Sonic AutomotiveSAH +2.69%82 ROA % is 4.02% as of Mar. 2026, which is 58% above its 10-year median of 2.54. GuruFocus rates SAH with a GF Score™ of 82/100 and a GF Value™ of $64.31 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 1,336 Vehicles & Parts companies, Sonic Automotive ranks worse than 60.55% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Sonic Automotive's annualizedNet Income for the quarter that ended in Mar. 2026 was $243 Mil.
Sonic Automotive's average Total Assets over the quarter that ended in Mar. 2026 was $6,044 Mil. Therefore, Sonic Automotive's annualized ROA % for the quarter that ended in Mar. 2026 was 4.02%.
The historical rank and industry rank for Sonic Automotive's ROA % or its related term are showing as below:
SAH'
s ROA % Range Over the Past 10 Years
Min: -1.32 Med: 2.54 Max: 8
Current: 1.82
During the past 13 years, Sonic Automotive's highest ROA % was 8.00%. The lowest was -1.32%. And the median was 2.54%.
SAH's ROA % is ranked worse than 60.55% of 1336
companies
in the Vehicles & Parts industry
Industry Median: 2.95
vs SAH: 1.82
Sonic Automotive (NYSE:SAH) 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.
Sonic Automotive ROA % Related Terms
Sonic Automotive ROA % Historical Data
* Premium members only.
The historical data trend for Sonic Automotive'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, Sonic Automotive'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.
Sonic Automotive ROA % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Sonic Automotive's ROA % distribution charts can be found below:
* The bar in red indicates where Sonic Automotive'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.
Sonic Automotive (SAH) has a ROA % of 4.02% 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 Sonic Automotive and its competitors. This is 58% above median its historical median of 2.54. According to the industry distribution chart, Sonic Automotive ranks #809 out of 1336 companies in the Vehicles & Parts industry, placing it in the top 60.6%.
Is Sonic Automotive's ROA % too high?
Sonic Automotive's current ROA % of 4.02% is 58% above median its 10-year median of 2.54. The Vehicles & Parts industry median ROA % is 2.95. Sonic Automotive's value of 4.02% is 36.3% above this industry median. Based on the distribution chart, Sonic Automotive ranks #809 out of 1336 companies in the Vehicles & Parts industry, which is below the industry midpoint. Overall, Sonic Automotive has a GF Score™ of 82/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sonic Automotive's ROA % compare to CARG and MCW?
According to the Vehicles & Parts industry distribution chart, Sonic Automotive ranks #809 out of 1336 companies for ROA %. This places Sonic Automotive in the lower half of its industry. The industry median ROA % is 2.95. Sonic Automotive's value of 4.02% is 36.3% above this benchmark. While the company's 10-year median is 2.54 vs. the industry median of 2.95, Sonic Automotive 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. Sonic Automotive's current ROA % of 4.02% is 36.3% 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 Sonic Automotive 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. Sonic Automotive's current ROA % is 4.02%, which is 58% above median its own 10-year median of 2.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sonic Automotive stock overvalued right now?
Based on GuruFocus' analysis, Sonic Automotive (SAH) is currently considered Modestly Overvalued. The stock's GF Value™ is $64.31, compared to a current price of $83.62 — trading 30% above its estimated fair value. The current ROA % is 4.02%, which is 58% above median its 10-year median of 2.54 and 36.3% above the Vehicles & Parts industry median of 2.95. Sonic Automotive's overall GF Score™ is 82/100 with 5 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 Sonic Automotive (SAH), the current ROA % is 4.02% 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 Sonic Automotive (SAH) Overvalued in 2026?
Based on GuruFocus' analysis, Sonic Automotive stock appears to be overvalued.
The current stock price of $83.62 is trading 30% above its estimated GF Value™ of $64.31.
GuruFocus considers Sonic Automotive to be Modestly Overvalued.
Key valuation signals for SAH:
ROA %: 4.02% (58% above median its 10-year median of 2.54)
GF Value™: $64.31 vs. price of $83.62 (30% above fair value)
Industry Position: 36.3% above the Vehicles & Parts median (#809 of 1336)
No single metric tells the full story. See the SAH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sonic Automotive is one of the largest auto dealership groups in the United States. The company has 107 franchised stores in 18 states, primarily in metropolitan areas in California, Texas, and the Southeast, plus 18 EchoPark used-vehicle stores in 10 states, 16 collision centers, and 20 powersports locations. The franchise stores derive revenue from new and used vehicles plus parts and collision repair, finance, insurance, and wholesale auctions. Luxury and import dealerships make up about 86% of franchise new-vehicle revenue, while Honda, BMW, Mercedes, and Toyota constitute about 56% of new-vehicle revenue. BMW is the largest brand at about 23%. 2025 revenue was $15.2 billion, with Texas and California constituting 51% of the total. EchoPark's portion was $2.1 billion.
82GF Score
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