Abhotel Co (NGO:6565) ROA %: 11.58% (As of Mar. 2026) — 81% Above Median

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NGO:6565 Abhotel Co Ltd NGO:6565
84 GF Score
Price 円1,412.00
GF Value 円1,980.87
Valuation Modestly Undervalued
! 1 Warning Sign
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What is Abhotel Co ROA %?

Abhotel Co NGO:6565 -0.63% 84 ROA % is 11.58% as of Mar. 2026, which is 81% above its 10-year median of 6.40. GuruFocus rates NGO:6565 with a GF Score™ of 84/100 and a GF Value™ of 円1,980.87 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 857 Travel & Leisure companies, Abhotel Co ranks better than 90.32% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Abhotel Co's annualized Net Income for the quarter that ended in Mar. 2026 was 円3,320 Mil. Abhotel Co's average Total Assets over the quarter that ended in Mar. 2026 was 円28,676 Mil. Therefore, Abhotel Co's annualized ROA % for the quarter that ended in Mar. 2026 was 11.58%.

The historical rank and industry rank for Abhotel Co's ROA % or its related term are showing as below:

NGO:6565' s ROA % Range Over the Past 10 Years
Min: 0.05   Med: 6.4   Max: 11.31
Current: 11.28

During the past 11 years, Abhotel Co's highest ROA % was 11.31%. The lowest was 0.05%. And the median was 6.40%.

NGO:6565's ROA % is ranked better than
90.32% of 857 companies
in the Travel & Leisure industry
Industry Median: 2.3 vs NGO:6565: 11.28

Abhotel Co  (NGO:6565) 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 bank’s 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:

ROA %(Q: Mar. 2026 )
=Net Income/Total Assets
=3319.87/28676.381
=(Net Income / Revenue)*(Revenue / Total Assets)
=(3319.87 / 12521.188)*(12521.188 / 28676.381)
=Net Margin %*Asset Turnover
=26.51 %*0.4366
=11.58 %

Note: The Net Income data used here is two times the semi-annual (Mar. 2026) net income data. The Revenue data used here is two times the semi-annual (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.


Abhotel Co ROA % Related Terms


Abhotel Co ROA % Historical Data

* Premium members only.

The historical data trend for Abhotel 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.

Abhotel Co ROA % Chart

Abhotel Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.78 8.59 10.40 10.35 11.31

Abhotel Co Semi-Annual Data
Mar16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 10.83 9.85 10.52 10.93 11.58

NGO:6565 vs MAR, HLT, HTHT: ROA % Comparison

For the Lodging subindustry, Abhotel 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.


Abhotel Co ROA % vs Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Abhotel Co's ROA % distribution charts can be found below:

* The bar in red indicates where Abhotel Co's ROA % falls into.


NGO:6565
84GF Score
Abhotel Co Ltd NGO:6565
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Abhotel Co ROA % Calculation

Abhotel Co's annualized ROA % for the fiscal year that ended in Mar. 2026 is calculated as:

ROA %=Net Income (A: Mar. 2026 )/( (Total Assets (A: Mar. 2025 )+Total Assets (A: Mar. 2026 ))/ count )
=3143.696/( (26285.579+29329.816)/ 2 )
=3143.696/27807.6975
=11.31 %

Abhotel Co's annualized ROA % for the quarter that ended in Mar. 2026 is calculated as:

ROA %=Net Income (Q: Mar. 2026 )/( (Total Assets (Q: Sep. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=3319.87/( (28022.946+29329.816)/ 2 )
=3319.87/28676.381
=11.58 %

* 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 (Mar. 2026) net income data. ROA % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 11.58% mean?
Abhotel Co (NGO:6565) has a ROA % of 11.58% 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 Abhotel Co and its competitors. This is 81% above median its historical median of 6.40. Over the past decade, Abhotel Co's ROA % has ranged from 0.05 to 11.31. According to the industry distribution chart, Abhotel Co ranks #83 out of 857 companies in the Travel & Leisure industry, placing it in the top 9.7%.
Is Abhotel Co's ROA % too high?
Abhotel Co's current ROA % of 11.58% is 81% above median its 10-year median of 6.40. Over the past 10 years, this metric has ranged from a low of 0.05 to a high of 11.31. The Travel & Leisure industry median ROA % is 2.30. Abhotel Co's value of 11.58% is 403.5% above this industry median. Based on the distribution chart, Abhotel Co ranks #83 out of 857 companies in the Travel & Leisure industry, which is in the top quartile — a strong position relative to peers. Overall, Abhotel Co has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Abhotel Co's ROA % compare to MAR and HLT?
According to the Travel & Leisure industry distribution chart, Abhotel Co ranks #83 out of 857 companies for ROA %. This places Abhotel Co in the top 10% of its industry — outperforming the majority of peers. The industry median ROA % is 2.30. Abhotel Co's value of 11.58% is 403.5% above this benchmark. Historically, Abhotel Co's own ROA % has ranged from 0.05 to 11.31 over the past decade. While the company's 10-year median is 6.40 vs. the industry median of 2.30, Abhotel 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 Travel & Leisure company?
The median ROA % among Travel & Leisure companies is 2.30, based on 857 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. Abhotel Co's current ROA % of 11.58% is 403.5% 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 Abhotel Co and its competitors. For the Travel & Leisure industry, the median ROA % is 2.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Abhotel Co's current ROA % is 11.58%, which is 81% above median its own 10-year median of 6.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Abhotel Co stock overvalued right now?
Based on GuruFocus' analysis, Abhotel Co (NGO:6565) is currently considered Modestly Undervalued. The stock's GF Value™ is 円1,980.87, compared to a current price of 円1,412.00 — trading 28.7% below its estimated fair value. The current ROA % is 11.58%, which is 81% above median its 10-year median of 6.40 and 403.5% above the Travel & Leisure industry median of 2.30. Abhotel Co's overall GF Score™ is 84/100 with 1 warning sign 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 Abhotel Co (NGO:6565), the current ROA % is 11.58% 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 Abhotel Co (NGO:6565) Overvalued in 2026?

Based on GuruFocus' analysis, Abhotel Co stock appears to be undervalued. The current stock price of 円1,412.00 is trading 28.7% below its estimated GF Value™ of 円1,980.87. GuruFocus considers Abhotel Co to be Modestly Undervalued.

Key valuation signals for NGO:6565:

  • ROA %: 11.58% (81% above median its 10-year median of 6.40)
  • GF Value™: 円1,980.87 vs. price of 円1,412.00 (28.7% below fair value)
  • GF Score™: 84/100 with 1 warning sign
  • Industry Position: 403.5% above the Travel & Leisure median (#83 of 857)

No single metric tells the full story. See the NGO:6565 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Abhotel Co Business Description

Address 1-9-2 Mikawaanjo-cho, Anjo-shi, Aichi, JPN, 446-0056
Abhotel Co Ltd is a Japan-based company, engages in the Hotel business. It operates a hotel with rooms, meals, facilities and services, and sightseeing. It offers various categories of rooms, such as Universal Twin Room, Deluxe Twin Room, Separate Semi Double Room, Separate Single Room, Double Room, and Single Room. Its room facilities include a minibar with rooms, in-room electronic safe lockers, laundry and dry cleaning, spa, health club, travel desk, shopping arcade, and others.
84GF Score

Get the complete analysis for NGO:6565

ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円1,412.00
Price
円1,980.87
GF Value