Canacol EnergyCNNEQ ROA % is 5.89% as of Sep. 2025, which is 820% above its 10-year median of 0.64. The stock has 4 warning signs investors should review. Among 1,025 Oil & Gas companies, Canacol Energy ranks better than 57.27% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Canacol Energy's annualizedNet Income for the quarter that ended in Sep. 2025 was $74.6 Mil.
Canacol Energy's average Total Assets over the quarter that ended in Sep. 2025 was $1,266.3 Mil. Therefore, Canacol Energy's annualized ROA % for the quarter that ended in Sep. 2025 was 5.89%.
The historical rank and industry rank for Canacol Energy's ROA % or its related term are showing as below:
CNNEQ'
s ROA % Range Over the Past 10 Years
Min: -19.73 Med: 0.64 Max: 15.85
Current: 3.12
During the past 13 years, Canacol Energy's highest ROA % was 15.85%. The lowest was -19.73%. And the median was 0.64%.
CNNEQ's ROA % is ranked better than 57.27% of 1025
companies
in the Oil & Gas industry
Industry Median: 1.89
vs CNNEQ: 3.12
Canacol Energy (OTCPK:CNNEQ) 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 (Sep. 2025) net income data. The Revenue data used here is four times the quarterly (Sep. 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.
Canacol Energy ROA % Related Terms
Canacol Energy ROA % Historical Data
* Premium members only.
The historical data trend for Canacol Energy'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 Oil & Gas E&P subindustry, Canacol Energy'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.
Canacol Energy ROA % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Canacol Energy's ROA % distribution charts can be found below:
* The bar in red indicates where Canacol Energy'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 four times the quarterly (Sep. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Canacol Energy (CNNEQ) has a ROA % of 5.89% as of Sep. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Canacol Energy and its competitors. This is 820% above median its historical median of 0.64. According to the industry distribution chart, Canacol Energy ranks #438 out of 1025 companies in the Oil & Gas industry, placing it in the top 42.7%.
Is Canacol Energy's ROA % too high?
Canacol Energy's current ROA % of 5.89% is 820% above median its 10-year median of 0.64. The Oil & Gas industry median ROA % is 1.89. Canacol Energy's value of 5.89% is 211.6% above this industry median. Based on the distribution chart, Canacol Energy ranks #438 out of 1025 companies in the Oil & Gas industry, which is above the industry midpoint.
How does Canacol Energy's ROA % compare to LEEN and SPOWF?
According to the Oil & Gas industry distribution chart, Canacol Energy ranks #438 out of 1025 companies for ROA %. This puts Canacol Energy in the upper half of its industry. The industry median ROA % is 1.89. Canacol Energy's value of 5.89% is 211.6% above this benchmark. While the company's 10-year median is 0.64 vs. the industry median of 1.89, Canacol Energy 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 Oil & Gas company?
The median ROA % among Oil & Gas companies is 1.89, based on 1,025 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. Canacol Energy's current ROA % of 5.89% is 211.6% 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 Canacol Energy and its competitors. For the Oil & Gas industry, the median ROA % is 1.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Canacol Energy's current ROA % is 5.89%, which is 820% above median its own 10-year median of 0.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Canacol Energy stock overvalued right now?
Based on GuruFocus' analysis, Canacol Energy (CNNEQ) is currently considered Possible Value Trap. The stock's GF Value™ is $3.25, compared to a current price of $0.01 — trading 99.7% below its estimated fair value. The current ROA % is 5.89%, which is 820% above median its 10-year median of 0.64 and 211.6% above the Oil & Gas industry median of 1.89. 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 Canacol Energy (CNNEQ), the current ROA % is 5.89% as of Sep. 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.
Canacol Energy Ltd is a natural gas and oil exploration and production company. The company operates in the Lower and Middle Magdalena Basins of Colombia.
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