BSP:TAEE4's ROA % is ranked better than 86.55% of 513
companies
in the Utilities - Regulated industry
Industry Median: 3.05
vs BSP:TAEE4: 7.12
Transmissora Alianca de Energia Eletrica (BSP:TAEE4) 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 four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) 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.
Transmissora Alianca de Energia Eletrica ROA % Related Terms
Transmissora Alianca de Energia Eletrica 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.
Transmissora Alianca de Energia Eletrica ROA % Chart
Transmissora Alianca de Energia Eletrica Annual Data
For the Utilities - Regulated Electric subindustry, Transmissora Alianca de Energia Eletrica'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.
Transmissora Alianca de Energia Eletrica ROA % vs Utilities - Regulated Industry
* 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 four times the quarterly (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Transmissora Alianca de Energia Eletrica (BSP:TAEE4) has a ROA % of 6.18% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Transmissora Alianca de Energia Eletrica and its competitors. This is 34% below median its historical median of 9.36. Over the past decade, Transmissora Alianca de Energia Eletrica's ROA % has ranged from 7.12 to 17.82. According to the industry distribution chart, Transmissora Alianca de Energia Eletrica ranks #69 out of 513 companies in the Utilities - Regulated industry, placing it in the top 13.5%.
Is Transmissora Alianca de Energia Eletrica's ROA % too high?
Transmissora Alianca de Energia Eletrica's current ROA % of 6.18% is 34% below median its 10-year median of 9.36. Over the past 10 years, this metric has ranged from a low of 7.12 to a high of 17.82. The Utilities - Regulated industry median ROA % is 3.05. Transmissora Alianca de Energia Eletrica's value of 6.18% is 102.6% above this industry median. Based on the distribution chart, Transmissora Alianca de Energia Eletrica ranks #69 out of 513 companies in the Utilities - Regulated industry, which is in the top quartile — a strong position relative to peers. Overall, Transmissora Alianca de Energia Eletrica has a GF Score™ of 69/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Transmissora Alianca de Energia Eletrica's ROA % compare to NEE and SO?
According to the Utilities - Regulated industry distribution chart, Transmissora Alianca de Energia Eletrica ranks #69 out of 513 companies for ROA %. This places Transmissora Alianca de Energia Eletrica in the top 14% of its industry — outperforming the majority of peers. The industry median ROA % is 3.05. Transmissora Alianca de Energia Eletrica's value of 6.18% is 102.6% above this benchmark. Historically, Transmissora Alianca de Energia Eletrica's own ROA % has ranged from 7.12 to 17.82 over the past decade. While the company's 10-year median is 9.36 vs. the industry median of 3.05, Transmissora Alianca de Energia Eletrica 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 an Utilities - Regulated company?
The median ROA % among Utilities - Regulated companies is 3.05, based on 513 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. Transmissora Alianca de Energia Eletrica's current ROA % of 6.18% is 102.6% 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 Transmissora Alianca de Energia Eletrica and its competitors. For the Utilities - Regulated industry, the median ROA % is 3.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Transmissora Alianca de Energia Eletrica's current ROA % is 6.18%, which is 34% below median its own 10-year median of 9.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Transmissora Alianca de Energia Eletrica stock overvalued right now?
Based on GuruFocus' analysis, Transmissora Alianca de Energia Eletrica (BSP:TAEE4) is currently considered Fairly Valued. The stock's GF Value™ is R$12.63, compared to a current price of R$13.33 — trading 5.5% above its estimated fair value. The current ROA % is 6.18%, which is 34% below median its 10-year median of 9.36 and 102.6% above the Utilities - Regulated industry median of 3.05. Transmissora Alianca de Energia Eletrica's overall GF Score™ is 69/100 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 Transmissora Alianca de Energia Eletrica (BSP:TAEE4), the current ROA % is 6.18% as of Mar. 2026. 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 Transmissora Alianca de Energia Eletrica (BSP:TAEE4) Overvalued in 2026?
Based on GuruFocus' analysis, Transmissora Alianca de Energia Eletrica stock appears to be overvalued.
The current stock price of R$13.33 is trading 5.5% above its estimated GF Value™ of R$12.63.
GuruFocus considers Transmissora Alianca de Energia Eletrica to be Fairly Valued.
Key valuation signals for BSP:TAEE4:
ROA %: 6.18% (34% below median its 10-year median of 9.36)
GF Value™: R$12.63 vs. price of R$13.33 (5.5% above fair value)
Industry Position: 102.6% above the Utilities - Regulated median (#69 of 513)
No single metric tells the full story. See the BSP:TAEE4 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Transmissora Alianca de Energia Eletrica Business Description
Transmissora Alianca de Energia Eletrica SA, is an electric utility company that acts as one of the electric transmission concessionaires in Brazil. The company implements, operates, and maintains electric power transmission services and facilities both for Brazil's National Interconnected System and for the electricity transmission sectors of other countries as well. The company generates the majority of its revenue in the form of compensation for its investments in the construction of transmission lines and for the operation and maintenance service that it provides all over Brazil.
69GF Score
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