Adcorp HoldingsJSE:ADR +4.17%58 ROA % is 5.91% as of Feb. 2026, which is 198% above its 10-year median of 1.98. GuruFocus rates JSE:ADR with a GF Score™ of 58/100 and a GF Value™ of R4.60 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 1,096 Business Services companies, Adcorp Holdings ranks better than 58.67% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Adcorp Holdings's annualizedNet Income for the quarter that ended in Feb. 2026 was R183 Mil.
Adcorp Holdings's average Total Assets over the quarter that ended in Feb. 2026 was R3,100 Mil. Therefore, Adcorp Holdings's annualized ROA % for the quarter that ended in Feb. 2026 was 5.91%.
The historical rank and industry rank for Adcorp Holdings's ROA % or its related term are showing as below:
JSE:ADR'
s ROA % Range Over the Past 10 Years
Min: -14.22 Med: 1.98 Max: 5.84
Current: 4.63
During the past 13 years, Adcorp Holdings's highest ROA % was 5.84%. The lowest was -14.22%. And the median was 1.98%.
JSE:ADR's ROA % is ranked better than 58.67% of 1096
companies
in the Business Services industry
Industry Median: 3.455
vs JSE:ADR: 4.63
Adcorp Holdings (JSE:ADR) 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 (Feb. 2026) net income data. The Revenue data used here is two times the semi-annual (Feb. 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.
Adcorp Holdings ROA % Related Terms
Adcorp Holdings ROA % Historical Data
* Premium members only.
The historical data trend for Adcorp Holdings'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 Staffing & Employment Services subindustry, Adcorp Holdings'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.
Adcorp Holdings ROA % vs Business Services Industry
For the Business Services industry and Industrials sector, Adcorp Holdings's ROA % distribution charts can be found below:
* The bar in red indicates where Adcorp Holdings'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 (Feb. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Adcorp Holdings (JSE:ADR) has a ROA % of 5.91% as of Feb. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Adcorp Holdings and its competitors. This is 198% above median its historical median of 1.98. According to the industry distribution chart, Adcorp Holdings ranks #453 out of 1096 companies in the Business Services industry, placing it in the top 41.3%.
Is Adcorp Holdings' ROA % too high?
Adcorp Holdings' current ROA % of 5.91% is 198% above median its 10-year median of 1.98. The Business Services industry median ROA % is 3.46. Adcorp Holdings' value of 5.91% is 71.1% above this industry median. Based on the distribution chart, Adcorp Holdings ranks #453 out of 1096 companies in the Business Services industry, which is above the industry midpoint. Overall, Adcorp Holdings has a GF Score™ of 58/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Adcorp Holdings' ROA % compare to KFY and RHI?
According to the Business Services industry distribution chart, Adcorp Holdings ranks #453 out of 1096 companies for ROA %. This puts Adcorp Holdings in the upper half of its industry. The industry median ROA % is 3.46. Adcorp Holdings' value of 5.91% is 71.1% above this benchmark. While the company's 10-year median is 1.98 vs. the industry median of 3.46, Adcorp Holdings 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 Business Services company?
The median ROA % among Business Services companies is 3.46, based on 1,096 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. Adcorp Holdings's current ROA % of 5.91% is 71.1% 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 Adcorp Holdings and its competitors. For the Business Services industry, the median ROA % is 3.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Adcorp Holdings's current ROA % is 5.91%, which is 198% above median its own 10-year median of 1.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Adcorp Holdings stock overvalued right now?
Based on GuruFocus' analysis, Adcorp Holdings (JSE:ADR) is currently considered Significantly Overvalued. The stock's GF Value™ is R4.60, compared to a current price of R6.25 — trading 35.9% above its estimated fair value. The current ROA % is 5.91%, which is 198% above median its 10-year median of 1.98 and 71.1% above the Business Services industry median of 3.46. Adcorp Holdings' overall GF Score™ is 58/100 with 3 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 Adcorp Holdings (JSE:ADR), the current ROA % is 5.91% as of Feb. 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 Adcorp Holdings (JSE:ADR) Overvalued in 2026?
Based on GuruFocus' analysis, Adcorp Holdings stock appears to be overvalued.
The current stock price of R6.25 is trading 35.9% above its estimated GF Value™ of R4.60.
GuruFocus considers Adcorp Holdings to be Significantly Overvalued.
Key valuation signals for JSE:ADR:
ROA %: 5.91% (198% above median its 10-year median of 1.98)
GF Value™: R4.60 vs. price of R6.25 (35.9% above fair value)
Industry Position: 71.1% above the Business Services median (#453 of 1096)
No single metric tells the full story. See the JSE:ADR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Adcorp Holdings Ltd is engaged in providing workplace solutions. The company renders services in the fields of permanent recruitment and flexible staffing sectors, professional IT services, as well as the provision of business process outsourcing, training, and financial services. Its operating segments are Contingent staffing, Professional Services, Business support. and Contingent staffing Australia. The geographical segments are South Africa and International.
58GF Score
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