ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Highwoods Properties's annualizedNet Income for the quarter that ended in Mar. 2026 was €110.5 Mil.
Highwoods Properties's average Total Assets over the quarter that ended in Mar. 2026 was €5,532.1 Mil. Therefore, Highwoods Properties's annualized ROA % for the quarter that ended in Mar. 2026 was 2.00%.
The historical rank and industry rank for Highwoods Properties's ROA % or its related term are showing as below:
FRA:HQS'
s ROA % Range Over the Past 10 Years
Min: 1.5 Med: 3.25 Max: 11.59
Current: 1.5
During the past 13 years, Highwoods Properties's highest ROA % was 11.59%. The lowest was 1.50%. And the median was 3.25%.
FRA:HQS's ROA % is ranked worse than 66.88% of 939
companies
in the REITs industry
Industry Median: 3.2
vs FRA:HQS: 1.50
Highwoods Properties (FRA:HQS) 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 REIT - Office subindustry, Highwoods Properties'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.
Highwoods Properties ROA % vs REITs Industry
For the REITs industry and Real Estate sector, Highwoods Properties's ROA % distribution charts can be found below:
* The bar in red indicates where Highwoods Properties'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.
Highwoods Properties (FRA:HQS) has a ROA % of 2.00% 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 Highwoods Properties and its competitors. This is 38% below median its historical median of 3.25. Over the past decade, Highwoods Properties' ROA % has ranged from 1.50 to 11.59. According to the industry distribution chart, Highwoods Properties ranks #628 out of 939 companies in the REITs industry, placing it in the top 66.9%.
Is Highwoods Properties' ROA % too high?
Highwoods Properties' current ROA % of 2.00% is 38% below median its 10-year median of 3.25. Over the past 10 years, this metric has ranged from a low of 1.50 to a high of 11.59. The REITs industry median ROA % is 3.20. Highwoods Properties' value of 2.00% is 37.5% below this industry median. Based on the distribution chart, Highwoods Properties ranks #628 out of 939 companies in the REITs industry, which is below the industry midpoint. Overall, Highwoods Properties has a GF Score™ of 65/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Highwoods Properties' ROA % compare to SLG and CDP?
According to the REITs industry distribution chart, Highwoods Properties ranks #628 out of 939 companies for ROA %. This places Highwoods Properties in the lower half of its industry. The industry median ROA % is 3.20. Highwoods Properties' value of 2.00% is 37.5% below this benchmark. Historically, Highwoods Properties' own ROA % has ranged from 1.50 to 11.59 over the past decade. While the company's 10-year median is 3.25 vs. the industry median of 3.20, Highwoods Properties 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 REITs company?
The median ROA % among REITs companies is 3.20, based on 939 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. Highwoods Properties's current ROA % of 2.00% is 37.5% 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 Highwoods Properties and its competitors. For the REITs industry, the median ROA % is 3.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Highwoods Properties's current ROA % is 2.00%, which is 38% below median its own 10-year median of 3.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Highwoods Properties stock overvalued right now?
Based on GuruFocus' analysis, Highwoods Properties (FRA:HQS) is currently considered Modestly Overvalued. The stock's GF Value™ is €22.90, compared to a current price of €27.00 — trading 17.9% above its estimated fair value. The current ROA % is 2.00%, which is 38% below median its 10-year median of 3.25 and 37.5% below the REITs industry median of 3.20. Highwoods Properties' overall GF Score™ is 65/100 with 13 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 Highwoods Properties (FRA:HQS), the current ROA % is 2.00% 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 Highwoods Properties (FRA:HQS) Overvalued in 2026?
Based on GuruFocus' analysis, Highwoods Properties stock appears to be overvalued.
The current stock price of €27.00 is trading 17.9% above its estimated GF Value™ of €22.90.
GuruFocus considers Highwoods Properties to be Modestly Overvalued.
Key valuation signals for FRA:HQS:
ROA %: 2.00% (38% below median its 10-year median of 3.25)
GF Value™: €22.90 vs. price of €27.00 (17.9% above fair value)
Industry Position: 37.5% below the REITs median (#628 of 939)
No single metric tells the full story. See the FRA:HQS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Highwoods Properties Inc is a fully integrated office REIT that owns, develops, acquires, leases, and manages office properties mainly in the best business districts of Atlanta, Charlotte, Dallas, Nashville, Orlando, Raleigh, Richmond, and Tampa. Its principal business is the operation, acquisition, and development of rental office properties, with no material inter-segment transactions. The Company evaluates performance by geographic location, and the operating results by geographic grouping are regularly reviewed by the chief operating decision maker. The core portfolio consists mainly of office properties in its key markets, with the majority of revenue derived from its Raleigh properties.
65GF Score
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