Vulcan SteelASX:VSL -0.60%60 ROA % is 1.67% as of Dec. 2025, which is 76% below its 10-year median of 7.02. GuruFocus rates ASX:VSL with a GF Score™ of 60/100 and a GF Value™ of A$6.22 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 638 Steel companies, Vulcan Steel ranks worse than 52.51% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Vulcan Steel's annualizedNet Income for the quarter that ended in Dec. 2025 was A$14.4 Mil.
Vulcan Steel's average Total Assets over the quarter that ended in Dec. 2025 was A$866.9 Mil. Therefore, Vulcan Steel's annualized ROA % for the quarter that ended in Dec. 2025 was 1.67%.
The historical rank and industry rank for Vulcan Steel's ROA % or its related term are showing as below:
ASX:VSL'
s ROA % Range Over the Past 10 Years
Min: 1.58 Med: 7.02 Max: 15.59
Current: 1.58
During the past 4 years, Vulcan Steel's highest ROA % was 15.59%. The lowest was 1.58%. And the median was 7.02%.
ASX:VSL's ROA % is ranked worse than 52.51% of 638
companies
in the Steel industry
Industry Median: 1.93
vs ASX:VSL: 1.58
Vulcan Steel (ASX:VSL) 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.
Vulcan Steel ROA % Related Terms
Vulcan Steel ROA % Historical Data
* Premium members only.
The historical data trend for Vulcan Steel'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 Steel subindustry, Vulcan Steel'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.
Vulcan Steel ROA % vs Steel Industry
For the Steel industry and Basic Materials sector, Vulcan Steel's ROA % distribution charts can be found below:
* The bar in red indicates where Vulcan Steel'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.
Vulcan Steel (ASX:VSL) has a ROA % of 1.67% 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 Vulcan Steel and its competitors. This is 76% below median its historical median of 7.02. Over the past decade, Vulcan Steel's ROA % has ranged from 1.58 to 15.59. According to the industry distribution chart, Vulcan Steel ranks #335 out of 638 companies in the Steel industry, placing it in the top 52.5%.
Is Vulcan Steel's ROA % too high?
Vulcan Steel's current ROA % of 1.67% is 76% below median its 10-year median of 7.02. Over the past 10 years, this metric has ranged from a low of 1.58 to a high of 15.59. The Steel industry median ROA % is 1.93. Vulcan Steel's value of 1.67% is 13.5% below this industry median. Based on the distribution chart, Vulcan Steel ranks #335 out of 638 companies in the Steel industry, which is below the industry midpoint. Overall, Vulcan Steel has a GF Score™ of 60/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Vulcan Steel's ROA % compare to NUE and STLD?
According to the Steel industry distribution chart, Vulcan Steel ranks #335 out of 638 companies for ROA %. This places Vulcan Steel in the lower half of its industry. The industry median ROA % is 1.93. Vulcan Steel's value of 1.67% is 13.5% below this benchmark. Historically, Vulcan Steel's own ROA % has ranged from 1.58 to 15.59 over the past decade. While the company's 10-year median is 7.02 vs. the industry median of 1.93, Vulcan Steel has consistently been below 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 Steel company?
The median ROA % among Steel companies is 1.93, based on 638 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. Vulcan Steel's current ROA % of 1.67% is 13.5% below 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 Vulcan Steel and its competitors. For the Steel industry, the median ROA % is 1.93 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Vulcan Steel's current ROA % is 1.67%, which is 76% below median its own 10-year median of 7.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vulcan Steel stock overvalued right now?
Based on GuruFocus' analysis, Vulcan Steel (ASX:VSL) is currently considered Modestly Undervalued. The stock's GF Value™ is A$6.22, compared to a current price of A$5.01 — trading 19.5% below its estimated fair value. The current ROA % is 1.67%, which is 76% below median its 10-year median of 7.02 and 13.5% below the Steel industry median of 1.93. Vulcan Steel's overall GF Score™ is 60/100 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 Vulcan Steel (ASX:VSL), the current ROA % is 1.67% 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 Vulcan Steel (ASX:VSL) Overvalued in 2026?
Based on GuruFocus' analysis, Vulcan Steel stock appears to be undervalued.
The current stock price of A$5.01 is trading 19.5% below its estimated GF Value™ of A$6.22.
GuruFocus considers Vulcan Steel to be Modestly Undervalued.
Key valuation signals for ASX:VSL:
ROA %: 1.67% (76% below median its 10-year median of 7.02)
GF Value™: A$6.22 vs. price of A$5.01 (19.5% below fair value)
Industry Position: 13.5% below the Steel median (#335 of 638)
No single metric tells the full story. See the ASX:VSL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Vulcan Steel Ltd is a metals distributor and processor. Its products include Steel, Stainless Steel, Engineering steel, Plate processing, and Coil processing. The company has two operating segments namely, the Steel business across New Zealand and Australia which includes Steel distribution, Plate processing, and Coil processing; and Metals business across New Zealand, which includes Stainless Steel, Engineering Steel, and Aluminium.
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