ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Sol-Gel Technologies's annualizedNet Income for the quarter that ended in Mar. 2026 was $-14.91 Mil.
Sol-Gel Technologies's average Total Assets over the quarter that ended in Mar. 2026 was $44.23 Mil. Therefore, Sol-Gel Technologies's annualized ROA % for the quarter that ended in Mar. 2026 was -33.70%.
The historical rank and industry rank for Sol-Gel Technologies's ROA % or its related term are showing as below:
SLGL'
s ROA % Range Over the Past 10 Years
Min: -240.06 Med: -43.11 Max: 5.02
Current: -2.76
During the past 11 years, Sol-Gel Technologies's highest ROA % was 5.02%. The lowest was -240.06%. And the median was -43.11%.
SLGL's ROA % is ranked better than 77.64% of 1422
companies
in the Biotechnology industry
Industry Median: -32.87
vs SLGL: -2.76
Sol-Gel Technologies (NAS:SLGL) 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 Biotechnology subindustry, Sol-Gel Technologies'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.
Sol-Gel Technologies ROA % vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Sol-Gel Technologies's ROA % distribution charts can be found below:
* The bar in red indicates where Sol-Gel Technologies'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.
Sol-Gel Technologies (SLGL) has a ROA % of -33.70% 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 Sol-Gel Technologies and its competitors. According to the industry distribution chart, Sol-Gel Technologies ranks #318 out of 1422 companies in the Biotechnology industry, placing it in the top 22.4%.
Is Sol-Gel Technologies' ROA % too high?
Sol-Gel Technologies' current ROA % is -33.70%. Based on the distribution chart, Sol-Gel Technologies ranks #318 out of 1422 companies in the Biotechnology industry, which is in the top quartile — a strong position relative to peers. Overall, Sol-Gel Technologies has a GF Score™ of 56/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sol-Gel Technologies' ROA % compare to ALEC and LENZ?
According to the Biotechnology industry distribution chart, Sol-Gel Technologies ranks #318 out of 1422 companies for ROA %. This places Sol-Gel Technologies in the top 22% of its industry — outperforming the majority of peers. 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 Biotechnology company?
A good ROA % depends on the Biotechnology industry context. 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 Sol-Gel Technologies and its competitors. Sol-Gel Technologies's current ROA % is -33.70%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sol-Gel Technologies stock overvalued right now?
Based on GuruFocus' analysis, Sol-Gel Technologies (SLGL) is currently considered Modestly Overvalued. The stock's GF Value™ is $65.37, compared to a current price of $73.50 — trading 12.4% above its estimated fair value. The current ROA % is -33.70%. Sol-Gel Technologies' overall GF Score™ is 56/100 with 2 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 Sol-Gel Technologies (SLGL), the current ROA % is -33.70% 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 Sol-Gel Technologies (SLGL) Overvalued in 2026?
Based on GuruFocus' analysis, Sol-Gel Technologies stock appears to be overvalued.
The current stock price of $73.50 is trading 12.4% above its estimated GF Value™ of $65.37.
GuruFocus considers Sol-Gel Technologies to be Modestly Overvalued.
Key valuation signals for SLGL:
ROA %: -33.70%
GF Value™: $65.37 vs. price of $73.50 (12.4% above fair value)
No single metric tells the full story. See the SLGL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sol-Gel Technologies Ltd is a dermatology company. It is engaged in identifying, developing and commercializing branded and generic topical drug products for the treatment of skin diseases. The company's product candidate pipeline includes SGT-610 (Patidegib Gel 2%), a new chemical entity hedgehog signaling pathway blocker, for the chronic use and prevention of new BCC in Gorlin syndrome patients, and the topical drug candidate SGT-210 for the treatment of Darier Disease and other rare keratosis-related indications such as PC, PPK and Olmsted. It generates the majority of its revenue from the United States.
56GF Score
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