TAL Education GroupMEX:TAL N 64 ROA % is 16.01% as of Feb. 2026, which is 1953% above its 10-year median of 0.78. GuruFocus rates MEX:TAL N with a GF Score™ of 64/100 and a GF Value™ of MXN337.47 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 266 Education companies, TAL Education Group ranks better than 78.57% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. TAL Education Group's annualizedNet Income for the quarter that ended in Feb. 2026 was MXN16,862 Mil.
TAL Education Group's average Total Assets over the quarter that ended in Feb. 2026 was MXN105,338 Mil. Therefore, TAL Education Group's annualized ROA % for the quarter that ended in Feb. 2026 was 16.01%.
The historical rank and industry rank for TAL Education Group's ROA % or its related term are showing as below:
MEX:TAL N'
s ROA % Range Over the Past 10 Years
Min: -13.21 Med: 0.78 Max: 10.82
Current: 9.3
During the past 13 years, TAL Education Group's highest ROA % was 10.82%. The lowest was -13.21%. And the median was 0.78%.
MEX:TAL N's ROA % is ranked better than 78.57% of 266
companies
in the Education industry
Industry Median: 3.825
vs MEX:TAL N: 9.30
TAL Education Group (MEX:TAL N) 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 (Feb. 2026) net income data. The Revenue data used here is four times the quarterly (Feb. 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.
TAL Education Group ROA % Related Terms
TAL Education Group ROA % Historical Data
* Premium members only.
The historical data trend for TAL Education Group'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 Education & Training Services subindustry, TAL Education Group'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.
TAL Education Group ROA % vs Education Industry
For the Education industry and Consumer Defensive sector, TAL Education Group's ROA % distribution charts can be found below:
* The bar in red indicates where TAL Education Group'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 (Feb. 2026) net income data.
ROA % is displayed in the 30-year financial page.
TAL Education Group (MEX:TAL N) has a ROA % of 16.01% as of Feb. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on TAL Education Group and its competitors. This is 1953% above median its historical median of 0.78. According to the industry distribution chart, TAL Education Group ranks #57 out of 266 companies in the Education industry, placing it in the top 21.4%.
Is TAL Education Group's ROA % too high?
TAL Education Group's current ROA % of 16.01% is 1953% above median its 10-year median of 0.78. The Education industry median ROA % is 3.83. TAL Education Group's value of 16.01% is 318.6% above this industry median. Based on the distribution chart, TAL Education Group ranks #57 out of 266 companies in the Education industry, which is in the top quartile — a strong position relative to peers. Overall, TAL Education Group has a GF Score™ of 64/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does TAL Education Group's ROA % compare to GHC and LAUR?
According to the Education industry distribution chart, TAL Education Group ranks #57 out of 266 companies for ROA %. This places TAL Education Group in the top 21% of its industry — outperforming the majority of peers. The industry median ROA % is 3.83. TAL Education Group's value of 16.01% is 318.6% above this benchmark. While the company's 10-year median is 0.78 vs. the industry median of 3.83, TAL Education Group 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 an Education company?
The median ROA % among Education companies is 3.83, based on 266 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. TAL Education Group's current ROA % of 16.01% is 318.6% 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 TAL Education Group and its competitors. For the Education industry, the median ROA % is 3.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TAL Education Group's current ROA % is 16.01%, which is 1953% above median its own 10-year median of 0.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TAL Education Group stock overvalued right now?
Based on GuruFocus' analysis, TAL Education Group (MEX:TAL N) is currently considered Significantly Undervalued. The stock's GF Value™ is MXN337.47, compared to a current price of MXN155.00 — trading 54.1% below its estimated fair value. The current ROA % is 16.01%, which is 1953% above median its 10-year median of 0.78 and 318.6% above the Education industry median of 3.83. TAL Education Group's overall GF Score™ is 64/100 with 3 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 TAL Education Group (MEX:TAL N), the current ROA % is 16.01% as of Feb. 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 TAL Education Group (MEX:TAL N) Overvalued in 2026?
Based on GuruFocus' analysis, TAL Education Group stock appears to be undervalued.
The current stock price of MXN155.00 is trading 54.1% below its estimated GF Value™ of MXN337.47.
GuruFocus considers TAL Education Group to be Significantly Undervalued.
Key valuation signals for MEX:TAL N:
ROA %: 16.01% (1953% above median its 10-year median of 0.78)
GF Value™: MXN337.47 vs. price of MXN155.00 (54.1% below fair value)
Industry Position: 318.6% above the Education median (#57 of 266)
No single metric tells the full story. See the MEX:TAL N stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
TAL Education Group is a leading learning solutions provider in China. It operates a few business lines including enrichment learning, high school academic tutoring, learning technology, and content solutions. Among those business lines, TAL focuses on enrichment learning and content solutions.
64GF Score
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