Al-Ghazi TractorsKAR:AGTL 72 ROA % is 13.75% as of Mar. 2026, which is 40% below its 10-year median of 22.89. GuruFocus rates KAR:AGTL with a GF Score™ of 72/100 and a GF Value™ of ₨322.84 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 212 Farm & Heavy Construction Machinery companies, Al-Ghazi Tractors ranks better than 88.68% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Al-Ghazi Tractors's annualizedNet Income for the quarter that ended in Mar. 2026 was ₨2,711 Mil.
Al-Ghazi Tractors's average Total Assets over the quarter that ended in Mar. 2026 was ₨19,714 Mil. Therefore, Al-Ghazi Tractors's annualized ROA % for the quarter that ended in Mar. 2026 was 13.75%.
The historical rank and industry rank for Al-Ghazi Tractors's ROA % or its related term are showing as below:
KAR:AGTL'
s ROA % Range Over the Past 10 Years
Min: 6.62 Med: 22.89 Max: 59.34
Current: 10.53
During the past 13 years, Al-Ghazi Tractors's highest ROA % was 59.34%. The lowest was 6.62%. And the median was 22.89%.
KAR:AGTL's ROA % is ranked better than 88.68% of 212
companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 3.81
vs KAR:AGTL: 10.53
Al-Ghazi Tractors (KAR:AGTL) 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.
Al-Ghazi Tractors ROA % Related Terms
Al-Ghazi Tractors ROA % Historical Data
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The historical data trend for Al-Ghazi Tractors'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 Farm & Heavy Construction Machinery subindustry, Al-Ghazi Tractors'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.
Al-Ghazi Tractors ROA % vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Al-Ghazi Tractors's ROA % distribution charts can be found below:
* The bar in red indicates where Al-Ghazi Tractors'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.
Al-Ghazi Tractors (KAR:AGTL) has a ROA % of 13.75% 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 Al-Ghazi Tractors and its competitors. This is 40% below median its historical median of 22.89. Over the past decade, Al-Ghazi Tractors' ROA % has ranged from 6.62 to 59.34. According to the industry distribution chart, Al-Ghazi Tractors ranks #24 out of 212 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 11.3%.
Is Al-Ghazi Tractors' ROA % too high?
Al-Ghazi Tractors' current ROA % of 13.75% is 40% below median its 10-year median of 22.89. Over the past 10 years, this metric has ranged from a low of 6.62 to a high of 59.34. The Farm & Heavy Construction Machinery industry median ROA % is 3.81. Al-Ghazi Tractors' value of 13.75% is 260.9% above this industry median. Based on the distribution chart, Al-Ghazi Tractors ranks #24 out of 212 companies in the Farm & Heavy Construction Machinery industry, which is in the top quartile — a strong position relative to peers. Overall, Al-Ghazi Tractors has a GF Score™ of 72/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Al-Ghazi Tractors' ROA % compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Al-Ghazi Tractors ranks #24 out of 212 companies for ROA %. This places Al-Ghazi Tractors in the top 11% of its industry — outperforming the majority of peers. The industry median ROA % is 3.81. Al-Ghazi Tractors' value of 13.75% is 260.9% above this benchmark. Historically, Al-Ghazi Tractors' own ROA % has ranged from 6.62 to 59.34 over the past decade. While the company's 10-year median is 22.89 vs. the industry median of 3.81, Al-Ghazi Tractors 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 Farm & Heavy Construction Machinery company?
The median ROA % among Farm & Heavy Construction Machinery companies is 3.81, based on 212 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. Al-Ghazi Tractors's current ROA % of 13.75% is 260.9% 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 Al-Ghazi Tractors and its competitors. For the Farm & Heavy Construction Machinery industry, the median ROA % is 3.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Al-Ghazi Tractors's current ROA % is 13.75%, which is 40% below median its own 10-year median of 22.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Al-Ghazi Tractors stock overvalued right now?
Based on GuruFocus' analysis, Al-Ghazi Tractors (KAR:AGTL) is currently considered Modestly Overvalued. The stock's GF Value™ is ₨322.84, compared to a current price of ₨388.73 — trading 20.4% above its estimated fair value. The current ROA % is 13.75%, which is 40% below median its 10-year median of 22.89 and 260.9% above the Farm & Heavy Construction Machinery industry median of 3.81. Al-Ghazi Tractors' overall GF Score™ is 72/100 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 Al-Ghazi Tractors (KAR:AGTL), the current ROA % is 13.75% 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 Al-Ghazi Tractors (KAR:AGTL) Overvalued in 2026?
Based on GuruFocus' analysis, Al-Ghazi Tractors stock appears to be overvalued.
The current stock price of ₨388.73 is trading 20.4% above its estimated GF Value™ of ₨322.84.
GuruFocus considers Al-Ghazi Tractors to be Modestly Overvalued.
Key valuation signals for KAR:AGTL:
ROA %: 13.75% (40% below median its 10-year median of 22.89)
GF Value™: ₨322.84 vs. price of ₨388.73 (20.4% above fair value)
Industry Position: 260.9% above the Farm & Heavy Construction Machinery median (#24 of 212)
No single metric tells the full story. See the KAR:AGTL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Al-Ghazi Tractors Ltd is principally engaged in the manufacture and sale of agricultural tractors, generators, implements and spare parts in Pakistan. It offers a wide range of New Holland (Fiat) tractors, catering to small, medium, and large-scale agricultural operations. The portfolio includes: Compact and utility tractors for small farmers and horticulture applications, and Medium- and high-horsepower tractors for larger farms and commercial agricultural operations. The company has a single reportable segment.
72GF Score
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