Principal Financial GroupPFGPRBCL.PFD 71 ROA % is 0.50% as of Mar. 2026, which is 7% below its 10-year median of 0.54. GuruFocus rates PFGPRBCL.PFD with a GF Score™ of 71/100. The stock has 7 warning signs investors should review. Among 1,639 Asset Management companies, Principal Financial Group ranks worse than 70.53% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Principal Financial Group's annualizedNet Income for the quarter that ended in Mar. 2026 was $1,698.40 Mil.
Principal Financial Group's average Total Assets over the quarter that ended in Mar. 2026 was $337,040.50 Mil. Therefore, Principal Financial Group's annualized ROA % for the quarter that ended in Mar. 2026 was 0.50%.
The historical rank and industry rank for Principal Financial Group's ROA % or its related term are showing as below:
PFGPRBCL.PFD'
s ROA % Range Over the Past 10 Years
Min: 0.21 Med: 0.54 Max: 1.6
Current: 0.47
During the past 13 years, Principal Financial Group's highest ROA % was 1.60%. The lowest was 0.21%. And the median was 0.54%.
PFGPRBCL.PFD's ROA % is ranked worse than 70.53% of 1639
companies
in the Asset Management industry
Industry Median: 3.95
vs PFGPRBCL.PFD: 0.47
Principal Financial Group (NYSE:PFGPRBCL.PFD) 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.
* 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 Asset Management subindustry, Principal Financial 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.
Principal Financial Group ROA % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Principal Financial Group's ROA % distribution charts can be found below:
* The bar in red indicates where Principal Financial 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 (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Principal Financial Group (PFGPRBCL.PFD) has a ROA % of 0.50% 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 Principal Financial Group and its competitors. This is near median its historical median of 0.54. Over the past decade, Principal Financial Group's ROA % has ranged from 0.21 to 1.60. According to the industry distribution chart, Principal Financial Group ranks #1156 out of 1639 companies in the Asset Management industry, placing it in the top 70.5%.
Is Principal Financial Group's ROA % too high?
Principal Financial Group's current ROA % of 0.50% is near median its 10-year median of 0.54. Over the past 10 years, this metric has ranged from a low of 0.21 to a high of 1.60. The Asset Management industry median ROA % is 3.95. Principal Financial Group's value of 0.50% is 87.3% below this industry median. Based on the distribution chart, Principal Financial Group ranks #1156 out of 1639 companies in the Asset Management industry, which is below the industry midpoint. Overall, Principal Financial Group has a GF Score™ of 71/100, reflecting its overall financial health beyond just this single metric.
How does Principal Financial Group's ROA % compare to TROW and RJF?
According to the Asset Management industry distribution chart, Principal Financial Group ranks #1156 out of 1639 companies for ROA %. This places Principal Financial Group in the lower half of its industry. The industry median ROA % is 3.95. Principal Financial Group's value of 0.50% is 87.3% below this benchmark. Historically, Principal Financial Group's own ROA % has ranged from 0.21 to 1.60 over the past decade. While the company's 10-year median is 0.54 vs. the industry median of 3.95, Principal Financial Group has consistently been below 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 Asset Management company?
The median ROA % among Asset Management companies is 3.95, based on 1,639 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. Principal Financial Group's current ROA % of 0.50% is 87.3% below 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 Principal Financial Group and its competitors. For the Asset Management industry, the median ROA % is 3.95 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Principal Financial Group's current ROA % is 0.50%, which is near median its own 10-year median of 0.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Principal Financial Group stock overvalued right now?
Principal Financial Group (PFGPRBCL.PFD) has a current ROA % of 0.50%. The current ROA % is 0.50%, which is near median its 10-year median of 0.54 and 87.3% below the Asset Management industry median of 3.95. Principal Financial Group's overall GF Score™ is 71/100 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 Principal Financial Group (PFGPRBCL.PFD), the current ROA % is 0.50% 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.
Principal Financial Group Inc is a financial services provider. It offers various financial products and services including retirement, asset management, and workplace benefits and protection solutions to individuals and institutional clients. The company, along with its subsidiaries, operates in the following reportable segments; Retirement and Income Solutions, Principal Asset Management, and Benefits and Protection. Maximum revenue is generated from the Retirement and Income Solutions segment which provides workplace savings and retirement solutions, banking, trust and custodial services, individual variable annuities (including RILAs), pension risk transfer, and investment services to businesses, their employees, and other individuals.
71GF Score
Get the complete analysis for PFGPRBCL.PFD
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
PFGPRBCL.PFD has been successfully added to your 
