ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Covenant Logistics Group's annualizedNet Income for the quarter that ended in Mar. 2026 was €15 Mil.
Covenant Logistics Group's average Total Assets over the quarter that ended in Mar. 2026 was €886 Mil. Therefore, Covenant Logistics Group's annualized ROA % for the quarter that ended in Mar. 2026 was 1.73%.
The historical rank and industry rank for Covenant Logistics Group's ROA % or its related term are showing as below:
FRA:CV5'
s ROA % Range Over the Past 10 Years
Min: -5.48 Med: 4.83 Max: 15.01
Current: 0.5
During the past 13 years, Covenant Logistics Group's highest ROA % was 15.01%. The lowest was -5.48%. And the median was 4.83%.
FRA:CV5's ROA % is ranked worse than 77.14% of 1015
companies
in the Transportation industry
Industry Median: 3.45
vs FRA:CV5: 0.50
Covenant Logistics Group (FRA:CV5) 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.
* 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 Trucking subindustry, Covenant Logistics Group'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.
Covenant Logistics Group ROA % vs Transportation Industry
For the Transportation industry and Industrials sector, Covenant Logistics Group's ROA % distribution charts can be found below:
* The bar in red indicates where Covenant Logistics Group'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.
Covenant Logistics Group (FRA:CV5) has a ROA % of 1.73% 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 Covenant Logistics Group and its competitors. This is 64% below median its historical median of 4.83. According to the industry distribution chart, Covenant Logistics Group ranks #783 out of 1015 companies in the Transportation industry, placing it in the top 77.1%.
Is Covenant Logistics Group's ROA % too high?
Covenant Logistics Group's current ROA % of 1.73% is 64% below median its 10-year median of 4.83. The Transportation industry median ROA % is 3.45. Covenant Logistics Group's value of 1.73% is 49.9% below this industry median. Based on the distribution chart, Covenant Logistics Group ranks #783 out of 1015 companies in the Transportation industry, which is in the bottom quartile relative to peers. Overall, Covenant Logistics Group has a GF Score™ of 68/100, reflecting its overall financial health beyond just this single metric.
How does Covenant Logistics Group's ROA % compare to HTLD and MRTN?
According to the Transportation industry distribution chart, Covenant Logistics Group ranks #783 out of 1015 companies for ROA %. This places Covenant Logistics Group in the lower half of its industry. The industry median ROA % is 3.45. Covenant Logistics Group's value of 1.73% is 49.9% below this benchmark. While the company's 10-year median is 4.83 vs. the industry median of 3.45, Covenant Logistics Group has consistently been below 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 Transportation company?
The median ROA % among Transportation companies is 3.45, based on 1,015 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. Covenant Logistics Group's current ROA % of 1.73% is 49.9% below 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 Covenant Logistics Group and its competitors. For the Transportation industry, the median ROA % is 3.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Covenant Logistics Group's current ROA % is 1.73%, which is 64% below median its own 10-year median of 4.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Covenant Logistics Group stock overvalued right now?
Covenant Logistics Group (FRA:CV5) has a current ROA % of 1.73%. The stock's GF Value™ is €22.87, compared to a current price of €38.00 — trading 66.2% above its estimated fair value. The current ROA % is 1.73%, which is 64% below median its 10-year median of 4.83 and 49.9% below the Transportation industry median of 3.45. Covenant Logistics Group's overall GF Score™ is 68/100 with 10 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 Covenant Logistics Group (FRA:CV5), the current ROA % is 1.73% 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 Covenant Logistics Group (FRA:CV5) Overvalued in 2026?
Based on GuruFocus' analysis, Covenant Logistics Group stock appears to be overvalued.
The current stock price of €38.00 is trading 66.2% above its estimated GF Value™ of €22.87.
Key valuation signals for FRA:CV5:
ROA %: 1.73% (64% below median its 10-year median of 4.83)
GF Value™: €22.87 vs. price of €38.00 (66.2% above fair value)
Industry Position: 49.9% below the Transportation median (#783 of 1015)
No single metric tells the full story. See the FRA:CV5 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Covenant Logistics Group Inc together with its wholly-owned subsidiaries, offers truckload transportation and freight brokerage services to customers throughout the continental United States. The company's reportable segments include Expedited, Dedicated Services, Managed Freight, and Warehousing. The expedited segment provides truckload services to customers with high service freight and delivery standards. Dedicated segment provides customers with committed truckload capacity over contracted periods with the goal of three to five years in length. The Managed Freight segment includes brokerage services and TMS. The warehousing segment provides day-to-day warehouse management services to customers who have chosen to outsource this function.
68GF Score
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