ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Sensient Technologies's annualizedNet Income for the quarter that ended in Mar. 2026 was MXN3,186 Mil.
Sensient Technologies's average Total Assets over the quarter that ended in Mar. 2026 was MXN40,829 Mil. Therefore, Sensient Technologies's annualized ROA % for the quarter that ended in Mar. 2026 was 7.80%.
The historical rank and industry rank for Sensient Technologies's ROA % or its related term are showing as below:
MEX:SXT'
s ROA % Range Over the Past 10 Years
Min: 4.6 Med: 6.3 Max: 8.87
Current: 6.53
During the past 13 years, Sensient Technologies's highest ROA % was 8.87%. The lowest was 4.60%. And the median was 6.30%.
MEX:SXT's ROA % is ranked better than 75.28% of 1614
companies
in the Chemicals industry
Industry Median: 2.9
vs MEX:SXT: 6.53
Sensient Technologies (MEX:SXT) 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.
* 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 Specialty Chemicals subindustry, Sensient Technologies'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.
Sensient Technologies ROA % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Sensient Technologies's ROA % distribution charts can be found below:
* The bar in red indicates where Sensient Technologies'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.
Sensient Technologies (MEX:SXT) has a ROA % of 7.80% 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 Sensient Technologies and its competitors. This is 24% above median its historical median of 6.30. Over the past decade, Sensient Technologies' ROA % has ranged from 4.60 to 8.87. According to the industry distribution chart, Sensient Technologies ranks #399 out of 1614 companies in the Chemicals industry, placing it in the top 24.7%.
Is Sensient Technologies' ROA % too high?
Sensient Technologies' current ROA % of 7.80% is 24% above median its 10-year median of 6.30. Over the past 10 years, this metric has ranged from a low of 4.60 to a high of 8.87. The Chemicals industry median ROA % is 2.90. Sensient Technologies' value of 7.80% is 169% above this industry median. Based on the distribution chart, Sensient Technologies ranks #399 out of 1614 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Sensient Technologies has a GF Score™ of 84/100, reflecting its overall financial health beyond just this single metric.
How does Sensient Technologies' ROA % compare to CBT and BCPC?
According to the Chemicals industry distribution chart, Sensient Technologies ranks #399 out of 1614 companies for ROA %. This places Sensient Technologies in the top 25% of its industry — outperforming the majority of peers. The industry median ROA % is 2.90. Sensient Technologies' value of 7.80% is 169% above this benchmark. Historically, Sensient Technologies' own ROA % has ranged from 4.60 to 8.87 over the past decade. While the company's 10-year median is 6.30 vs. the industry median of 2.90, Sensient Technologies 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 Chemicals company?
The median ROA % among Chemicals companies is 2.90, based on 1,614 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. Sensient Technologies's current ROA % of 7.80% is 169% 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 Sensient Technologies and its competitors. For the Chemicals industry, the median ROA % is 2.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sensient Technologies's current ROA % is 7.80%, which is 24% above median its own 10-year median of 6.30. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sensient Technologies stock overvalued right now?
Sensient Technologies (MEX:SXT) has a current ROA % of 7.80%. The stock's GF Value™ is MXN1,010.91, compared to a current price of MXN1,400.00 — trading 38.5% above its estimated fair value. The current ROA % is 7.80%, which is 24% above median its 10-year median of 6.30 and 169% above the Chemicals industry median of 2.90. Sensient Technologies' overall GF Score™ is 84/100 with 8 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 Sensient Technologies (MEX:SXT), the current ROA % is 7.80% 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 Sensient Technologies (MEX:SXT) Overvalued in 2026?
Based on GuruFocus' analysis, Sensient Technologies stock appears to be overvalued.
The current stock price of MXN1,400.00 is trading 38.5% above its estimated GF Value™ of MXN1,010.91.
Key valuation signals for MEX:SXT:
ROA %: 7.80% (24% above median its 10-year median of 6.30)
GF Value™: MXN1,010.91 vs. price of MXN1,400.00 (38.5% above fair value)
Industry Position: 169% above the Chemicals median (#399 of 1614)
No single metric tells the full story. See the MEX:SXT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sensient Technologies Corp manufactures and markets natural and synthetic colors, flavors, and other specialty ingredients. Sensient's offerings are predominantly applied to consumer-facing products, including food and beverage, cosmetics and pharmaceuticals, nutraceuticals, and personal care industries. Its principal products are flavors, flavor enhancers, ingredients, extracts, and bionutrients, essential oils, dehydrated vegetables and other food ingredients, natural and synthetic food and beverage colors, and others. The company's reportable segments are: Flavors & Extracts, which derive key revenue, Color, Asia Pacific, and Corporate and Other. Geographically, the company generates maximum revenue from North America, followed by Europe, Asia-Pacific, and other regions.
84GF Score
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