Lead Real Estate CoLRE -1.57%34 ROA % is 14.81% as of Jun. 2025, which is 278% above its 10-year median of 3.92. GuruFocus rates LRE with a GF Score™ of 34/100. The stock has 2 warning signs investors should review. Among 1,801 Real Estate companies, Lead Real Estate Co ranks better than 78.07% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Lead Real Estate Co's annualizedNet Income for the quarter that ended in Jun. 2025 was $20.1 Mil.
Lead Real Estate Co's average Total Assets over the quarter that ended in Jun. 2025 was $135.7 Mil. Therefore, Lead Real Estate Co's annualized ROA % for the quarter that ended in Jun. 2025 was 14.81%.
The historical rank and industry rank for Lead Real Estate Co's ROA % or its related term are showing as below:
LRE'
s ROA % Range Over the Past 10 Years
Min: 1.22 Med: 3.92 Max: 4.82
Current: 4.82
During the past 6 years, Lead Real Estate Co's highest ROA % was 4.82%. The lowest was 1.22%. And the median was 3.92%.
LRE's ROA % is ranked better than 78.07% of 1801
companies
in the Real Estate industry
Industry Median: 1.7
vs LRE: 4.82
Lead Real Estate Co (NAS:LRE) 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 (Jun. 2025) net income data. The Revenue data used here is two times the semi-annual (Jun. 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.
Lead Real Estate Co ROA % Related Terms
Lead Real Estate Co ROA % Historical Data
* Premium members only.
The historical data trend for Lead Real Estate 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 Real Estate - Development subindustry, Lead Real Estate 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.
Lead Real Estate Co ROA % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Lead Real Estate Co's ROA % distribution charts can be found below:
* The bar in red indicates where Lead Real Estate 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 two times the semi-annual (Jun. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Lead Real Estate Co (LRE) has a ROA % of 14.81% as of Jun. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Lead Real Estate Co and its competitors. This is 278% above median its historical median of 3.92. Over the past decade, Lead Real Estate Co's ROA % has ranged from 1.22 to 4.82. According to the industry distribution chart, Lead Real Estate Co ranks #395 out of 1801 companies in the Real Estate industry, placing it in the top 21.9%.
Is Lead Real Estate Co's ROA % too high?
Lead Real Estate Co's current ROA % of 14.81% is 278% above median its 10-year median of 3.92. Over the past 10 years, this metric has ranged from a low of 1.22 to a high of 4.82. The Real Estate industry median ROA % is 1.70. Lead Real Estate Co's value of 14.81% is 771.2% above this industry median. Based on the distribution chart, Lead Real Estate Co ranks #395 out of 1801 companies in the Real Estate industry, which is in the top quartile — a strong position relative to peers. Overall, Lead Real Estate Co has a GF Score™ of 34/100, reflecting its overall financial health beyond just this single metric.
How does Lead Real Estate Co's ROA % compare to SRRE and MRNO?
According to the Real Estate industry distribution chart, Lead Real Estate Co ranks #395 out of 1801 companies for ROA %. This places Lead Real Estate Co in the top 22% of its industry — outperforming the majority of peers. The industry median ROA % is 1.70. Lead Real Estate Co's value of 14.81% is 771.2% above this benchmark. Historically, Lead Real Estate Co's own ROA % has ranged from 1.22 to 4.82 over the past decade. While the company's 10-year median is 3.92 vs. the industry median of 1.70, Lead Real Estate 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 Real Estate company?
The median ROA % among Real Estate companies is 1.70, based on 1,801 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. Lead Real Estate Co's current ROA % of 14.81% is 771.2% 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 Lead Real Estate Co and its competitors. For the Real Estate industry, the median ROA % is 1.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lead Real Estate Co's current ROA % is 14.81%, which is 278% above median its own 10-year median of 3.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lead Real Estate Co stock overvalued right now?
Lead Real Estate Co (LRE) has a current ROA % of 14.81%. The current ROA % is 14.81%, which is 278% above median its 10-year median of 3.92 and 771.2% above the Real Estate industry median of 1.70. Lead Real Estate Co's overall GF Score™ is 34/100 with 2 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 Lead Real Estate Co (LRE), the current ROA % is 14.81% as of Jun. 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.
Lead Real Estate Co Ltd operates as a developer of luxury residential properties, including single-family homes and condominiums, across Tokyo, Kanagawa Prefecture, and Sapporo. The company also operates hotels in Tokyo and leases apartment units to individual customers in Japan and Dallas, Texas. Its revenue is predominantly generated from developing and selling single-family homes and condominiums, hotel operations, and residential leasing. The company's sole operating segment is real estate sales. Geographically, it derives revenue from Japan.
34GF Score
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