Pakistan Tobacco CoKAR:PAKT 92 ROA % is 38.27% as of Mar. 2026, which is 17% above its 10-year median of 32.67. GuruFocus rates KAR:PAKT with a GF Score™ of 92/100 and a GF Value™ of ₨1,497.71 (Fairly Valued). The stock has 4 warning signs investors should review. Among 49 Tobacco Products companies, Pakistan Tobacco Co ranks better than 87.76% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Pakistan Tobacco Co's annualizedNet Income for the quarter that ended in Mar. 2026 was ₨37,373 Mil.
Pakistan Tobacco Co's average Total Assets over the quarter that ended in Mar. 2026 was ₨97,652 Mil. Therefore, Pakistan Tobacco Co's annualized ROA % for the quarter that ended in Mar. 2026 was 38.27%.
The historical rank and industry rank for Pakistan Tobacco Co's ROA % or its related term are showing as below:
KAR:PAKT'
s ROA % Range Over the Past 10 Years
Min: 27.15 Med: 32.67 Max: 41.32
Current: 33.61
During the past 13 years, Pakistan Tobacco Co's highest ROA % was 41.32%. The lowest was 27.15%. And the median was 32.67%.
KAR:PAKT's ROA % is ranked better than 87.76% of 49
companies
in the Tobacco Products industry
Industry Median: 6.68
vs KAR:PAKT: 33.61
Pakistan Tobacco Co (KAR:PAKT) 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.
Pakistan Tobacco Co ROA % Related Terms
Pakistan Tobacco Co ROA % Historical Data
* Premium members only.
The historical data trend for Pakistan Tobacco Co'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 Tobacco subindustry, Pakistan Tobacco Co'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.
Pakistan Tobacco Co ROA % vs Tobacco Products Industry
For the Tobacco Products industry and Consumer Defensive sector, Pakistan Tobacco Co's ROA % distribution charts can be found below:
* The bar in red indicates where Pakistan Tobacco Co'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.
Pakistan Tobacco Co (KAR:PAKT) has a ROA % of 38.27% 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 Pakistan Tobacco Co and its competitors. This is 17% above median its historical median of 32.67. Over the past decade, Pakistan Tobacco Co's ROA % has ranged from 27.15 to 41.32. According to the industry distribution chart, Pakistan Tobacco Co ranks #6 out of 49 companies in the Tobacco Products industry, placing it in the top 12.2%.
Is Pakistan Tobacco Co's ROA % too high?
Pakistan Tobacco Co's current ROA % of 38.27% is 17% above median its 10-year median of 32.67. Over the past 10 years, this metric has ranged from a low of 27.15 to a high of 41.32. The Tobacco Products industry median ROA % is 6.68. Pakistan Tobacco Co's value of 38.27% is 472.9% above this industry median. Based on the distribution chart, Pakistan Tobacco Co ranks #6 out of 49 companies in the Tobacco Products industry, which is in the top quartile — a strong position relative to peers. Overall, Pakistan Tobacco Co has a GF Score™ of 92/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Pakistan Tobacco Co's ROA % compare to PM and MO?
According to the Tobacco Products industry distribution chart, Pakistan Tobacco Co ranks #6 out of 49 companies for ROA %. This places Pakistan Tobacco Co in the top 12% of its industry — outperforming the majority of peers. The industry median ROA % is 6.68. Pakistan Tobacco Co's value of 38.27% is 472.9% above this benchmark. Historically, Pakistan Tobacco Co's own ROA % has ranged from 27.15 to 41.32 over the past decade. While the company's 10-year median is 32.67 vs. the industry median of 6.68, Pakistan Tobacco Co 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 Tobacco Products company?
The median ROA % among Tobacco Products companies is 6.68, based on 49 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. Pakistan Tobacco Co's current ROA % of 38.27% is 472.9% 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 Pakistan Tobacco Co and its competitors. For the Tobacco Products industry, the median ROA % is 6.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pakistan Tobacco Co's current ROA % is 38.27%, which is 17% above median its own 10-year median of 32.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Pakistan Tobacco Co stock overvalued right now?
Based on GuruFocus' analysis, Pakistan Tobacco Co (KAR:PAKT) is currently considered Fairly Valued. The stock's GF Value™ is ₨1,497.71, compared to a current price of ₨1,420.25 — trading 5.2% below its estimated fair value. The current ROA % is 38.27%, which is 17% above median its 10-year median of 32.67 and 472.9% above the Tobacco Products industry median of 6.68. Pakistan Tobacco Co's overall GF Score™ is 92/100 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 Pakistan Tobacco Co (KAR:PAKT), the current ROA % is 38.27% 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 Pakistan Tobacco Co (KAR:PAKT) Overvalued in 2026?
Based on GuruFocus' analysis, Pakistan Tobacco Co stock appears to be undervalued.
The current stock price of ₨1,420.25 is trading 5.2% below its estimated GF Value™ of ₨1,497.71.
GuruFocus considers Pakistan Tobacco Co to be Fairly Valued.
Key valuation signals for KAR:PAKT:
ROA %: 38.27% (17% above median its 10-year median of 32.67)
GF Value™: ₨1,497.71 vs. price of ₨1,420.25 (5.2% below fair value)
Industry Position: 472.9% above the Tobacco Products median (#6 of 49)
No single metric tells the full story. See the KAR:PAKT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Pakistan Tobacco Co Ltd is engaged in the manufacturing and distribution of cigarettes, tobacco, VELO, and VUSE. Its products are marketed through brands like Dunhill, Gold Flake, John Player, Embassy, Capstan, and others. Geographically, the company generates a majority of its revenue from its domestic market and also exports its products to other countries.
92GF Score
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