Healthcare Services GroupHCSG +4.24%73 ROA % is 12.96% as of Mar. 2026, which is 57% above its 10-year median of 8.27. GuruFocus rates HCSG with a GF Score™ of 73/100 and a GF Value™ of $14.08 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 686 Healthcare Providers & Services companies, Healthcare Services Group ranks better than 81.92% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Healthcare Services Group's annualizedNet Income for the quarter that ended in Mar. 2026 was $104 Mil.
Healthcare Services Group's average Total Assets over the quarter that ended in Mar. 2026 was $805 Mil. Therefore, Healthcare Services Group's annualized ROA % for the quarter that ended in Mar. 2026 was 12.96%.
The historical rank and industry rank for Healthcare Services Group's ROA % or its related term are showing as below:
HCSG'
s ROA % Range Over the Past 10 Years
Min: 4.57 Med: 8.27 Max: 15.34
Current: 8.41
During the past 13 years, Healthcare Services Group's highest ROA % was 15.34%. The lowest was 4.57%. And the median was 8.27%.
HCSG's ROA % is ranked better than 81.92% of 686
companies
in the Healthcare Providers & Services industry
Industry Median: 1.75
vs HCSG: 8.41
Healthcare Services Group (NAS:HCSG) 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 Medical Care Facilities subindustry, Healthcare Services 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.
Healthcare Services Group ROA % vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Healthcare Services Group's ROA % distribution charts can be found below:
* The bar in red indicates where Healthcare Services 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.
Healthcare Services Group (HCSG) has a ROA % of 12.96% 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 Healthcare Services Group and its competitors. This is 57% above median its historical median of 8.27. Over the past decade, Healthcare Services Group's ROA % has ranged from 4.57 to 15.34. According to the industry distribution chart, Healthcare Services Group ranks #124 out of 686 companies in the Healthcare Providers & Services industry, placing it in the top 18.1%.
Is Healthcare Services Group's ROA % too high?
Healthcare Services Group's current ROA % of 12.96% is 57% above median its 10-year median of 8.27. Over the past 10 years, this metric has ranged from a low of 4.57 to a high of 15.34. The Healthcare Providers & Services industry median ROA % is 1.75. Healthcare Services Group's value of 12.96% is 640.6% above this industry median. Based on the distribution chart, Healthcare Services Group ranks #124 out of 686 companies in the Healthcare Providers & Services industry, which is in the top quartile — a strong position relative to peers. Overall, Healthcare Services Group has a GF Score™ of 73/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Healthcare Services Group's ROA % compare to ARDT and AGL?
According to the Healthcare Providers & Services industry distribution chart, Healthcare Services Group ranks #124 out of 686 companies for ROA %. This places Healthcare Services Group in the top 18% of its industry — outperforming the majority of peers. The industry median ROA % is 1.75. Healthcare Services Group's value of 12.96% is 640.6% above this benchmark. Historically, Healthcare Services Group's own ROA % has ranged from 4.57 to 15.34 over the past decade. While the company's 10-year median is 8.27 vs. the industry median of 1.75, Healthcare Services Group 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 a Healthcare Providers & Services company?
The median ROA % among Healthcare Providers & Services companies is 1.75, based on 686 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. Healthcare Services Group's current ROA % of 12.96% is 640.6% 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 Healthcare Services Group and its competitors. For the Healthcare Providers & Services industry, the median ROA % is 1.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Healthcare Services Group's current ROA % is 12.96%, which is 57% above median its own 10-year median of 8.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Healthcare Services Group stock overvalued right now?
Based on GuruFocus' analysis, Healthcare Services Group (HCSG) is currently considered Significantly Overvalued. The stock's GF Value™ is $14.08, compared to a current price of $23.58 — trading 67.5% above its estimated fair value. The current ROA % is 12.96%, which is 57% above median its 10-year median of 8.27 and 640.6% above the Healthcare Providers & Services industry median of 1.75. Healthcare Services Group's overall GF Score™ is 73/100 with 5 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 Healthcare Services Group (HCSG), the current ROA % is 12.96% 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 Healthcare Services Group (HCSG) Overvalued in 2026?
Based on GuruFocus' analysis, Healthcare Services Group stock appears to be overvalued.
The current stock price of $23.58 is trading 67.5% above its estimated GF Value™ of $14.08.
GuruFocus considers Healthcare Services Group to be Significantly Overvalued.
Key valuation signals for HCSG:
ROA %: 12.96% (57% above median its 10-year median of 8.27)
GF Value™: $14.08 vs. price of $23.58 (67.5% above fair value)
Industry Position: 640.6% above the Healthcare Providers & Services median (#124 of 686)
No single metric tells the full story. See the HCSG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Healthcare Services Group Inc is a provider of housekeeping and facility management services to the healthcare industry. The company manages and evaluates its operations in two reportable segments: Environmental Services segment includes housekeeping, management of clients' housekeeping departments, cleaning, disinfecting and sanitizing, laundry, bed linen, and uniform services, linen and other services; and Dietary Segment includes dietary department services, food purchasing, meal preparation, and providing dietitian consulting services. Its clients are nursing homes, retirement complexes, rehabilitation centers, and hospitals in the United States of America. The Environmental Services segment derives maximum revenue.
73GF Score
Get the complete analysis for HCSG
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
HCSG has been successfully added to your 
