Nokia OyjMEX:NOKN -7.87%47 ROA % is 0.91% as of Mar. 2026, which is 11% above its 10-year median of 0.82. GuruFocus rates MEX:NOKN with a GF Score™ of 47/100 and a GF Value™ of MXN84.28 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 2,498 Hardware companies, Nokia Oyj ranks worse than 50.92% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Nokia Oyj's annualizedNet Income for the quarter that ended in Mar. 2026 was MXN7,171 Mil.
Nokia Oyj's average Total Assets over the quarter that ended in Mar. 2026 was MXN784,998 Mil. Therefore, Nokia Oyj's annualized ROA % for the quarter that ended in Mar. 2026 was 0.91%.
The historical rank and industry rank for Nokia Oyj's ROA % or its related term are showing as below:
MEX:NOKN'
s ROA % Range Over the Past 10 Years
Min: -6.7 Med: 0.82 Max: 10.24
Current: 2.14
During the past 13 years, Nokia Oyj's highest ROA % was 10.24%. The lowest was -6.70%. And the median was 0.82%.
MEX:NOKN's ROA % is ranked worse than 50.92% of 2498
companies
in the Hardware industry
Industry Median: 2.27
vs MEX:NOKN: 2.14
Nokia Oyj (MEX:NOKN) 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.
Nokia Oyj ROA % Related Terms
Nokia Oyj ROA % Historical Data
* Premium members only.
The historical data trend for Nokia Oyj'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 Communication Equipment subindustry, Nokia Oyj'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.
Nokia Oyj ROA % vs Hardware Industry
For the Hardware industry and Technology sector, Nokia Oyj's ROA % distribution charts can be found below:
* The bar in red indicates where Nokia Oyj'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.
Nokia Oyj (MEX:NOKN) has a ROA % of 0.91% 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 Nokia Oyj and its competitors. This is 11% above median its historical median of 0.82. According to the industry distribution chart, Nokia Oyj ranks #1272 out of 2498 companies in the Hardware industry, placing it in the top 50.9%.
Is Nokia Oyj's ROA % too high?
Nokia Oyj's current ROA % of 0.91% is 11% above median its 10-year median of 0.82. The Hardware industry median ROA % is 2.27. Nokia Oyj's value of 0.91% is 59.9% below this industry median. Based on the distribution chart, Nokia Oyj ranks #1272 out of 2498 companies in the Hardware industry, which is below the industry midpoint. Overall, Nokia Oyj has a GF Score™ of 47/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nokia Oyj's ROA % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, Nokia Oyj ranks #1272 out of 2498 companies for ROA %. This places Nokia Oyj in the lower half of its industry. The industry median ROA % is 2.27. Nokia Oyj's value of 0.91% is 59.9% below this benchmark. While the company's 10-year median is 0.82 vs. the industry median of 2.27, Nokia Oyj has consistently been below 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 Hardware company?
The median ROA % among Hardware companies is 2.27, based on 2,498 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. Nokia Oyj's current ROA % of 0.91% is 59.9% below 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 Nokia Oyj and its competitors. For the Hardware industry, the median ROA % is 2.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nokia Oyj's current ROA % is 0.91%, which is 11% above median its own 10-year median of 0.82. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nokia Oyj stock overvalued right now?
Based on GuruFocus' analysis, Nokia Oyj (MEX:NOKN) is currently considered Significantly Overvalued. The stock's GF Value™ is MXN84.28, compared to a current price of MXN224.80 — trading 166.7% above its estimated fair value. The current ROA % is 0.91%, which is 11% above median its 10-year median of 0.82 and 59.9% below the Hardware industry median of 2.27. Nokia Oyj's overall GF Score™ is 47/100 with 4 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 Nokia Oyj (MEX:NOKN), the current ROA % is 0.91% 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 Nokia Oyj (MEX:NOKN) Overvalued in 2026?
Based on GuruFocus' analysis, Nokia Oyj stock appears to be overvalued.
The current stock price of MXN224.80 is trading 166.7% above its estimated GF Value™ of MXN84.28.
GuruFocus considers Nokia Oyj to be Significantly Overvalued.
Key valuation signals for MEX:NOKN:
ROA %: 0.91% (11% above median its 10-year median of 0.82)
GF Value™: MXN84.28 vs. price of MXN224.80 (166.7% above fair value)
Industry Position: 59.9% below the Hardware median (#1272 of 2498)
No single metric tells the full story. See the MEX:NOKN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nokia is a networking equipment vendor focused primarily on supporting wireless networks and, to a growing extent, Internet Protocol and optical systems. The firm operates three segments. The mobile infrastructure segment sells equipment and software used to operate the core of carrier and enterprise wireless networks. Network infrastructure comprises IP, optical, and fixed-network equipment, including switching and routing equipment, optical components, and devices used in fiber-to-the-premises networks. The portfolio business comprises businesses considered noncore to Nokia in the future, including fixed wireless access customer premises equipment, enterprise campus edge, and microwave radio.
47GF Score
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