nine Entertainment Co. Holdings to be Possible Value Trap.
Key valuation signals for ASX:NEC:
ROA %: 52.53% (1047% above median its 10-year median of 4.58)
GF Value™: A$1.34 vs. price of A$0.90 (32.8% below fair value)
Industry Position: 7981.5% above the Media - Diversified median (#20 of 1042)
No single metric tells the full story. See the ASX:NEC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nine Entertainment Co. Holdings Business Description
Nine Entertainment is the largest media conglomerate in Australia. It operates Nine Network, a free-to-air TV network across five capital cities, as well as in a number of regional areas. It owns 9Now, a leading broadcast video on demand, or BVOD, business. Its publishing unit is the second-largest newspaper group in Australia with key mastheads such as Australian Financial Review, Sydney Morning Herald, and The Age. Nine also operates a leading domestic-owned subscription video on demand, or SVOD, business in Australia called Stan, and a talk-based radio network. In March 2026, Nine completed the purchase of outdoor advertising entity QMS Media for AUD 850 million.
66GF Score
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