Fernheizwerk Neukoelln AGFRA:FHW 71 ROA % is 5.50% as of Dec. 2025, which is 35% below its 10-year median of 8.48. GuruFocus rates FRA:FHW with a GF Score™ of 71/100 and a GF Value™ of €26.59 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 448 Utilities - Independent Power Producers companies, Fernheizwerk Neukoelln AG ranks better than 64.96% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Fernheizwerk Neukoelln AG's annualizedNet Income for the quarter that ended in Dec. 2025 was €6.00 Mil.
Fernheizwerk Neukoelln AG's average Total Assets over the quarter that ended in Dec. 2025 was €109.00 Mil. Therefore, Fernheizwerk Neukoelln AG's annualized ROA % for the quarter that ended in Dec. 2025 was 5.50%.
The historical rank and industry rank for Fernheizwerk Neukoelln AG's ROA % or its related term are showing as below:
FRA:FHW'
s ROA % Range Over the Past 10 Years
Min: -0.39 Med: 8.48 Max: 12.45
Current: 2.75
During the past 13 years, Fernheizwerk Neukoelln AG's highest ROA % was 12.45%. The lowest was -0.39%. And the median was 8.48%.
Fernheizwerk Neukoelln AG (FRA:FHW) 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 two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-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.
* 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 Utilities - Independent Power Producers subindustry, Fernheizwerk Neukoelln AG'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.
Fernheizwerk Neukoelln AG ROA % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Fernheizwerk Neukoelln AG's ROA % distribution charts can be found below:
* The bar in red indicates where Fernheizwerk Neukoelln AG'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 two times the semi-annual (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Fernheizwerk Neukoelln AG (FRA:FHW) has a ROA % of 5.50% 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 Fernheizwerk Neukoelln AG and its competitors. This is 35% below median its historical median of 8.48. According to the industry distribution chart, Fernheizwerk Neukoelln AG ranks #157 out of 448 companies in the Utilities - Independent Power Producers industry, placing it in the top 35%.
Is Fernheizwerk Neukoelln AG's ROA % too high?
Fernheizwerk Neukoelln AG's current ROA % of 5.50% is 35% below median its 10-year median of 8.48. The Utilities - Independent Power Producers industry median ROA % is 1.17. Fernheizwerk Neukoelln AG's value of 5.50% is 372.1% above this industry median. Based on the distribution chart, Fernheizwerk Neukoelln AG ranks #157 out of 448 companies in the Utilities - Independent Power Producers industry, which is above the industry midpoint. Overall, Fernheizwerk Neukoelln AG has a GF Score™ of 71/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Fernheizwerk Neukoelln AG's ROA % compare to CEG and VST?
According to the Utilities - Independent Power Producers industry distribution chart, Fernheizwerk Neukoelln AG ranks #157 out of 448 companies for ROA %. This puts Fernheizwerk Neukoelln AG in the upper half of its industry. The industry median ROA % is 1.17. Fernheizwerk Neukoelln AG's value of 5.50% is 372.1% above this benchmark. While the company's 10-year median is 8.48 vs. the industry median of 1.17, Fernheizwerk Neukoelln AG 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 Utilities - Independent Power Producers company?
The median ROA % among Utilities - Independent Power Producers companies is 1.17, based on 448 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. Fernheizwerk Neukoelln AG's current ROA % of 5.50% is 372.1% 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 Fernheizwerk Neukoelln AG and its competitors. For the Utilities - Independent Power Producers industry, the median ROA % is 1.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fernheizwerk Neukoelln AG's current ROA % is 5.50%, which is 35% below median its own 10-year median of 8.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fernheizwerk Neukoelln AG stock overvalued right now?
Based on GuruFocus' analysis, Fernheizwerk Neukoelln AG (FRA:FHW) is currently considered Modestly Undervalued. The stock's GF Value™ is €26.59, compared to a current price of €18.80 — trading 29.3% below its estimated fair value. The current ROA % is 5.50%, which is 35% below median its 10-year median of 8.48 and 372.1% above the Utilities - Independent Power Producers industry median of 1.17. Fernheizwerk Neukoelln AG's overall GF Score™ is 71/100 with 7 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 Fernheizwerk Neukoelln AG (FRA:FHW), the current ROA % is 5.50% 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.
Is Fernheizwerk Neukoelln AG (FRA:FHW) Overvalued in 2026?
Based on GuruFocus' analysis, Fernheizwerk Neukoelln AG stock appears to be undervalued.
The current stock price of €18.80 is trading 29.3% below its estimated GF Value™ of €26.59.
GuruFocus considers Fernheizwerk Neukoelln AG to be Modestly Undervalued.
Key valuation signals for FRA:FHW:
ROA %: 5.50% (35% below median its 10-year median of 8.48)
GF Value™: €26.59 vs. price of €18.80 (29.3% below fair value)
Industry Position: 372.1% above the Utilities - Independent Power Producers median (#157 of 448)
No single metric tells the full story. See the FRA:FHW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Fernheizwerk Neukoelln AG is a German company which offers heating services to the city of Berlin. The company operates a grid of steam and hot water pipes throughout the city.
71GF Score
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