Polar Capital HoldingsLSE:POLR -0.36%88 ROA % is 19.60% as of Sep. 2025, which is 6% above its 10-year median of 18.56. GuruFocus rates LSE:POLR with a GF Score™ of 88/100 and a GF Value™ of £6.10 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 1,635 Asset Management companies, Polar Capital Holdings ranks better than 87.89% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Polar Capital Holdings's annualizedNet Income for the quarter that ended in Sep. 2025 was £40.9 Mil.
Polar Capital Holdings's average Total Assets over the quarter that ended in Sep. 2025 was £208.5 Mil. Therefore, Polar Capital Holdings's annualized ROA % for the quarter that ended in Sep. 2025 was 19.60%.
The historical rank and industry rank for Polar Capital Holdings's ROA % or its related term are showing as below:
LSE:POLR'
s ROA % Range Over the Past 10 Years
Min: 14.49 Med: 18.56 Max: 35.3
Current: 19
During the past 13 years, Polar Capital Holdings's highest ROA % was 35.30%. The lowest was 14.49%. And the median was 18.56%.
LSE:POLR's ROA % is ranked better than 87.89% of 1635
companies
in the Asset Management industry
Industry Median: 3.97
vs LSE:POLR: 19.00
Polar Capital Holdings (LSE:POLR) 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 (Sep. 2025) net income data. The Revenue data used here is two times the semi-annual (Sep. 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 Asset Management subindustry, Polar Capital Holdings'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.
Polar Capital Holdings ROA % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Polar Capital Holdings's ROA % distribution charts can be found below:
* The bar in red indicates where Polar Capital Holdings'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 (Sep. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Polar Capital Holdings (LSE:POLR) has a ROA % of 19.60% as of Sep. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Polar Capital Holdings and its competitors. This is near median its historical median of 18.56. Over the past decade, Polar Capital Holdings' ROA % has ranged from 14.49 to 35.30. According to the industry distribution chart, Polar Capital Holdings ranks #198 out of 1635 companies in the Asset Management industry, placing it in the top 12.1%.
Is Polar Capital Holdings' ROA % too high?
Polar Capital Holdings' current ROA % of 19.60% is near median its 10-year median of 18.56. Over the past 10 years, this metric has ranged from a low of 14.49 to a high of 35.30. The Asset Management industry median ROA % is 3.97. Polar Capital Holdings' value of 19.60% is 393.7% above this industry median. Based on the distribution chart, Polar Capital Holdings ranks #198 out of 1635 companies in the Asset Management industry, which is in the top quartile — a strong position relative to peers. Overall, Polar Capital Holdings has a GF Score™ of 88/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Polar Capital Holdings' ROA % compare to BLK and BX?
According to the Asset Management industry distribution chart, Polar Capital Holdings ranks #198 out of 1635 companies for ROA %. This places Polar Capital Holdings in the top 12% of its industry — outperforming the majority of peers. The industry median ROA % is 3.97. Polar Capital Holdings' value of 19.60% is 393.7% above this benchmark. Historically, Polar Capital Holdings' own ROA % has ranged from 14.49 to 35.30 over the past decade. While the company's 10-year median is 18.56 vs. the industry median of 3.97, Polar Capital Holdings 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 Asset Management company?
The median ROA % among Asset Management companies is 3.97, based on 1,635 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. Polar Capital Holdings's current ROA % of 19.60% is 393.7% 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 Polar Capital Holdings and its competitors. For the Asset Management industry, the median ROA % is 3.97 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Polar Capital Holdings's current ROA % is 19.60%, which is near median its own 10-year median of 18.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Polar Capital Holdings stock overvalued right now?
Based on GuruFocus' analysis, Polar Capital Holdings (LSE:POLR) is currently considered Significantly Overvalued. The stock's GF Value™ is £6.10, compared to a current price of £8.19 — trading 34.3% above its estimated fair value. The current ROA % is 19.60%, which is near median its 10-year median of 18.56 and 393.7% above the Asset Management industry median of 3.97. Polar Capital Holdings' overall GF Score™ is 88/100 with 8 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 Polar Capital Holdings (LSE:POLR), the current ROA % is 19.60% as of Sep. 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 Polar Capital Holdings (LSE:POLR) Overvalued in 2026?
Based on GuruFocus' analysis, Polar Capital Holdings stock appears to be overvalued.
The current stock price of £8.19 is trading 34.3% above its estimated GF Value™ of £6.10.
GuruFocus considers Polar Capital Holdings to be Significantly Overvalued.
Key valuation signals for LSE:POLR:
ROA %: 19.60% (near median its 10-year median of 18.56)
GF Value™: £6.10 vs. price of £8.19 (34.3% above fair value)
Industry Position: 393.7% above the Asset Management median (#198 of 1635)
No single metric tells the full story. See the LSE:POLR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Polar Capital Holdings PLC is a specialist investment management company. It offers professional and institutional investors a range of geographical and sector funds. The company has long-only and absolute return funds in its product range. The company offers fundamental funds that are diversified by asset class, geography, sector, and structure. The company has one operating segment, which is investment management. It operates in the United Kingdom, Ireland, Cayman Islands, Rest of Europe, United States of America, and Rest of the world. The group's revenue-generating operations are in London and Zurich.
88GF Score
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