Nestle NigeriaNSA:NESTLE 76 ROA % is 17.99% as of Mar. 2026, which is 29% above its 10-year median of 13.95. GuruFocus rates NSA:NESTLE with a GF Score™ of 76/100 and a GF Value™ of ₦2,149.87 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 1,990 Consumer Packaged Goods companies, Nestle Nigeria ranks better than 89.5% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Nestle Nigeria's annualizedNet Income for the quarter that ended in Mar. 2026 was ₦155,991 Mil.
Nestle Nigeria's average Total Assets over the quarter that ended in Mar. 2026 was ₦867,133 Mil. Therefore, Nestle Nigeria's annualized ROA % for the quarter that ended in Mar. 2026 was 17.99%.
The historical rank and industry rank for Nestle Nigeria's ROA % or its related term are showing as below:
NSA:NESTLE'
s ROA % Range Over the Past 10 Years
Min: -22.85 Med: 13.95 Max: 27.82
Current: 12.99
During the past 13 years, Nestle Nigeria's highest ROA % was 27.82%. The lowest was -22.85%. And the median was 13.95%.
NSA:NESTLE's ROA % is ranked better than 89.5% of 1990
companies
in the Consumer Packaged Goods industry
Industry Median: 3.26
vs NSA:NESTLE: 12.99
Nestle Nigeria (NSA:NESTLE) 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.
Nestle Nigeria ROA % Related Terms
Nestle Nigeria ROA % Historical Data
* Premium members only.
The historical data trend for Nestle Nigeria'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 Packaged Foods subindustry, Nestle Nigeria'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.
Nestle Nigeria ROA % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Nestle Nigeria's ROA % distribution charts can be found below:
* The bar in red indicates where Nestle Nigeria'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.
Nestle Nigeria (NSA:NESTLE) has a ROA % of 17.99% 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 Nestle Nigeria and its competitors. This is 29% above median its historical median of 13.95. According to the industry distribution chart, Nestle Nigeria ranks #209 out of 1990 companies in the Consumer Packaged Goods industry, placing it in the top 10.5%.
Is Nestle Nigeria's ROA % too high?
Nestle Nigeria's current ROA % of 17.99% is 29% above median its 10-year median of 13.95. The Consumer Packaged Goods industry median ROA % is 3.26. Nestle Nigeria's value of 17.99% is 451.8% above this industry median. Based on the distribution chart, Nestle Nigeria ranks #209 out of 1990 companies in the Consumer Packaged Goods industry, which is in the top quartile — a strong position relative to peers. Overall, Nestle Nigeria has a GF Score™ of 76/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nestle Nigeria's ROA % compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Nestle Nigeria ranks #209 out of 1990 companies for ROA %. This places Nestle Nigeria in the top 11% of its industry — outperforming the majority of peers. The industry median ROA % is 3.26. Nestle Nigeria's value of 17.99% is 451.8% above this benchmark. While the company's 10-year median is 13.95 vs. the industry median of 3.26, Nestle Nigeria 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 Consumer Packaged Goods company?
The median ROA % among Consumer Packaged Goods companies is 3.26, based on 1,990 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. Nestle Nigeria's current ROA % of 17.99% is 451.8% 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 Nestle Nigeria and its competitors. For the Consumer Packaged Goods industry, the median ROA % is 3.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nestle Nigeria's current ROA % is 17.99%, which is 29% above median its own 10-year median of 13.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nestle Nigeria stock overvalued right now?
Based on GuruFocus' analysis, Nestle Nigeria (NSA:NESTLE) is currently considered Significantly Overvalued. The stock's GF Value™ is ₦2,149.87, compared to a current price of ₦3,125.00 — trading 45.4% above its estimated fair value. The current ROA % is 17.99%, which is 29% above median its 10-year median of 13.95 and 451.8% above the Consumer Packaged Goods industry median of 3.26. Nestle Nigeria's overall GF Score™ is 76/100 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 Nestle Nigeria (NSA:NESTLE), the current ROA % is 17.99% 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 Nestle Nigeria (NSA:NESTLE) Overvalued in 2026?
Based on GuruFocus' analysis, Nestle Nigeria stock appears to be overvalued.
The current stock price of ₦3,125.00 is trading 45.4% above its estimated GF Value™ of ₦2,149.87.
GuruFocus considers Nestle Nigeria to be Significantly Overvalued.
Key valuation signals for NSA:NESTLE:
ROA %: 17.99% (29% above median its 10-year median of 13.95)
GF Value™: ₦2,149.87 vs. price of ₦3,125.00 (45.4% above fair value)
Industry Position: 451.8% above the Consumer Packaged Goods median (#209 of 1990)
No single metric tells the full story. See the NSA:NESTLE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nestle Nigeria PLC is a food and beverage company. It is involved in the business of manufacturing, marketing, and distribution of food products. The firm has categorized its products into Baby foods, Coffee, Culinary, Dairy, Drinks, and Recipes. It develops and markets its products under brands such as Cerelac, Nescafe, Nido, Maggi, Milo, etc. The company has Food and Beverage reportable segments. The Food segment engaged in the production and sale of Maggi, Cerelac, SMA, Nan, Lactogen, and Golden Morn. The Beverage segment consists of the production and sale of Milo, Chocomilo, Nido, Nescafe, Milo ready-to-drink, and Nestle Pure Life. The Food segment generates the majority of the revenue. Geographically, the majority of the revenue is generated from Nigeria.
76GF Score
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