Monarch Cement CoMCEM +0.71%84 ROA % is 9.07% as of Mar. 2026, which is 35% below its 10-year median of 13.85. GuruFocus rates MCEM with a GF Score™ of 84/100 and a GF Value™ of $201.94 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 410 Building Materials companies, Monarch Cement Co ranks better than 94.15% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Monarch Cement Co's annualizedNet Income for the quarter that ended in Mar. 2026 was $45.3 Mil.
Monarch Cement Co's average Total Assets over the quarter that ended in Mar. 2026 was $499.5 Mil. Therefore, Monarch Cement Co's annualized ROA % for the quarter that ended in Mar. 2026 was 9.07%.
The historical rank and industry rank for Monarch Cement Co's ROA % or its related term are showing as below:
MCEM'
s ROA % Range Over the Past 10 Years
Min: 7.81 Med: 13.85 Max: 21.49
Current: 15.15
During the past 13 years, Monarch Cement Co's highest ROA % was 21.49%. The lowest was 7.81%. And the median was 13.85%.
MCEM's ROA % is ranked better than 94.15% of 410
companies
in the Building Materials industry
Industry Median: 2.255
vs MCEM: 15.15
Monarch Cement Co (OTCPK:MCEM) 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.
Monarch Cement Co ROA % Related Terms
Monarch Cement Co ROA % Historical Data
* Premium members only.
The historical data trend for Monarch Cement Co'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 Building Materials subindustry, Monarch Cement Co'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.
Monarch Cement Co ROA % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Monarch Cement Co's ROA % distribution charts can be found below:
* The bar in red indicates where Monarch Cement Co'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 four times the quarterly (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Monarch Cement Co (MCEM) has a ROA % of 9.07% 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 Monarch Cement Co and its competitors. This is 35% below median its historical median of 13.85. Over the past decade, Monarch Cement Co's ROA % has ranged from 7.81 to 21.49. According to the industry distribution chart, Monarch Cement Co ranks #24 out of 410 companies in the Building Materials industry, placing it in the top 5.9%.
Is Monarch Cement Co's ROA % too high?
Monarch Cement Co's current ROA % of 9.07% is 35% below median its 10-year median of 13.85. Over the past 10 years, this metric has ranged from a low of 7.81 to a high of 21.49. The Building Materials industry median ROA % is 2.26. Monarch Cement Co's value of 9.07% is 302.2% above this industry median. Based on the distribution chart, Monarch Cement Co ranks #24 out of 410 companies in the Building Materials industry, which is in the top quartile — a strong position relative to peers. Overall, Monarch Cement Co has a GF Score™ of 84/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Monarch Cement Co's ROA % compare to RMIX and PHCI?
According to the Building Materials industry distribution chart, Monarch Cement Co ranks #24 out of 410 companies for ROA %. This places Monarch Cement Co in the top 6% of its industry — outperforming the majority of peers. The industry median ROA % is 2.26. Monarch Cement Co's value of 9.07% is 302.2% above this benchmark. Historically, Monarch Cement Co's own ROA % has ranged from 7.81 to 21.49 over the past decade. While the company's 10-year median is 13.85 vs. the industry median of 2.26, Monarch Cement Co 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 Building Materials company?
The median ROA % among Building Materials companies is 2.26, based on 410 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. Monarch Cement Co's current ROA % of 9.07% is 302.2% 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 Monarch Cement Co and its competitors. For the Building Materials industry, the median ROA % is 2.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Monarch Cement Co's current ROA % is 9.07%, which is 35% below median its own 10-year median of 13.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Monarch Cement Co stock overvalued right now?
Based on GuruFocus' analysis, Monarch Cement Co (MCEM) is currently considered Significantly Overvalued. The stock's GF Value™ is $201.94, compared to a current price of $282.00 — trading 39.6% above its estimated fair value. The current ROA % is 9.07%, which is 35% below median its 10-year median of 13.85 and 302.2% above the Building Materials industry median of 2.26. Monarch Cement Co's overall GF Score™ is 84/100 with 6 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 Monarch Cement Co (MCEM), the current ROA % is 9.07% 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 Monarch Cement Co (MCEM) Overvalued in 2026?
Based on GuruFocus' analysis, Monarch Cement Co stock appears to be overvalued.
The current stock price of $282.00 is trading 39.6% above its estimated GF Value™ of $201.94.
GuruFocus considers Monarch Cement Co to be Significantly Overvalued.
Key valuation signals for MCEM:
ROA %: 9.07% (35% below median its 10-year median of 13.85)
GF Value™: $201.94 vs. price of $282.00 (39.6% above fair value)
Industry Position: 302.2% above the Building Materials median (#24 of 410)
No single metric tells the full story. See the MCEM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Monarch Cement Co is principally engaged in the manufacture and sale of Portland cement. The company's subsidiaries together are engaged in the ready-mixed concrete, concrete products, and sundry building materials business. Ready-mixed concrete is manufactured by combining aggregates with Portland cement, water, and chemical admixtures in batch plants. It is then loaded into mixer trucks and mixed in transit to the construction site where it is delivered to the contractor. The company groups its operations into two segments: Cement Business and Ready-Mixed Concrete Business, of which key revenue is derived from the Cement business segment.
84GF Score
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