Kumba Iron OreSTU:KUI -1.28%76 ROA % is 15.16% as of Dec. 2025, which is 22% below its 10-year median of 19.40. GuruFocus rates STU:KUI with a GF Score™ of 76/100 and a GF Value™ of €18.40 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 638 Steel companies, Kumba Iron Ore ranks better than 96.24% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Kumba Iron Ore's annualizedNet Income for the quarter that ended in Dec. 2025 was €761 Mil.
Kumba Iron Ore's average Total Assets over the quarter that ended in Dec. 2025 was €5,018 Mil. Therefore, Kumba Iron Ore's annualized ROA % for the quarter that ended in Dec. 2025 was 15.16%.
The historical rank and industry rank for Kumba Iron Ore's ROA % or its related term are showing as below:
STU:KUI'
s ROA % Range Over the Past 10 Years
Min: 14.43 Med: 19.4 Max: 40.47
Current: 14.58
During the past 13 years, Kumba Iron Ore's highest ROA % was 40.47%. The lowest was 14.43%. And the median was 19.40%.
STU:KUI's ROA % is ranked better than 96.24% of 638
companies
in the Steel industry
Industry Median: 1.93
vs STU:KUI: 14.58
Kumba Iron Ore (STU:KUI) 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 two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) 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.
Kumba Iron Ore ROA % Related Terms
Kumba Iron Ore ROA % Historical Data
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The historical data trend for Kumba Iron Ore'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 Steel subindustry, Kumba Iron Ore'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.
Kumba Iron Ore ROA % vs Steel Industry
For the Steel industry and Basic Materials sector, Kumba Iron Ore's ROA % distribution charts can be found below:
* The bar in red indicates where Kumba Iron Ore'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 two times the semi-annual (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Kumba Iron Ore (STU:KUI) has a ROA % of 15.16% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Kumba Iron Ore and its competitors. This is 22% below median its historical median of 19.40. Over the past decade, Kumba Iron Ore's ROA % has ranged from 14.43 to 40.47. According to the industry distribution chart, Kumba Iron Ore ranks #24 out of 638 companies in the Steel industry, placing it in the top 3.8%.
Is Kumba Iron Ore's ROA % too high?
Kumba Iron Ore's current ROA % of 15.16% is 22% below median its 10-year median of 19.40. Over the past 10 years, this metric has ranged from a low of 14.43 to a high of 40.47. The Steel industry median ROA % is 1.93. Kumba Iron Ore's value of 15.16% is 685.5% above this industry median. Based on the distribution chart, Kumba Iron Ore ranks #24 out of 638 companies in the Steel industry, which is in the top quartile — a strong position relative to peers. Overall, Kumba Iron Ore has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Kumba Iron Ore's ROA % compare to NUE and STLD?
According to the Steel industry distribution chart, Kumba Iron Ore ranks #24 out of 638 companies for ROA %. This places Kumba Iron Ore in the top 4% of its industry — outperforming the majority of peers. The industry median ROA % is 1.93. Kumba Iron Ore's value of 15.16% is 685.5% above this benchmark. Historically, Kumba Iron Ore's own ROA % has ranged from 14.43 to 40.47 over the past decade. While the company's 10-year median is 19.40 vs. the industry median of 1.93, Kumba Iron Ore 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 Steel company?
The median ROA % among Steel companies is 1.93, based on 638 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. Kumba Iron Ore's current ROA % of 15.16% is 685.5% 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 Kumba Iron Ore and its competitors. For the Steel industry, the median ROA % is 1.93 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kumba Iron Ore's current ROA % is 15.16%, which is 22% below median its own 10-year median of 19.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kumba Iron Ore stock overvalued right now?
Based on GuruFocus' analysis, Kumba Iron Ore (STU:KUI) is currently considered Modestly Undervalued. The stock's GF Value™ is €18.40, compared to a current price of €15.40 — trading 16.3% below its estimated fair value. The current ROA % is 15.16%, which is 22% below median its 10-year median of 19.40 and 685.5% above the Steel industry median of 1.93. Kumba Iron Ore's overall GF Score™ is 76/100 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 Kumba Iron Ore (STU:KUI), the current ROA % is 15.16% as of Dec. 2025. 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 Kumba Iron Ore (STU:KUI) Overvalued in 2026?
Based on GuruFocus' analysis, Kumba Iron Ore stock appears to be undervalued.
The current stock price of €15.40 is trading 16.3% below its estimated GF Value™ of €18.40.
GuruFocus considers Kumba Iron Ore to be Modestly Undervalued.
Key valuation signals for STU:KUI:
ROA %: 15.16% (22% below median its 10-year median of 19.40)
GF Value™: €18.40 vs. price of €15.40 (16.3% below fair value)
Industry Position: 685.5% above the Steel median (#24 of 638)
No single metric tells the full story. See the STU:KUI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kumba Iron Ore Ltd is engaged in the exploration, mining, processing, blending, and sale of iron ore to the steel industry. The company operates in South Africa, with mining operations in the Northern Cape and Limpopo provinces, as well as a head office in Centurion, Gauteng, and a port operation in Saldanha Bay, Western Cape. The company's flagship asset is the Sishen mine, which it holds a majority stake in, located near the town of Kathu in the Northern Cape Province. The Sishen mine is opencast and produces the bulk of the group's iron ore, which is exported. It also holds an interest in the Kolomela mine. The company also generates revenue from Shipping operations. The majority of the company's revenue is generated from its products.
76GF Score
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