ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Porch Group's annualizedNet Income for the quarter that ended in Mar. 2026 was $-18.9 Mil.
Porch Group's average Total Assets over the quarter that ended in Mar. 2026 was $802.0 Mil. Therefore, Porch Group's annualized ROA % for the quarter that ended in Mar. 2026 was -2.35%.
The historical rank and industry rank for Porch Group's ROA % or its related term are showing as below:
PRCH'
s ROA % Range Over the Past 10 Years
Min: -213.17 Med: -15 Max: -0.42
Current: -2.08
During the past 7 years, Porch Group's highest ROA % was -0.42%. The lowest was -213.17%. And the median was -15.00%.
PRCH's ROA % is ranked worse than 93.92% of 510
companies
in the Insurance industry
Industry Median: 2.68
vs PRCH: -2.08
Porch Group (NAS:PRCH) 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.
Porch Group ROA % Related Terms
Porch Group ROA % Historical Data
* Premium members only.
The historical data trend for Porch 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 Insurance - Property & Casualty subindustry, Porch 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.
Porch Group ROA % vs Insurance Industry
For the Insurance industry and Financial Services sector, Porch Group's ROA % distribution charts can be found below:
* The bar in red indicates where Porch 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.
Porch Group (PRCH) has a ROA % of -2.35% 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 Porch Group and its competitors. According to the industry distribution chart, Porch Group ranks #479 out of 510 companies in the Insurance industry, placing it in the top 93.9%.
Is Porch Group's ROA % too high?
Porch Group's current ROA % is -2.35%. Based on the distribution chart, Porch Group ranks #479 out of 510 companies in the Insurance industry, which is in the bottom quartile relative to peers. Overall, Porch Group has a GF Score™ of 64/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Porch Group's ROA % compare to KMPR and UFCS?
According to the Insurance industry distribution chart, Porch Group ranks #479 out of 510 companies for ROA %. This places Porch Group in the lower half of its industry. The industry median ROA % is 2.68. 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 Insurance company?
The median ROA % among Insurance companies is 2.68, based on 510 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. 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 Porch Group and its competitors. For the Insurance industry, the median ROA % is 2.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Porch Group's current ROA % is -2.35%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Porch Group stock overvalued right now?
Based on GuruFocus' analysis, Porch Group (PRCH) is currently considered Significantly Overvalued. The stock's GF Value™ is $3.98, compared to a current price of $15.98 — trading 301.5% above its estimated fair value. The current ROA % is -2.35%. Porch Group's overall GF Score™ is 64/100 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 Porch Group (PRCH), the current ROA % is -2.35% 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 Porch Group (PRCH) Overvalued in 2026?
Based on GuruFocus' analysis, Porch Group stock appears to be overvalued.
The current stock price of $15.98 is trading 301.5% above its estimated GF Value™ of $3.98.
GuruFocus considers Porch Group to be Significantly Overvalued.
Key valuation signals for PRCH:
ROA %: -2.35%
GF Value™: $3.98 vs. price of $15.98 (301.5% above fair value)
No single metric tells the full story. See the PRCH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Porch Group Inc is a vertical software company reinventing the home services and insurance industries. It has four reportable segments: Insurance Services, Software & Data, Consumer Services, and Corporate. The majority of revenue is from the Insurance segment. The Insurance Services segment manages and operates the Reciprocal, providing services related, but not limited, to underwriting, policy renewal, risk management, insurance portfolio management, financial management, and setting investment guidelines in exchange for commissions and fees.
64GF Score
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