LTS:0EWR's ROA % is ranked better than 72.66% of 2882
companies
in the Software industry
Industry Median: 1.645
vs LTS:0EWR: 6.98
init innovation in traffic systems SE (LTS:0EWR) 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 four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) 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.
init innovation in traffic systems SE ROA % Related Terms
init innovation in traffic systems SE ROA % Historical 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.
For the Information Technology Services subindustry, init innovation in traffic systems SE'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.
init innovation in traffic systems SE ROA % vs Software Industry
* 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 four times the quarterly (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
init innovation in traffic systems SE (LTS:0EWR) has a ROA % of 5.23% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on init innovation in traffic systems SE and its competitors. This is 10% below median its historical median of 5.80. Over the past decade, init innovation in traffic systems SE's ROA % has ranged from 1.41 to 7.14. According to the industry distribution chart, init innovation in traffic systems SE ranks #788 out of 2882 companies in the Software industry, placing it in the top 27.3%.
Is init innovation in traffic systems SE's ROA % too high?
init innovation in traffic systems SE's current ROA % of 5.23% is 10% below median its 10-year median of 5.80. Over the past 10 years, this metric has ranged from a low of 1.41 to a high of 7.14. The Software industry median ROA % is 1.65. init innovation in traffic systems SE's value of 5.23% is 217.9% above this industry median. Based on the distribution chart, init innovation in traffic systems SE ranks #788 out of 2882 companies in the Software industry, which is above the industry midpoint. Overall, init innovation in traffic systems SE has a GF Score™ of 95/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does init innovation in traffic systems SE's ROA % compare to IBM and ACN?
According to the Software industry distribution chart, init innovation in traffic systems SE ranks #788 out of 2882 companies for ROA %. This puts init innovation in traffic systems SE in the upper half of its industry. The industry median ROA % is 1.65. init innovation in traffic systems SE's value of 5.23% is 217.9% above this benchmark. Historically, init innovation in traffic systems SE's own ROA % has ranged from 1.41 to 7.14 over the past decade. While the company's 10-year median is 5.80 vs. the industry median of 1.65, init innovation in traffic systems SE 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 Software company?
The median ROA % among Software companies is 1.65, based on 2,882 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. init innovation in traffic systems SE's current ROA % of 5.23% is 217.9% 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 init innovation in traffic systems SE and its competitors. For the Software industry, the median ROA % is 1.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. init innovation in traffic systems SE's current ROA % is 5.23%, which is 10% below median its own 10-year median of 5.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is init innovation in traffic systems SE stock overvalued right now?
Based on GuruFocus' analysis, init innovation in traffic systems SE (LTS:0EWR) is currently considered Modestly Undervalued. The stock's GF Value™ is €55.38, compared to a current price of €45.00 — trading 18.7% below its estimated fair value. The current ROA % is 5.23%, which is 10% below median its 10-year median of 5.80 and 217.9% above the Software industry median of 1.65. init innovation in traffic systems SE's overall GF Score™ is 95/100 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 init innovation in traffic systems SE (LTS:0EWR), the current ROA % is 5.23% as of Mar. 2026. 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 init innovation in traffic systems SE (LTS:0EWR) Overvalued in 2026?
Based on GuruFocus' analysis, init innovation in traffic systems SE stock appears to be undervalued.
The current stock price of €45.00 is trading 18.7% below its estimated GF Value™ of €55.38.
GuruFocus considers init innovation in traffic systems SE to be Modestly Undervalued.
Key valuation signals for LTS:0EWR:
ROA %: 5.23% (10% below median its 10-year median of 5.80)
GF Value™: €55.38 vs. price of €45.00 (18.7% below fair value)
Industry Position: 217.9% above the Software median (#788 of 2882)
No single metric tells the full story. See the LTS:0EWR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
init innovation in traffic systems SE Business Description
init innovation in traffic systems SE supplies transportation telematics systems. It mainly offers integrated planning, dispatching, telematics, and ticketing solutions for buses and trains around the world. The company operates through the following divisions: INIT Integrated Systems, INIT Cloud Solutions, and INIT Passenger Intelligence. The INIT Integrated Systems division installs and operates integrated hardware and software systems for transport operators; the INIT Cloud Solutions unit offers software and data platforms; and the INIT Passenger Intelligence unit offers solutions to track, analyze, and monitor passenger movement in public transport to optimize overall public transport performance and comfort. Geographically, the company generates maximum revenue from North America.
95GF Score
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