Alternativeome REITLSE:AIRE 43 ROA % is 5.60% as of Dec. 2025, which is 51% above its 10-year median of 3.72. GuruFocus rates LSE:AIRE with a GF Score™ of 43/100 and a GF Value™ of £1.37 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 938 REITs companies, Alternativeome REIT ranks better than 74.73% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Alternativeome REIT's annualizedNet Income for the quarter that ended in Dec. 2025 was £6.11 Mil.
Alternativeome REIT's average Total Assets over the quarter that ended in Dec. 2025 was £108.94 Mil. Therefore, Alternativeome REIT's annualized ROA % for the quarter that ended in Dec. 2025 was 5.60%.
The historical rank and industry rank for Alternativeome REIT's ROA % or its related term are showing as below:
LSE:AIRE'
s ROA % Range Over the Past 10 Years
Min: -4.49 Med: 3.72 Max: 11.23
Current: 6.33
During the past 8 years, Alternativeome REIT's highest ROA % was 11.23%. The lowest was -4.49%. And the median was 3.72%.
LSE:AIRE's ROA % is ranked better than 74.73% of 938
companies
in the REITs industry
Industry Median: 3.23
vs LSE:AIRE: 6.33
Alternativeome REIT (LSE:AIRE) 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 (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 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.
Alternativeome REIT ROA % Related Terms
Alternativeome REIT ROA % Historical Data
* Premium members only.
The historical data trend for Alternativeome REIT'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 REIT - Diversified subindustry, Alternativeome REIT'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.
Alternativeome REIT ROA % vs REITs Industry
For the REITs industry and Real Estate sector, Alternativeome REIT's ROA % distribution charts can be found below:
* The bar in red indicates where Alternativeome REIT'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 (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Alternativeome REIT (LSE:AIRE) has a ROA % of 5.60% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Alternativeome REIT and its competitors. This is 51% above median its historical median of 3.72. According to the industry distribution chart, Alternativeome REIT ranks #237 out of 938 companies in the REITs industry, placing it in the top 25.3%.
Is Alternativeome REIT's ROA % too high?
Alternativeome REIT's current ROA % of 5.60% is 51% above median its 10-year median of 3.72. The REITs industry median ROA % is 3.23. Alternativeome REIT's value of 5.60% is 73.4% above this industry median. Based on the distribution chart, Alternativeome REIT ranks #237 out of 938 companies in the REITs industry, which is above the industry midpoint. Overall, Alternativeome REIT has a GF Score™ of 43/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Alternativeome REIT's ROA % compare to VICI and WPC?
According to the REITs industry distribution chart, Alternativeome REIT ranks #237 out of 938 companies for ROA %. This puts Alternativeome REIT in the upper half of its industry. The industry median ROA % is 3.23. Alternativeome REIT's value of 5.60% is 73.4% above this benchmark. While the company's 10-year median is 3.72 vs. the industry median of 3.23, Alternativeome REIT 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 REITs company?
The median ROA % among REITs companies is 3.23, based on 938 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. Alternativeome REIT's current ROA % of 5.60% is 73.4% 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 Alternativeome REIT and its competitors. For the REITs industry, the median ROA % is 3.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alternativeome REIT's current ROA % is 5.60%, which is 51% above median its own 10-year median of 3.72. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alternativeome REIT stock overvalued right now?
Based on GuruFocus' analysis, Alternativeome REIT (LSE:AIRE) is currently considered Possible Value Trap. The stock's GF Value™ is £1.37, compared to a current price of £0.69 — trading 49.5% below its estimated fair value. The current ROA % is 5.60%, which is 51% above median its 10-year median of 3.72 and 73.4% above the REITs industry median of 3.23. Alternativeome REIT's overall GF Score™ is 43/100 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 Alternativeome REIT (LSE:AIRE), the current ROA % is 5.60% as of Dec. 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.
Is Alternativeome REIT (LSE:AIRE) Overvalued in 2026?
Based on GuruFocus' analysis, Alternativeome REIT stock appears to be undervalued.
The current stock price of £0.69 is trading 49.5% below its estimated GF Value™ of £1.37.
GuruFocus considers Alternativeome REIT to be Possible Value Trap.
Key valuation signals for LSE:AIRE:
ROA %: 5.60% (51% above median its 10-year median of 3.72)
GF Value™: £1.37 vs. price of £0.69 (49.5% below fair value)
Industry Position: 73.4% above the REITs median (#237 of 938)
No single metric tells the full story. See the LSE:AIRE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Alternative Income REIT PLC is a United Kingdom-based real estate investment trust focused on generating secure, diversified, and inflation-linked income returns while maintaining capital values through investments in UK properties. Its portfolio concentrates on alternative and specialist real estate sectors such as leisure, hotels, healthcare, education, logistics, automotive, supported living, and student accommodation. The company acquires freehold and long leasehold properties across the UK, emphasizing long leases and inflation-linked rent reviews to ensure income stability. Revenue is generated through rental income from a broad range of commercial properties with long-term leases to various tenants, supporting steady cash flow from its diversified portfolio.
43GF Score
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