LZRFY (Localiza Rent A Car) ROA %: 5.84% (As of Mar. 2026) — 14% Above Median

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LZRFY Localiza Rent A Car SA LZRFY
90 GF Score
Price $7.31
GF Value $11.57
Valuation Possible Value Trap
! 9 Warning Signs
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What is Localiza Rent A Car ROA %?

Localiza Rent A Car LZRFY -2.14% 90 ROA % is 5.84% as of Mar. 2026, which is 14% above its 10-year median of 5.12. GuruFocus rates LZRFY with a GF Score™ of 90/100 and a GF Value™ of $11.57 (Possible Value Trap). The stock has 9 warning signs investors should review. Among 1,094 Business Services companies, Localiza Rent A Car ranks worse than 56.03% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Localiza Rent A Car's annualized Net Income for the quarter that ended in Mar. 2026 was $935 Mil. Localiza Rent A Car's average Total Assets over the quarter that ended in Mar. 2026 was $16,013 Mil. Therefore, Localiza Rent A Car's annualized ROA % for the quarter that ended in Mar. 2026 was 5.84%.

The historical rank and industry rank for Localiza Rent A Car's ROA % or its related term are showing as below:

LZRFY' s ROA % Range Over the Past 10 Years
Min: 2.16   Med: 5.12   Max: 8.93
Current: 2.71

During the past 13 years, Localiza Rent A Car's highest ROA % was 8.93%. The lowest was 2.16%. And the median was 5.12%.

LZRFY's ROA % is ranked worse than
56.03% of 1094 companies
in the Business Services industry
Industry Median: 3.5 vs LZRFY: 2.71

Localiza Rent A Car  (OTCPK:LZRFY) 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 bank’s 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:

ROA %(Q: Mar. 2026 )
=Net Income/Total Assets
=934.6/16013.465
=(Net Income / Revenue)*(Revenue / Total Assets)
=(934.6 / 9396.024)*(9396.024 / 16013.465)
=Net Margin %*Asset Turnover
=9.95 %*0.5868
=5.84 %

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.


Localiza Rent A Car ROA % Related Terms


Localiza Rent A Car ROA % Historical Data

* Premium members only.

The historical data trend for Localiza Rent A Car'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.

Localiza Rent A Car ROA % Chart

Localiza Rent A Car Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.55 4.14 2.54 1.93 2.29

Localiza Rent A Car Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.13 -0.84 1.28 4.42 5.84

LZRFY vs URI, SUNB, AER: ROA % Comparison

For the Rental & Leasing Services subindustry, Localiza Rent A Car'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.


Localiza Rent A Car ROA % vs Business Services Industry

For the Business Services industry and Industrials sector, Localiza Rent A Car's ROA % distribution charts can be found below:

* The bar in red indicates where Localiza Rent A Car's ROA % falls into.


LZRFY
90GF Score
Localiza Rent A Car SA LZRFY
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
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Localiza Rent A Car ROA % Calculation

Localiza Rent A Car's annualized ROA % for the fiscal year that ended in Dec. 2025 is calculated as:

ROA %=Net Income (A: Dec. 2025 )/( (Total Assets (A: Dec. 2024 )+Total Assets (A: Dec. 2025 ))/ count )
=343.764/( (14299.886+15683.886)/ 2 )
=343.764/14991.886
=2.29 %

Localiza Rent A Car's annualized ROA % for the quarter that ended in Mar. 2026 is calculated as:

ROA %=Net Income (Q: Mar. 2026 )/( (Total Assets (Q: Dec. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=934.6/( (15683.886+16343.044)/ 2 )
=934.6/16013.465
=5.84 %

* 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.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 5.84% mean?
Localiza Rent A Car (LZRFY) has a ROA % of 5.84% 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 Localiza Rent A Car and its competitors. This is 14% above median its historical median of 5.12. Over the past decade, Localiza Rent A Car's ROA % has ranged from 2.16 to 8.93. According to the industry distribution chart, Localiza Rent A Car ranks #613 out of 1094 companies in the Business Services industry, placing it in the top 56%.
Is Localiza Rent A Car's ROA % too high?
Localiza Rent A Car's current ROA % of 5.84% is 14% above median its 10-year median of 5.12. Over the past 10 years, this metric has ranged from a low of 2.16 to a high of 8.93. The Business Services industry median ROA % is 3.50. Localiza Rent A Car's value of 5.84% is 66.9% above this industry median. Based on the distribution chart, Localiza Rent A Car ranks #613 out of 1094 companies in the Business Services industry, which is below the industry midpoint. Overall, Localiza Rent A Car has a GF Score™ of 90/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Localiza Rent A Car's ROA % compare to URI and SUNB?
According to the Business Services industry distribution chart, Localiza Rent A Car ranks #613 out of 1094 companies for ROA %. This places Localiza Rent A Car in the lower half of its industry. The industry median ROA % is 3.50. Localiza Rent A Car's value of 5.84% is 66.9% above this benchmark. Historically, Localiza Rent A Car's own ROA % has ranged from 2.16 to 8.93 over the past decade. While the company's 10-year median is 5.12 vs. the industry median of 3.50, Localiza Rent A Car 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 Business Services company?
The median ROA % among Business Services companies is 3.50, based on 1,094 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. Localiza Rent A Car's current ROA % of 5.84% is 66.9% 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 Localiza Rent A Car and its competitors. For the Business Services industry, the median ROA % is 3.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Localiza Rent A Car's current ROA % is 5.84%, which is 14% above median its own 10-year median of 5.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Localiza Rent A Car stock overvalued right now?
Based on GuruFocus' analysis, Localiza Rent A Car (LZRFY) is currently considered Possible Value Trap. The stock's GF Value™ is $11.57, compared to a current price of $7.31 — trading 36.8% below its estimated fair value. The current ROA % is 5.84%, which is 14% above median its 10-year median of 5.12 and 66.9% above the Business Services industry median of 3.50. Localiza Rent A Car's overall GF Score™ is 90/100 with 9 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 Localiza Rent A Car (LZRFY), the current ROA % is 5.84% 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 Localiza Rent A Car (LZRFY) Overvalued in 2026?

Based on GuruFocus' analysis, Localiza Rent A Car stock appears to be undervalued. The current stock price of $7.31 is trading 36.8% below its estimated GF Value™ of $11.57. GuruFocus considers Localiza Rent A Car to be Possible Value Trap.

Key valuation signals for LZRFY:

  • ROA %: 5.84% (14% above median its 10-year median of 5.12)
  • GF Value™: $11.57 vs. price of $7.31 (36.8% below fair value)
  • GF Score™: 90/100 with 9 warning signs
  • Industry Position: 66.9% above the Business Services median (#613 of 1094)

No single metric tells the full story. See the LZRFY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Localiza Rent A Car Business Description

Other Exchanges RENT4:BrazilRENT3:Brazil
Address Avenida Bernardo Vasconcelos, No. 377 - Cachoeirinha, Belo Horizonte, MG, BRA, 31150-000
Localiza Rent A Car SA is a car rental service provider with the majority of its operations in Brazil. Through its subsidiaries, the company rents cars to individuals, manages corporate car fleets, sells its decommissioned fleet, and operates a franchise business. The company has two reportable operating segments: Car Rental and Fleet Management. Maximum revenue is generated from the Car Rental segment, which is responsible for car rentals and for stipulating insurance and managing car claims for insurance companies. This segment is also responsible for the administration and granting of franchises and the right to use the Localiza brand in geographically defined markets. Geographically, the company operates across different regions in Latin America.
90GF Score

Get the complete analysis for LZRFY

ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$7.31
Price
$11.57
GF Value