RGCO (RGC Resources) ROA %: 0.66% (As of Jun. 2026) — 82% Below Median

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RGCO RGC Resources Inc RGCO
70 GF Score
Price $21.87
GF Value $24.89
Valuation Modestly Undervalued
! 4 Warning Signs
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What is RGC Resources ROA %?

RGC Resources RGCO +0.80% 70 ROA % is 0.66% as of Jun. 2026, which is 82% below its 10-year median of 3.69. GuruFocus rates RGCO with a GF Score™ of 70/100 and a GF Value™ of $24.89 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 510 Utilities - Regulated companies, RGC Resources ranks better than 63.73% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. RGC Resources's annualized Net Income for the quarter that ended in Jun. 2026 was $2.2 Mil. RGC Resources's average Total Assets over the quarter that ended in Jun. 2026 was $338.4 Mil. Therefore, RGC Resources's annualized ROA % for the quarter that ended in Jun. 2026 was 0.66%.

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

RGCO' s ROA % Range Over the Past 10 Years
Min: -10.57   Med: 3.69   Max: 4.18
Current: 4.18

During the past 13 years, RGC Resources's highest ROA % was 4.18%. The lowest was -10.57%. And the median was 3.69%.

RGCO's ROA % is ranked better than
63.73% of 510 companies
in the Utilities - Regulated industry
Industry Median: 3.055 vs RGCO: 4.18

RGC Resources  (NAS:RGCO) 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: Jun. 2026 )
=Net Income/Total Assets
=2.236/338.382
=(Net Income / Revenue)*(Revenue / Total Assets)
=(2.236 / 68.42)*(68.42 / 338.382)
=Net Margin %*Asset Turnover
=3.27 %*0.2022
=0.66 %

Note: The Net Income data used here is four times the quarterly (Jun. 2026) net income data. The Revenue data used here is four times the quarterly (Jun. 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.


RGC Resources ROA % Related Terms


RGC Resources ROA % Historical Data

* Premium members only.

The historical data trend for RGC Resources'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.

RGC Resources ROA % Chart

RGC Resources Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.41 -10.57 3.80 3.77 4.08

RGC Resources Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 0.66 -0.25 5.82 10.32 0.66

RGCO vs OPAL, ATO, NI: ROA % Comparison

For the Utilities - Regulated Gas subindustry, RGC Resources'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.


RGC Resources ROA % vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, RGC Resources's ROA % distribution charts can be found below:

* The bar in red indicates where RGC Resources's ROA % falls into.


RGCO
70GF Score
RGC Resources Inc RGCO
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
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RGC Resources ROA % Calculation

RGC Resources's annualized ROA % for the fiscal year that ended in Sep. 2025 is calculated as:

ROA %=Net Income (A: Sep. 2025 )/( (Total Assets (A: Sep. 2024 )+Total Assets (A: Sep. 2025 ))/ count )
=13.28/( (320.699+329.84)/ 2 )
=13.28/325.2695
=4.08 %

RGC Resources's annualized ROA % for the quarter that ended in Jun. 2026 is calculated as:

ROA %=Net Income (Q: Jun. 2026 )/( (Total Assets (Q: Mar. 2026 )+Total Assets (Q: Jun. 2026 ))/ count )
=2.236/( (337.105+339.659)/ 2 )
=2.236/338.382
=0.66 %

* 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 (Jun. 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 0.66% mean?
RGC Resources (RGCO) has a ROA % of 0.66% as of Jun. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on RGC Resources and its competitors. This is 82% below median its historical median of 3.69. According to the industry distribution chart, RGC Resources ranks #185 out of 510 companies in the Utilities - Regulated industry, placing it in the top 36.3%.
Is RGC Resources' ROA % too high?
RGC Resources' current ROA % of 0.66% is 82% below median its 10-year median of 3.69. The Utilities - Regulated industry median ROA % is 3.06. RGC Resources' value of 0.66% is 78.4% below this industry median. Based on the distribution chart, RGC Resources ranks #185 out of 510 companies in the Utilities - Regulated industry, which is above the industry midpoint. Overall, RGC Resources has a GF Score™ of 70/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does RGC Resources' ROA % compare to OPAL and ATO?
According to the Utilities - Regulated industry distribution chart, RGC Resources ranks #185 out of 510 companies for ROA %. This puts RGC Resources in the upper half of its industry. The industry median ROA % is 3.06. RGC Resources' value of 0.66% is 78.4% below this benchmark. While the company's 10-year median is 3.69 vs. the industry median of 3.06, RGC Resources 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 Utilities - Regulated company?
The median ROA % among Utilities - Regulated companies is 3.06, 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. RGC Resources's current ROA % of 0.66% is 78.4% 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 RGC Resources and its competitors. For the Utilities - Regulated industry, the median ROA % is 3.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RGC Resources's current ROA % is 0.66%, which is 82% below median its own 10-year median of 3.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RGC Resources stock overvalued right now?
Based on GuruFocus' analysis, RGC Resources (RGCO) is currently considered Modestly Undervalued. The stock's GF Value™ is $24.89, compared to a current price of $21.87 — trading 12.1% below its estimated fair value. The current ROA % is 0.66%, which is 82% below median its 10-year median of 3.69 and 78.4% below the Utilities - Regulated industry median of 3.06. RGC Resources' overall GF Score™ is 70/100 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 RGC Resources (RGCO), the current ROA % is 0.66% as of Jun. 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 RGC Resources (RGCO) Overvalued in 2026?

Based on GuruFocus' analysis, RGC Resources stock appears to be undervalued. The current stock price of $21.87 is trading 12.1% below its estimated GF Value™ of $24.89. GuruFocus considers RGC Resources to be Modestly Undervalued.

Key valuation signals for RGCO:

  • ROA %: 0.66% (82% below median its 10-year median of 3.69)
  • GF Value™: $24.89 vs. price of $21.87 (12.1% below fair value)
  • GF Score™: 70/100 with 4 warning signs
  • Industry Position: 78.4% below the Utilities - Regulated median (#185 of 510)

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


RGC Resources Business Description

Address 519 Kimball Avenue North East, Roanoke, VA, USA, 24016
RGC Resources Inc is involved in the business of distribution and sale of natural gas to residential, commercial, and industrial customers within its service territory in Roanoke, Virginia, and its surrounding localities. The company also provides certain non-regulated services. The company relies on multiple interstate pipelines to transport natural gas. The company operates in three segments: Gas Utility, which is the key revenue generator; Investment in Affiliates this segment reflects the income generated through the activities of the Company's investment in MVP and Southgate projects and Parent & Other including the unregulated activities of the Company as well as certain corporate eliminations.
70GF Score

Get the complete analysis for RGCO

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

$21.87
Price
$24.89
GF Value