Grand Canyon Education (FRA:GKD) ROA %: 30.95% (As of Mar. 2026) — 79% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:GKD Grand Canyon Education Inc FRA:GKD
83 GF Score
Price €119.60
GF Value €158.78
! 2 Warning Signs
View Full Analysis

What is Grand Canyon Education ROA %?

Grand Canyon Education FRA:GKD -1.24% 83 ROA % is 30.95% as of Mar. 2026, which is 79% above its 10-year median of 17.32. GuruFocus rates FRA:GKD with a GF Score™ of 83/100 and a GF Value™ of €158.78. The stock has 2 warning signs investors should review. Among 263 Education companies, Grand Canyon Education ranks better than 96.58% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Grand Canyon Education's annualized Net Income for the quarter that ended in Mar. 2026 was €260.7 Mil. Grand Canyon Education's average Total Assets over the quarter that ended in Mar. 2026 was €842.3 Mil. Therefore, Grand Canyon Education's annualized ROA % for the quarter that ended in Mar. 2026 was 30.95%.

The historical rank and industry rank for Grand Canyon Education's ROA % or its related term are showing as below:

FRA:GKD' s ROA % Range Over the Past 10 Years
Min: 14.55   Med: 17.32   Max: 23.25
Current: 21.79

During the past 13 years, Grand Canyon Education's highest ROA % was 23.25%. The lowest was 14.55%. And the median was 17.32%.

FRA:GKD's ROA % is ranked better than
96.58% of 263 companies
in the Education industry
Industry Median: 3.9 vs FRA:GKD: 21.79

Grand Canyon Education  (FRA:GKD) 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 bank’s 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:

ROA %(Q: Mar. 2026 )
=Net Income/Total Assets
=260.704/842.328
=(Net Income / Revenue)*(Revenue / Total Assets)
=(260.704 / 1068.308)*(1068.308 / 842.328)
=Net Margin %*Asset Turnover
=24.4 %*1.2683
=30.95 %

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.


Grand Canyon Education ROA % Related Terms


Grand Canyon Education ROA % Historical Data

* Premium members only.

The historical data trend for Grand Canyon Education'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.

Grand Canyon Education ROA % Chart

Grand Canyon Education Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 17.73 18.66 22.93 23.67 20.29

Grand Canyon Education Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 27.51 15.67 6.28 34.30 30.95

FRA:GKD vs LRN, CVSA, GHC: ROA % Comparison

For the Education & Training Services subindustry, Grand Canyon Education'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.


Grand Canyon Education ROA % vs Education Industry

For the Education industry and Consumer Defensive sector, Grand Canyon Education's ROA % distribution charts can be found below:

* The bar in red indicates where Grand Canyon Education's ROA % falls into.


FRA:GKD
83GF Score
Grand Canyon Education Inc FRA:GKD
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Grand Canyon Education ROA % Calculation

Grand Canyon Education's annualized ROA % for the fiscal year that ended in Dec. 2025 is calculated as:

ROA %=Net Income (A: Dec. 2025 )/( (Total Assets (A: Dec. 2024 )+Total Assets (A: Dec. 2025 ))/ count )
=184.609/( (972.596+847.428)/ 2 )
=184.609/910.012
=20.29 %

Grand Canyon Education's annualized ROA % for the quarter that ended in Mar. 2026 is calculated as:

ROA %=Net Income (Q: Mar. 2026 )/( (Total Assets (Q: Dec. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=260.704/( (847.428+837.228)/ 2 )
=260.704/842.328
=30.95 %

* 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.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 30.95% mean?
Grand Canyon Education (FRA:GKD) has a ROA % of 30.95% 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 Grand Canyon Education and its competitors. This is 79% above median its historical median of 17.32. Over the past decade, Grand Canyon Education's ROA % has ranged from 14.55 to 23.25. According to the industry distribution chart, Grand Canyon Education ranks #9 out of 263 companies in the Education industry, placing it in the top 3.4%.
Is Grand Canyon Education's ROA % too high?
Grand Canyon Education's current ROA % of 30.95% is 79% above median its 10-year median of 17.32. Over the past 10 years, this metric has ranged from a low of 14.55 to a high of 23.25. The Education industry median ROA % is 3.90. Grand Canyon Education's value of 30.95% is 693.6% above this industry median. Based on the distribution chart, Grand Canyon Education ranks #9 out of 263 companies in the Education industry, which is in the top quartile — a strong position relative to peers. Overall, Grand Canyon Education has a GF Score™ of 83/100, reflecting its overall financial health beyond just this single metric.
How does Grand Canyon Education's ROA % compare to LRN and CVSA?
According to the Education industry distribution chart, Grand Canyon Education ranks #9 out of 263 companies for ROA %. This places Grand Canyon Education in the top 3% of its industry — outperforming the majority of peers. The industry median ROA % is 3.90. Grand Canyon Education's value of 30.95% is 693.6% above this benchmark. Historically, Grand Canyon Education's own ROA % has ranged from 14.55 to 23.25 over the past decade. While the company's 10-year median is 17.32 vs. the industry median of 3.90, Grand Canyon Education 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 Education company?
The median ROA % among Education companies is 3.90, based on 263 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. Grand Canyon Education's current ROA % of 30.95% is 693.6% 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 Grand Canyon Education and its competitors. For the Education industry, the median ROA % is 3.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Grand Canyon Education's current ROA % is 30.95%, which is 79% above median its own 10-year median of 17.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Grand Canyon Education stock overvalued right now?
Grand Canyon Education (FRA:GKD) has a current ROA % of 30.95%. The stock's GF Value™ is €158.78, compared to a current price of €119.60 — trading 24.7% below its estimated fair value. The current ROA % is 30.95%, which is 79% above median its 10-year median of 17.32 and 693.6% above the Education industry median of 3.90. Grand Canyon Education's overall GF Score™ is 83/100 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 Grand Canyon Education (FRA:GKD), the current ROA % is 30.95% 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 Grand Canyon Education (FRA:GKD) Overvalued in 2026?

Based on GuruFocus' analysis, Grand Canyon Education stock appears to be undervalued. The current stock price of €119.60 is trading 24.7% below its estimated GF Value™ of €158.78.

Key valuation signals for FRA:GKD:

  • ROA %: 30.95% (79% above median its 10-year median of 17.32)
  • GF Value™: €158.78 vs. price of €119.60 (24.7% below fair value)
  • GF Score™: 83/100 with 2 warning signs
  • Industry Position: 693.6% above the Education median (#9 of 263)

No single metric tells the full story. See the FRA:GKD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Grand Canyon Education Business Description

Other Exchanges LOPE:USA
Address 2600 West Camelback Road, Phoenix, AZ, USA, 85017
Grand Canyon Education Inc is a publicly traded education services company dedicated to serving colleges and universities. GCE's university partner is Grand Canyon University, an Arizona non-profit corporation that operates a comprehensive regionally accredited university that offers graduate and undergraduate degree programs, emphases, and certificates across nine colleges, both online and on the ground at its campus in Phoenix, Arizona, and at four off-site classroom andlaboratory sites. The Company generates all of its revenue through service agreements with its university partners.
83GF Score

Get the complete analysis for FRA:GKD

ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€119.60
Price
€158.78
GF Value