ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Covalon Technologies's annualizedNet Income for the quarter that ended in Mar. 2026 was $3.19 Mil.
Covalon Technologies's average Total Assets over the quarter that ended in Mar. 2026 was $23.98 Mil. Therefore, Covalon Technologies's annualized ROA % for the quarter that ended in Mar. 2026 was 13.29%.
The historical rank and industry rank for Covalon Technologies's ROA % or its related term are showing as below:
CVALF'
s ROA % Range Over the Past 10 Years
Min: -43.84 Med: -5.04 Max: 62.37
Current: 4.76
During the past 13 years, Covalon Technologies's highest ROA % was 62.37%. The lowest was -43.84%. And the median was -5.04%.
CVALF's ROA % is ranked better than 68.84% of 857
companies
in the Medical Devices & Instruments industry
Industry Median: 0.59
vs CVALF: 4.76
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.
* 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 Medical Instruments & Supplies subindustry, Covalon Technologies'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.
Covalon Technologies ROA % vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Covalon Technologies's ROA % distribution charts can be found below:
* The bar in red indicates where Covalon Technologies'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 (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Covalon Technologies (CVALF) has a ROA % of 13.29% 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 Covalon Technologies and its competitors. According to the industry distribution chart, Covalon Technologies ranks #267 out of 857 companies in the Medical Devices & Instruments industry, placing it in the top 31.2%.
Is Covalon Technologies' ROA % too high?
Covalon Technologies' current ROA % is 13.29%. The Medical Devices & Instruments industry median ROA % is 0.59. Covalon Technologies' value of 13.29% is 2152.5% above this industry median. Based on the distribution chart, Covalon Technologies ranks #267 out of 857 companies in the Medical Devices & Instruments industry, which is above the industry midpoint. Overall, Covalon Technologies has a GF Score™ of 82/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Covalon Technologies' ROA % compare to ISRG and BDX?
According to the Medical Devices & Instruments industry distribution chart, Covalon Technologies ranks #267 out of 857 companies for ROA %. This puts Covalon Technologies in the upper half of its industry. The industry median ROA % is 0.59. Covalon Technologies' value of 13.29% is 2152.5% above this benchmark. 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 Medical Devices & Instruments company?
The median ROA % among Medical Devices & Instruments companies is 0.59, based on 857 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. Covalon Technologies's current ROA % of 13.29% is 2152.5% 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 Covalon Technologies and its competitors. For the Medical Devices & Instruments industry, the median ROA % is 0.59 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Covalon Technologies's current ROA % is 13.29%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Covalon Technologies stock overvalued right now?
Based on GuruFocus' analysis, Covalon Technologies (CVALF) is currently considered Fairly Valued. The stock's GF Value™ is $1.54, compared to a current price of $1.56 — trading 1.3% above its estimated fair value. The current ROA % is 13.29% and 2152.5% above the Medical Devices & Instruments industry median of 0.59. Covalon Technologies' overall GF Score™ is 82/100 with 2 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 Covalon Technologies (CVALF), the current ROA % is 13.29% 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 Covalon Technologies (CVALF) Overvalued in 2026?
Based on GuruFocus' analysis, Covalon Technologies stock appears to be overvalued.
The current stock price of $1.56 is trading 1.3% above its estimated GF Value™ of $1.54.
GuruFocus considers Covalon Technologies to be Fairly Valued.
Key valuation signals for CVALF:
ROA %: 13.29%
GF Value™: $1.54 vs. price of $1.56 (1.3% above fair value)
Industry Position: 2152.5% above the Medical Devices & Instruments median (#267 of 857)
No single metric tells the full story. See the CVALF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Covalon Technologies Ltd is engaged in the business of researching, developing, manufacturing, and marketing patent-protected medical products that improve patient outcomes in the areas of infection management, wound care, and surgical procedures. The company generates revenue through development contracts, licensing agreements, distribution contracts, and sales. Its products include IV dressings, surgical site protection products, vascular access protection products, and others, and its solutions include primary dressing cover, vascular access technologies, advanced wound care, sensitive skin solutions, custom medical coatings, and patient resource support.
82GF Score
Get the complete analysis for CVALF
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