Arif HabibKAR:AHCL +1.27%58 ROA % is 14.25% as of Mar. 2026, which is 81% above its 10-year median of 7.88. GuruFocus rates KAR:AHCL with a GF Score™ of 58/100 and a GF Value™ of ₨6.60 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 449 Utilities - Independent Power Producers companies, Arif Habib ranks better than 96.88% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Arif Habib's annualizedNet Income for the quarter that ended in Mar. 2026 was ₨11,697 Mil.
Arif Habib's average Total Assets over the quarter that ended in Mar. 2026 was ₨82,088 Mil. Therefore, Arif Habib's annualized ROA % for the quarter that ended in Mar. 2026 was 14.25%.
The historical rank and industry rank for Arif Habib's ROA % or its related term are showing as below:
KAR:AHCL'
s ROA % Range Over the Past 10 Years
Min: 0.33 Med: 7.88 Max: 16.02
Current: 15.35
During the past 13 years, Arif Habib's highest ROA % was 16.02%. The lowest was 0.33%. And the median was 7.88%.
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.
Arif Habib ROA % Related Terms
Arif Habib ROA % Historical Data
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The historical data trend for Arif Habib'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 Utilities - Renewable subindustry, Arif Habib'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.
Arif Habib ROA % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Arif Habib's ROA % distribution charts can be found below:
* The bar in red indicates where Arif Habib'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.
Arif Habib (KAR:AHCL) has a ROA % of 14.25% 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 Arif Habib and its competitors. This is 81% above median its historical median of 7.88. Over the past decade, Arif Habib's ROA % has ranged from 0.33 to 16.02. According to the industry distribution chart, Arif Habib ranks #14 out of 449 companies in the Utilities - Independent Power Producers industry, placing it in the top 3.1%.
Is Arif Habib's ROA % too high?
Arif Habib's current ROA % of 14.25% is 81% above median its 10-year median of 7.88. Over the past 10 years, this metric has ranged from a low of 0.33 to a high of 16.02. The Utilities - Independent Power Producers industry median ROA % is 1.20. Arif Habib's value of 14.25% is 1087.5% above this industry median. Based on the distribution chart, Arif Habib ranks #14 out of 449 companies in the Utilities - Independent Power Producers industry, which is in the top quartile — a strong position relative to peers. Overall, Arif Habib has a GF Score™ of 58/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Arif Habib's ROA % compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Arif Habib ranks #14 out of 449 companies for ROA %. This places Arif Habib in the top 3% of its industry — outperforming the majority of peers. The industry median ROA % is 1.20. Arif Habib's value of 14.25% is 1087.5% above this benchmark. Historically, Arif Habib's own ROA % has ranged from 0.33 to 16.02 over the past decade. While the company's 10-year median is 7.88 vs. the industry median of 1.20, Arif Habib 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 an Utilities - Independent Power Producers company?
The median ROA % among Utilities - Independent Power Producers companies is 1.20, based on 449 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. Arif Habib's current ROA % of 14.25% is 1087.5% 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 Arif Habib and its competitors. For the Utilities - Independent Power Producers industry, the median ROA % is 1.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arif Habib's current ROA % is 14.25%, which is 81% above median its own 10-year median of 7.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arif Habib stock overvalued right now?
Based on GuruFocus' analysis, Arif Habib (KAR:AHCL) is currently considered Significantly Overvalued. The stock's GF Value™ is ₨6.60, compared to a current price of ₨15.99 — trading 142.3% above its estimated fair value. The current ROA % is 14.25%, which is 81% above median its 10-year median of 7.88 and 1087.5% above the Utilities - Independent Power Producers industry median of 1.20. Arif Habib's overall GF Score™ is 58/100 with 4 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 Arif Habib (KAR:AHCL), the current ROA % is 14.25% 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 Arif Habib (KAR:AHCL) Overvalued in 2026?
Based on GuruFocus' analysis, Arif Habib stock appears to be overvalued.
The current stock price of ₨15.99 is trading 142.3% above its estimated GF Value™ of ₨6.60.
GuruFocus considers Arif Habib to be Significantly Overvalued.
Key valuation signals for KAR:AHCL:
ROA %: 14.25% (81% above median its 10-year median of 7.88)
GF Value™: ₨6.60 vs. price of ₨15.99 (142.3% above fair value)
Industry Position: 1087.5% above the Utilities - Independent Power Producers median (#14 of 449)
No single metric tells the full story. See the KAR:AHCL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arif Habib Corp Ltd generates and sells electricity in Pakistan. It is also engaged in providing equity and debt brokerage, as well as corporate finance services to institutional, corporate, high-net-worth, and retail clients. Its segments are Capital market operations; Brokerage; Energy Development, and Others. The firm generates the majority of revenue from the Energy segment. The Energy segment is engaged in energy development. The brokerage segment is engaged in brokerage, underwriting, corporate consultancy, research, and corporate finance services. Capital market operations segment is engaged in trading of equity securities and maintaining strategic and trading portfolios. Others include assets of RCPL.
58GF Score
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