ITO ENITONF 74 ROA % is 4.20% as of Oct. 2025, which is 6% above its 10-year median of 3.98. GuruFocus rates ITONF with a GF Score™ of 74/100 and a GF Value™ of $92.79. The stock has 1 warning sign investors should review. Among 116 Beverages - Non-Alcoholic companies, ITO EN ranks worse than 75% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. ITO EN's annualizedNet Income for the quarter that ended in Oct. 2025 was $101 Mil.
ITO EN's average Total Assets over the quarter that ended in Oct. 2025 was $2,408 Mil. Therefore, ITO EN's annualized ROA % for the quarter that ended in Oct. 2025 was 4.20%.
The historical rank and industry rank for ITO EN's ROA % or its related term are showing as below:
ITONF'
s ROA % Range Over the Past 10 Years
Min: 0.78 Med: 3.98 Max: 4.78
Current: 0.78
During the past 13 years, ITO EN's highest ROA % was 4.78%. The lowest was 0.78%. And the median was 3.98%.
ITONF's ROA % is ranked worse than 75% of 116
companies
in the Beverages - Non-Alcoholic industry
Industry Median: 5.595
vs ITONF: 0.78
ITO EN (OTCPK:ITONF) 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 (Oct. 2025) net income data. The Revenue data used here is four times the quarterly (Oct. 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.
ITO EN ROA % Related Terms
ITO EN ROA % Historical Data
* Premium members only.
The historical data trend for ITO EN'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.
For the Beverages - Non-Alcoholic subindustry, ITO EN'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.
ITO EN ROA % vs Beverages - Non-Alcoholic Industry
For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, ITO EN's ROA % distribution charts can be found below:
* The bar in red indicates where ITO EN'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 (Oct. 2025) net income data.
ROA % is displayed in the 30-year financial page.
ITO EN (ITONF) has a ROA % of 4.20% as of Oct. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on ITO EN and its competitors. This is near median its historical median of 3.98. Over the past decade, ITO EN's ROA % has ranged from 0.78 to 4.78. According to the industry distribution chart, ITO EN ranks #87 out of 116 companies in the Beverages - Non-Alcoholic industry, placing it in the top 75%.
Is ITO EN's ROA % too high?
ITO EN's current ROA % of 4.20% is near median its 10-year median of 3.98. Over the past 10 years, this metric has ranged from a low of 0.78 to a high of 4.78. The Beverages - Non-Alcoholic industry median ROA % is 5.60. ITO EN's value of 4.20% is 24.9% below this industry median. Based on the distribution chart, ITO EN ranks #87 out of 116 companies in the Beverages - Non-Alcoholic industry, which is below the industry midpoint. Overall, ITO EN has a GF Score™ of 74/100, reflecting its overall financial health beyond just this single metric.
How does ITO EN's ROA % compare to KO and PEP?
According to the Beverages - Non-Alcoholic industry distribution chart, ITO EN ranks #87 out of 116 companies for ROA %. This places ITO EN in the lower half of its industry. The industry median ROA % is 5.60. ITO EN's value of 4.20% is 24.9% below this benchmark. Historically, ITO EN's own ROA % has ranged from 0.78 to 4.78 over the past decade. While the company's 10-year median is 3.98 vs. the industry median of 5.60, ITO EN 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 Beverages - Non-Alcoholic company?
The median ROA % among Beverages - Non-Alcoholic companies is 5.60, based on 116 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. ITO EN's current ROA % of 4.20% is 24.9% 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 ITO EN and its competitors. For the Beverages - Non-Alcoholic industry, the median ROA % is 5.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ITO EN's current ROA % is 4.20%, which is near median its own 10-year median of 3.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ITO EN stock overvalued right now?
ITO EN (ITONF) has a current ROA % of 4.20%. The stock's GF Value™ is $92.79, compared to a current price of $61.41 — trading 33.8% below its estimated fair value. The current ROA % is 4.20%, which is near median its 10-year median of 3.98 and 24.9% below the Beverages - Non-Alcoholic industry median of 5.60. ITO EN's overall GF Score™ is 74/100 with 1 warning sign 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 ITO EN (ITONF), the current ROA % is 4.20% as of Oct. 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 ITO EN (ITONF) Overvalued in 2026?
Based on GuruFocus' analysis, ITO EN stock appears to be undervalued.
The current stock price of $61.41 is trading 33.8% below its estimated GF Value™ of $92.79.
Key valuation signals for ITONF:
ROA %: 4.20% (near median its 10-year median of 3.98)
GF Value™: $92.79 vs. price of $61.41 (33.8% below fair value)
Industry Position: 24.9% below the Beverages - Non-Alcoholic median (#87 of 116)
No single metric tells the full story. See the ITONF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ITO EN Ltd makes beverages and other tea and nutritional products that it sells in Japan. Ito En primarily sells green tea products, including ready-to-drink beverages, tea bags, and other tea leaf products, under its Oi Ocha brand. Other beverages the company sells include black tea, Chinese tea, coffee, vegetable beverages, fruit beverages, mineral water, and functional beverages. The Leaf- and Drink-Related business segment makes up roughly 90% of the company's total revenue. Most remaining revenue is generated from Ito En's restaurant business, which operates hundreds of Tully's coffee shops in Japan.
74GF Score
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