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Honeywell AerospaceFRA:AW8 -0.15%26 ROA % is 9.75% as of Dec. 2025, which is 28% below its 10-year median of 13.52. GuruFocus rates FRA:AW8 with a GF Score™ of 26/100. The stock has 1 warning sign investors should review. Among 360 Aerospace & Defense companies, Honeywell Aerospace ranks better than 87.78% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Honeywell Aerospace's annualizedNet Income for the quarter that ended in Dec. 2025 was €1,520 Mil.
Honeywell Aerospace's average Total Assets over the quarter that ended in Dec. 2025 was €15,595 Mil. Therefore, Honeywell Aerospace's annualized ROA % for the quarter that ended in Dec. 2025 was 9.75%.
The historical rank and industry rank for Honeywell Aerospace's ROA % or its related term are showing as below:
FRA:AW8'
s ROA % Range Over the Past 10 Years
Min: 10.31 Med: 13.52 Max: 16.72
Current: 10.31
During the past 3 years, Honeywell Aerospace's highest ROA % was 16.72%. The lowest was 10.31%. And the median was 13.52%.
FRA:AW8's ROA % is ranked better than 87.78% of 360
companies
in the Aerospace & Defense industry
Industry Median: 2.575
vs FRA:AW8: 10.31
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 one times the annual (Dec. 2025) net income data. The Revenue data used here is one times the annual (Dec. 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.
Honeywell Aerospace ROA % Related Terms
Honeywell Aerospace ROA % Historical Data
* Premium members only.
The historical data trend for Honeywell Aerospace'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.
Honeywell Aerospace ROA % Chart
Honeywell Aerospace Annual Data
Trend
Dec23
Dec24
Dec25
ROA %
0.00
16.72
9.75
Honeywell Aerospace Semi-Annual Data
Dec23
Dec24
Dec25
ROA %
0.00
16.72
9.75
FRA:AW8 vs TDG, LHX, NOC: ROA % Comparison
For the Aerospace & Defense subindustry, Honeywell Aerospace'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.
Honeywell Aerospace ROA % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Honeywell Aerospace's ROA % distribution charts can be found below:
* The bar in red indicates where Honeywell Aerospace'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 one times the annual (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Honeywell Aerospace (FRA:AW8) has a ROA % of 9.75% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Honeywell Aerospace and its competitors. This is 28% below median its historical median of 13.52. Over the past decade, Honeywell Aerospace's ROA % has ranged from 10.31 to 16.72. According to the industry distribution chart, Honeywell Aerospace ranks #44 out of 360 companies in the Aerospace & Defense industry, placing it in the top 12.2%.
Is Honeywell Aerospace's ROA % too high?
Honeywell Aerospace's current ROA % of 9.75% is 28% below median its 10-year median of 13.52. Over the past 10 years, this metric has ranged from a low of 10.31 to a high of 16.72. The Aerospace & Defense industry median ROA % is 2.58. Honeywell Aerospace's value of 9.75% is 278.6% above this industry median. Based on the distribution chart, Honeywell Aerospace ranks #44 out of 360 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, Honeywell Aerospace has a GF Score™ of 26/100, reflecting its overall financial health beyond just this single metric.
How does Honeywell Aerospace's ROA % compare to TDG and LHX?
According to the Aerospace & Defense industry distribution chart, Honeywell Aerospace ranks #44 out of 360 companies for ROA %. This places Honeywell Aerospace in the top 12% of its industry — outperforming the majority of peers. The industry median ROA % is 2.58. Honeywell Aerospace's value of 9.75% is 278.6% above this benchmark. Historically, Honeywell Aerospace's own ROA % has ranged from 10.31 to 16.72 over the past decade. While the company's 10-year median is 13.52 vs. the industry median of 2.58, Honeywell Aerospace 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 Aerospace & Defense company?
The median ROA % among Aerospace & Defense companies is 2.58, based on 360 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. Honeywell Aerospace's current ROA % of 9.75% is 278.6% 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 Honeywell Aerospace and its competitors. For the Aerospace & Defense industry, the median ROA % is 2.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Honeywell Aerospace's current ROA % is 9.75%, which is 28% below median its own 10-year median of 13.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Honeywell Aerospace stock overvalued right now?
Honeywell Aerospace (FRA:AW8) has a current ROA % of 9.75%. The current ROA % is 9.75%, which is 28% below median its 10-year median of 13.52 and 278.6% above the Aerospace & Defense industry median of 2.58. Honeywell Aerospace's overall GF Score™ is 26/100 with 1 warning sign 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 Honeywell Aerospace (FRA:AW8), the current ROA % is 9.75% as of Dec. 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.
Honeywell Aerospace Inc operates as an aerospace and defense supplier of systems and technologies that enable the production, maintenance, and safe operation of aerospace and defense platforms. Its products support original equipment manufacturer (OEM), government, defense prime contractor, and aircraft operator customers across the Commercial Air Transport, Business Aviation, and Defense and Space end markets. The company has three operating segments: Electronic Solutions (ES), Engines & Power Systems (E&PS), and Control Systems (CS ). The majority of revenue is derived from the Electronic Solutions segment, which offers Avionics, Navigation and Sensors, Electromagnetic Defensive Solutions, and Space systems. Geographically, the maximum revenue is generated from the United States.
26GF Score
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