Arjo ABFRA:A39 +1.10%72 ROA % is 2.85% as of Mar. 2026, which is 5% below its 10-year median of 3.01. GuruFocus rates FRA:A39 with a GF Score™ of 72/100 and a GF Value™ of €3.24 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 120 Medical Distribution companies, Arjo AB ranks better than 52.5% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Arjo AB's annualizedNet Income for the quarter that ended in Mar. 2026 was €40.1 Mil.
Arjo AB's average Total Assets over the quarter that ended in Mar. 2026 was €1,406.6 Mil. Therefore, Arjo AB's annualized ROA % for the quarter that ended in Mar. 2026 was 2.85%.
The historical rank and industry rank for Arjo AB's ROA % or its related term are showing as below:
FRA:A39'
s ROA % Range Over the Past 10 Years
Min: 0.88 Med: 3.01 Max: 5.24
Current: 2.3
During the past 13 years, Arjo AB's highest ROA % was 5.24%. The lowest was 0.88%. And the median was 3.01%.
FRA:A39's ROA % is ranked better than 52.5% of 120
companies
in the Medical Distribution industry
Industry Median: 2.23
vs FRA:A39: 2.30
Arjo AB (FRA:A39) 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.
Arjo AB ROA % Related Terms
Arjo AB ROA % Historical Data
* Premium members only.
The historical data trend for Arjo AB'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 Medical Distribution subindustry, Arjo AB'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.
Arjo AB ROA % vs Medical Distribution Industry
For the Medical Distribution industry and Healthcare sector, Arjo AB's ROA % distribution charts can be found below:
* The bar in red indicates where Arjo AB'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.
Arjo AB (FRA:A39) has a ROA % of 2.85% 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 Arjo AB and its competitors. This is near median its historical median of 3.01. Over the past decade, Arjo AB's ROA % has ranged from 0.88 to 5.24. According to the industry distribution chart, Arjo AB ranks #57 out of 120 companies in the Medical Distribution industry, placing it in the top 47.5%.
Is Arjo AB's ROA % too high?
Arjo AB's current ROA % of 2.85% is near median its 10-year median of 3.01. Over the past 10 years, this metric has ranged from a low of 0.88 to a high of 5.24. The Medical Distribution industry median ROA % is 2.23. Arjo AB's value of 2.85% is 27.8% above this industry median. Based on the distribution chart, Arjo AB ranks #57 out of 120 companies in the Medical Distribution industry, which is above the industry midpoint. Overall, Arjo AB has a GF Score™ of 72/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arjo AB's ROA % compare to MCK and COR?
According to the Medical Distribution industry distribution chart, Arjo AB ranks #57 out of 120 companies for ROA %. This puts Arjo AB in the upper half of its industry. The industry median ROA % is 2.23. Arjo AB's value of 2.85% is 27.8% above this benchmark. Historically, Arjo AB's own ROA % has ranged from 0.88 to 5.24 over the past decade. While the company's 10-year median is 3.01 vs. the industry median of 2.23, Arjo AB 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 a Medical Distribution company?
The median ROA % among Medical Distribution companies is 2.23, based on 120 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. Arjo AB's current ROA % of 2.85% is 27.8% 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 Arjo AB and its competitors. For the Medical Distribution industry, the median ROA % is 2.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arjo AB's current ROA % is 2.85%, which is near median its own 10-year median of 3.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arjo AB stock overvalued right now?
Based on GuruFocus' analysis, Arjo AB (FRA:A39) is currently considered Significantly Undervalued. The stock's GF Value™ is €3.24, compared to a current price of €2.21 — trading 31.7% below its estimated fair value. The current ROA % is 2.85%, which is near median its 10-year median of 3.01 and 27.8% above the Medical Distribution industry median of 2.23. Arjo AB's overall GF Score™ is 72/100 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 Arjo AB (FRA:A39), the current ROA % is 2.85% 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 Arjo AB (FRA:A39) Overvalued in 2026?
Based on GuruFocus' analysis, Arjo AB stock appears to be undervalued.
The current stock price of €2.21 is trading 31.7% below its estimated GF Value™ of €3.24.
GuruFocus considers Arjo AB to be Significantly Undervalued.
Key valuation signals for FRA:A39:
ROA %: 2.85% (near median its 10-year median of 3.01)
GF Value™: €3.24 vs. price of €2.21 (31.7% below fair value)
Industry Position: 27.8% above the Medical Distribution median (#57 of 120)
No single metric tells the full story. See the FRA:A39 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arjo AB is a supplier of medical devices, services, and solutions in Sweden. It serves its services to private and public institutions with acute care and long-term care. The company's offering includes products and solutions for patient handling, hygiene, disinfection, medical beds, therapeutic surfaces, venous thromboembolism (VTE) prevention and diagnostics. The company includes segments: Global Sales, North America, Diagnostics.
72GF Score
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