2 Cheap Cars GroupNZSE:2CC +1.54%51 ROA % is 12.43% as of Mar. 2026, which is 36% above its 10-year median of 9.17. GuruFocus rates NZSE:2CC with a GF Score™ of 51/100 and a GF Value™ of NZ$0.71 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,336 Vehicles & Parts companies, 2 Cheap Cars Group ranks better than 86.98% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. 2 Cheap Cars Group's annualizedNet Income for the quarter that ended in Mar. 2026 was NZ$4.36 Mil.
2 Cheap Cars Group's average Total Assets over the quarter that ended in Mar. 2026 was NZ$35.10 Mil. Therefore, 2 Cheap Cars Group's annualized ROA % for the quarter that ended in Mar. 2026 was 12.43%.
The historical rank and industry rank for 2 Cheap Cars Group's ROA % or its related term are showing as below:
NZSE:2CC'
s ROA % Range Over the Past 10 Years
Min: 3.86 Med: 9.17 Max: 19.58
Current: 9.16
During the past 6 years, 2 Cheap Cars Group's highest ROA % was 19.58%. The lowest was 3.86%. And the median was 9.17%.
NZSE:2CC's ROA % is ranked better than 86.98% of 1336
companies
in the Vehicles & Parts industry
Industry Median: 2.95
vs NZSE:2CC: 9.16
2 Cheap Cars Group (NZSE:2CC) 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 (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.
2 Cheap Cars Group ROA % Related Terms
2 Cheap Cars Group ROA % Historical Data
* Premium members only.
The historical data trend for 2 Cheap Cars 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 Auto & Truck Dealerships subindustry, 2 Cheap Cars 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.
2 Cheap Cars Group ROA % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, 2 Cheap Cars Group's ROA % distribution charts can be found below:
* The bar in red indicates where 2 Cheap Cars 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 two times the semi-annual (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
2 Cheap Cars Group (NZSE:2CC) has a ROA % of 12.43% 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 2 Cheap Cars Group and its competitors. This is 36% above median its historical median of 9.17. Over the past decade, 2 Cheap Cars Group's ROA % has ranged from 3.86 to 19.58. According to the industry distribution chart, 2 Cheap Cars Group ranks #174 out of 1336 companies in the Vehicles & Parts industry, placing it in the top 13%.
Is 2 Cheap Cars Group's ROA % too high?
2 Cheap Cars Group's current ROA % of 12.43% is 36% above median its 10-year median of 9.17. Over the past 10 years, this metric has ranged from a low of 3.86 to a high of 19.58. The Vehicles & Parts industry median ROA % is 2.95. 2 Cheap Cars Group's value of 12.43% is 321.4% above this industry median. Based on the distribution chart, 2 Cheap Cars Group ranks #174 out of 1336 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, 2 Cheap Cars Group has a GF Score™ of 51/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does 2 Cheap Cars Group's ROA % compare to CVNA and PAG?
According to the Vehicles & Parts industry distribution chart, 2 Cheap Cars Group ranks #174 out of 1336 companies for ROA %. This places 2 Cheap Cars Group in the top 13% of its industry — outperforming the majority of peers. The industry median ROA % is 2.95. 2 Cheap Cars Group's value of 12.43% is 321.4% above this benchmark. Historically, 2 Cheap Cars Group's own ROA % has ranged from 3.86 to 19.58 over the past decade. While the company's 10-year median is 9.17 vs. the industry median of 2.95, 2 Cheap Cars 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 a Vehicles & Parts company?
The median ROA % among Vehicles & Parts companies is 2.95, based on 1,336 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. 2 Cheap Cars Group's current ROA % of 12.43% is 321.4% 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 2 Cheap Cars Group and its competitors. For the Vehicles & Parts industry, the median ROA % is 2.95 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. 2 Cheap Cars Group's current ROA % is 12.43%, which is 36% above median its own 10-year median of 9.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is 2 Cheap Cars Group stock overvalued right now?
Based on GuruFocus' analysis, 2 Cheap Cars Group (NZSE:2CC) is currently considered Fairly Valued. The stock's GF Value™ is NZ$0.71, compared to a current price of NZ$0.66 — trading 7% below its estimated fair value. The current ROA % is 12.43%, which is 36% above median its 10-year median of 9.17 and 321.4% above the Vehicles & Parts industry median of 2.95. 2 Cheap Cars Group's overall GF Score™ is 51/100 with 4 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 2 Cheap Cars Group (NZSE:2CC), the current ROA % is 12.43% 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 2 Cheap Cars Group (NZSE:2CC) Overvalued in 2026?
Based on GuruFocus' analysis, 2 Cheap Cars Group stock appears to be undervalued.
The current stock price of NZ$0.66 is trading 7% below its estimated GF Value™ of NZ$0.71.
GuruFocus considers 2 Cheap Cars Group to be Fairly Valued.
Key valuation signals for NZSE:2CC:
ROA %: 12.43% (36% above median its 10-year median of 9.17)
GF Value™: NZ$0.71 vs. price of NZ$0.66 (7% below fair value)
Industry Position: 321.4% above the Vehicles & Parts median (#174 of 1336)
No single metric tells the full story. See the NZSE:2CC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
2 Cheap Cars Group Ltd is an integrated automotive group operating throughout New Zealand via two divisions: Automotive Retail and Finance. The group draws revenue from the two divisions: automotive retail division, revenue is derived from the sale of vehicles and from agent commissions relating to third-party finance and insurance products.
51GF Score
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