ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Shefa Gems's annualizedNet Income for the quarter that ended in Jun. 2022 was £-0.42 Mil.
Shefa Gems's average Total Assets over the quarter that ended in Jun. 2022 was £0.16 Mil. Therefore, Shefa Gems's annualized ROA % for the quarter that ended in Jun. 2022 was -264.98%.
The historical rank and industry rank for Shefa Gems's ROA % or its related term are showing as below:
LSE:SEFA's ROA % is not ranked *
in the Metals & Mining industry.
Industry Median: -16.81 * Ranked among companies with meaningful ROA % only.
Shefa Gems (LSE:SEFA) 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. 2022) net income data. The Revenue data used here is two times the semi-annual (Jun. 2022) 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.
Shefa Gems ROA % Related Terms
Shefa Gems ROA % Historical Data
* Premium members only.
The historical data trend for Shefa Gems'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 Other Precious Metals & Mining subindustry, Shefa Gems'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.
Shefa Gems ROA % vs Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Shefa Gems's ROA % distribution charts can be found below:
* The bar in red indicates where Shefa Gems'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. 2022) net income data.
ROA % is displayed in the 30-year financial page.
Shefa Gems (LSE:SEFA) has a ROA % of -264.98% as of Jun. 2022. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Shefa Gems and its competitors.
Is Shefa Gems' ROA % too high?
Shefa Gems' current ROA % is -264.98%.
How does Shefa Gems' ROA % compare to EXK?
Shefa Gems' ROA % of -264.98% can be compared against companies in the Metals & Mining industry. 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 Metals & Mining company?
A good ROA % depends on the Metals & Mining industry context. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. 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 Shefa Gems and its competitors. Shefa Gems's current ROA % is -264.98%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shefa Gems stock overvalued right now?
Shefa Gems (LSE:SEFA) has a current ROA % of -264.98%. The current ROA % is -264.98%. 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 Shefa Gems (LSE:SEFA), the current ROA % is -264.98% as of Jun. 2022. 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.
Shefa Gems Ltd is an Israel-based multi-commodity gemstone mining exploration company. Principally it is engaged in the business of exploration for coloured precious stones deposits and in particular diamonds, moissanite, sapphire, and ruby. The company's project consists of Kishon River, Mount Carmel, Natural Moissanite, Hibonite, Gem Box, and Carmel Sapphire.
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