Orchard Funding GroupLSE:ORCH 50 ROA % is 4.45% as of Jul. 2025, which is 5% above its 10-year median of 4.24. GuruFocus rates LSE:ORCH with a GF Score™ of 50/100 and a GF Value™ of £0.72 (Modestly Undervalued). The stock has 11 warning signs investors should review. Among 546 Credit Services companies, Orchard Funding Group ranks better than 77.29% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Orchard Funding Group's annualizedNet Income for the quarter that ended in Jul. 2025 was £3.07 Mil.
Orchard Funding Group's average Total Assets over the quarter that ended in Jul. 2025 was £68.96 Mil. Therefore, Orchard Funding Group's annualized ROA % for the quarter that ended in Jul. 2025 was 4.45%.
The historical rank and industry rank for Orchard Funding Group's ROA % or its related term are showing as below:
LSE:ORCH'
s ROA % Range Over the Past 10 Years
Min: 2.41 Med: 4.24 Max: 5.15
Current: 4.44
During the past 13 years, Orchard Funding Group's highest ROA % was 5.15%. The lowest was 2.41%. And the median was 4.24%.
LSE:ORCH's ROA % is ranked better than 77.29% of 546
companies
in the Credit Services industry
Industry Median: 1.915
vs LSE:ORCH: 4.44
Orchard Funding Group (LSE:ORCH) 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 (Jul. 2025) net income data. The Revenue data used here is two times the semi-annual (Jul. 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.
* 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 Credit Services subindustry, Orchard Funding Group'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.
Orchard Funding Group ROA % vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Orchard Funding Group's ROA % distribution charts can be found below:
* The bar in red indicates where Orchard Funding Group'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 (Jul. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Orchard Funding Group (LSE:ORCH) has a ROA % of 4.45% as of Jul. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Orchard Funding Group and its competitors. This is near median its historical median of 4.24. Over the past decade, Orchard Funding Group's ROA % has ranged from 2.41 to 5.15. According to the industry distribution chart, Orchard Funding Group ranks #124 out of 546 companies in the Credit Services industry, placing it in the top 22.7%.
Is Orchard Funding Group's ROA % too high?
Orchard Funding Group's current ROA % of 4.45% is near median its 10-year median of 4.24. Over the past 10 years, this metric has ranged from a low of 2.41 to a high of 5.15. The Credit Services industry median ROA % is 1.92. Orchard Funding Group's value of 4.45% is 132.4% above this industry median. Based on the distribution chart, Orchard Funding Group ranks #124 out of 546 companies in the Credit Services industry, which is in the top quartile — a strong position relative to peers. Overall, Orchard Funding Group has a GF Score™ of 50/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Orchard Funding Group's ROA % compare to V and MA?
According to the Credit Services industry distribution chart, Orchard Funding Group ranks #124 out of 546 companies for ROA %. This places Orchard Funding Group in the top 23% of its industry — outperforming the majority of peers. The industry median ROA % is 1.92. Orchard Funding Group's value of 4.45% is 132.4% above this benchmark. Historically, Orchard Funding Group's own ROA % has ranged from 2.41 to 5.15 over the past decade. While the company's 10-year median is 4.24 vs. the industry median of 1.92, Orchard Funding Group 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 Credit Services company?
The median ROA % among Credit Services companies is 1.92, based on 546 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. Orchard Funding Group's current ROA % of 4.45% is 132.4% 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 Orchard Funding Group and its competitors. For the Credit Services industry, the median ROA % is 1.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Orchard Funding Group's current ROA % is 4.45%, which is near median its own 10-year median of 4.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Orchard Funding Group stock overvalued right now?
Based on GuruFocus' analysis, Orchard Funding Group (LSE:ORCH) is currently considered Modestly Undervalued. The stock's GF Value™ is £0.72, compared to a current price of £0.60 — trading 16.7% below its estimated fair value. The current ROA % is 4.45%, which is near median its 10-year median of 4.24 and 132.4% above the Credit Services industry median of 1.92. Orchard Funding Group's overall GF Score™ is 50/100 with 11 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 Orchard Funding Group (LSE:ORCH), the current ROA % is 4.45% as of Jul. 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 Orchard Funding Group (LSE:ORCH) Overvalued in 2026?
Based on GuruFocus' analysis, Orchard Funding Group stock appears to be undervalued.
The current stock price of £0.60 is trading 16.7% below its estimated GF Value™ of £0.72.
GuruFocus considers Orchard Funding Group to be Modestly Undervalued.
Key valuation signals for LSE:ORCH:
ROA %: 4.45% (near median its 10-year median of 4.24)
GF Value™: £0.72 vs. price of £0.60 (16.7% below fair value)
Industry Position: 132.4% above the Credit Services median (#124 of 546)
No single metric tells the full story. See the LSE:ORCH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Orchard Funding Group PLC is a finance company that specializes in insurance premium finance and the professional fee funding market. The company mainly provides funding and funding support systems to clients of insurance brokers and professional firms. It aims to further increase the capital base to enable it to support higher levels of borrowing. It operates in two segments: lending for Toyota products, and other lending. The company operates within the United Kingdom.
50GF Score
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