ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Edinburgh Investment Trust (The)'s annualizedNet Income for the quarter that ended in Mar. 2026 was £-21.58 Mil.
Edinburgh Investment Trust (The)'s average Total Assets over the quarter that ended in Mar. 2026 was £1,233.19 Mil. Therefore, Edinburgh Investment Trust (The)'s annualized ROA % for the quarter that ended in Mar. 2026 was -1.75%.
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 (Mar. 2026) net income data. The Revenue data used here is two times the semi-annual (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.
Edinburgh Investment Trust (The) ROA % Related Terms
Edinburgh Investment Trust (The) 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 Asset Management subindustry, Edinburgh Investment Trust (The)'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.
Edinburgh Investment Trust (The) ROA % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Edinburgh Investment Trust (The)'s ROA % distribution charts can be found below:
* The bar in red indicates where Edinburgh Investment Trust (The)'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 (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Edinburgh Investment Trust (The) (CHIX:EDINL) has a ROA % of -1.75% 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 Edinburgh Investment Trust (The) and its competitors. According to the industry distribution chart, Edinburgh Investment Trust (The) ranks #645 out of 1632 companies in the Asset Management industry, placing it in the top 39.5%.
Is Edinburgh Investment Trust (The)'s ROA % too high?
Edinburgh Investment Trust (The)'s current ROA % is -1.75%. Based on the distribution chart, Edinburgh Investment Trust (The) ranks #645 out of 1632 companies in the Asset Management industry, which is above the industry midpoint. Overall, Edinburgh Investment Trust (The) has a GF Score™ of 62/100, reflecting its overall financial health beyond just this single metric.
How does Edinburgh Investment Trust (The)'s ROA % compare to BLK and BX?
According to the Asset Management industry distribution chart, Edinburgh Investment Trust (The) ranks #645 out of 1632 companies for ROA %. This puts Edinburgh Investment Trust (The) in the upper half of its industry. The industry median ROA % is 3.99. 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 Asset Management company?
The median ROA % among Asset Management companies is 3.99, based on 1,632 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. 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 Edinburgh Investment Trust (The) and its competitors. For the Asset Management industry, the median ROA % is 3.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Edinburgh Investment Trust (The)'s current ROA % is -1.75%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Edinburgh Investment Trust (The) stock overvalued right now?
Edinburgh Investment Trust (The) (CHIX:EDINL) has a current ROA % of -1.75%. The stock's GF Value™ is £7.17, compared to a current price of £7.26 — trading 1.3% above its estimated fair value. The current ROA % is -1.75%. Edinburgh Investment Trust (The)'s overall GF Score™ is 62/100 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 Edinburgh Investment Trust (The) (CHIX:EDINL), the current ROA % is -1.75% 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 Edinburgh Investment Trust (The) (CHIX:EDINL) Overvalued in 2026?
Based on GuruFocus' analysis, Edinburgh Investment Trust (The) stock appears to be overvalued.
The current stock price of £7.26 is trading 1.3% above its estimated GF Value™ of £7.17.
Key valuation signals for CHIX:EDINL:
ROA %: -1.75%
GF Value™: £7.17 vs. price of £7.26 (1.3% above fair value)
No single metric tells the full story. See the CHIX:EDINL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Edinburgh Investment Trust (The) Business Description
Edinburgh Investment Trust (The) PLC is engaged in investing its assets according to a specified investment objective and policy, for spreading investment risk and generating a return for shareholders. The company invests in the shares of companies quoted on a recognized stock exchange in the UK. Securities of companies quoted on a recognized stock exchange outside of the UK may also be held but will not exceed 20% of the market value of the investment portfolio, measured at the time of any acquisition.
62GF Score
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