Circle SpAMIL:CIRC -2.19%83 ROA % is 7.88% as of Dec. 2025, which is 24% above its 10-year median of 6.34. GuruFocus rates MIL:CIRC with a GF Score™ of 83/100 and a GF Value™ of €12.25 (Fairly Valued). The stock has 7 warning signs investors should review. Among 2,883 Software companies, Circle SpA ranks better than 74.68% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Circle SpA's annualizedNet Income for the quarter that ended in Dec. 2025 was €2.53 Mil.
Circle SpA's average Total Assets over the quarter that ended in Dec. 2025 was €32.05 Mil. Therefore, Circle SpA's annualized ROA % for the quarter that ended in Dec. 2025 was 7.88%.
The historical rank and industry rank for Circle SpA's ROA % or its related term are showing as below:
MIL:CIRC'
s ROA % Range Over the Past 10 Years
Min: -1.19 Med: 6.34 Max: 12.41
Current: 7.66
During the past 11 years, Circle SpA's highest ROA % was 12.41%. The lowest was -1.19%. And the median was 6.34%.
MIL:CIRC's ROA % is ranked better than 74.68% of 2883
companies
in the Software industry
Industry Median: 1.68
vs MIL:CIRC: 7.66
Circle SpA (MIL:CIRC) 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 two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) 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.
Circle SpA ROA % Related Terms
Circle SpA ROA % Historical Data
* Premium members only.
The historical data trend for Circle SpA'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 Information Technology Services subindustry, Circle SpA'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.
Circle SpA ROA % vs Software Industry
For the Software industry and Technology sector, Circle SpA's ROA % distribution charts can be found below:
* The bar in red indicates where Circle SpA'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 two times the semi-annual (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Circle SpA (MIL:CIRC) has a ROA % of 7.88% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Circle SpA and its competitors. This is 24% above median its historical median of 6.34. According to the industry distribution chart, Circle SpA ranks #730 out of 2883 companies in the Software industry, placing it in the top 25.3%.
Is Circle SpA's ROA % too high?
Circle SpA's current ROA % of 7.88% is 24% above median its 10-year median of 6.34. The Software industry median ROA % is 1.68. Circle SpA's value of 7.88% is 369% above this industry median. Based on the distribution chart, Circle SpA ranks #730 out of 2883 companies in the Software industry, which is above the industry midpoint. Overall, Circle SpA has a GF Score™ of 83/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Circle SpA's ROA % compare to IBM and ACN?
According to the Software industry distribution chart, Circle SpA ranks #730 out of 2883 companies for ROA %. This puts Circle SpA in the upper half of its industry. The industry median ROA % is 1.68. Circle SpA's value of 7.88% is 369% above this benchmark. While the company's 10-year median is 6.34 vs. the industry median of 1.68, Circle SpA 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 Software company?
The median ROA % among Software companies is 1.68, based on 2,883 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. Circle SpA's current ROA % of 7.88% is 369% 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 Circle SpA and its competitors. For the Software industry, the median ROA % is 1.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Circle SpA's current ROA % is 7.88%, which is 24% above median its own 10-year median of 6.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Circle SpA stock overvalued right now?
Based on GuruFocus' analysis, Circle SpA (MIL:CIRC) is currently considered Fairly Valued. The stock's GF Value™ is €12.25, compared to a current price of €13.40 — trading 9.4% above its estimated fair value. The current ROA % is 7.88%, which is 24% above median its 10-year median of 6.34 and 369% above the Software industry median of 1.68. Circle SpA's overall GF Score™ is 83/100 with 7 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 Circle SpA (MIL:CIRC), the current ROA % is 7.88% as of Dec. 2025. 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 Circle SpA (MIL:CIRC) Overvalued in 2026?
Based on GuruFocus' analysis, Circle SpA stock appears to be overvalued.
The current stock price of €13.40 is trading 9.4% above its estimated GF Value™ of €12.25.
GuruFocus considers Circle SpA to be Fairly Valued.
Key valuation signals for MIL:CIRC:
ROA %: 7.88% (24% above median its 10-year median of 6.34)
GF Value™: €12.25 vs. price of €13.40 (9.4% above fair value)
Industry Position: 369% above the Software median (#730 of 2883)
No single metric tells the full story. See the MIL:CIRC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Circle SpA is engaged in providing consulting services, technological solutions, and digital marketing services to companies operating predominantly in the logistics and transportation sectors. It provides strategic consulting services in the fields of port management, logistics, and transport, and also develops software solutions to optimize flow management and improve logistics processes. The company's service offerings in the digital marketing sector include; services for the analysis, identification, and use of multi-channel communication tools for the implementation of digital marketing strategies.
83GF Score
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