Toromont IndustriesTMTNF +8.13%89 ROA % is 6.81% as of Mar. 2026, which is 29% below its 10-year median of 9.61. GuruFocus rates TMTNF with a GF Score™ of 89/100 and a GF Value™ of $101.47 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 157 Industrial Distribution companies, Toromont Industries ranks better than 89.81% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Toromont Industries's annualizedNet Income for the quarter that ended in Mar. 2026 was $270 Mil.
Toromont Industries's average Total Assets over the quarter that ended in Mar. 2026 was $3,967 Mil. Therefore, Toromont Industries's annualized ROA % for the quarter that ended in Mar. 2026 was 6.81%.
The historical rank and industry rank for Toromont Industries's ROA % or its related term are showing as below:
TMTNF'
s ROA % Range Over the Past 10 Years
Min: 7.59 Med: 9.61 Max: 12.22
Current: 9.71
During the past 13 years, Toromont Industries's highest ROA % was 12.22%. The lowest was 7.59%. And the median was 9.61%.
TMTNF's ROA % is ranked better than 89.81% of 157
companies
in the Industrial Distribution industry
Industry Median: 3.76
vs TMTNF: 9.71
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.
Toromont Industries ROA % Related Terms
Toromont Industries ROA % Historical Data
* Premium members only.
The historical data trend for Toromont Industries'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 Industrial Distribution subindustry, Toromont Industries'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.
Toromont Industries ROA % vs Industrial Distribution Industry
For the Industrial Distribution industry and Industrials sector, Toromont Industries's ROA % distribution charts can be found below:
* The bar in red indicates where Toromont Industries'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.
Toromont Industries (TMTNF) has a ROA % of 6.81% 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 Toromont Industries and its competitors. This is 29% below median its historical median of 9.61. Over the past decade, Toromont Industries' ROA % has ranged from 7.59 to 12.22. According to the industry distribution chart, Toromont Industries ranks #16 out of 157 companies in the Industrial Distribution industry, placing it in the top 10.2%.
Is Toromont Industries' ROA % too high?
Toromont Industries' current ROA % of 6.81% is 29% below median its 10-year median of 9.61. Over the past 10 years, this metric has ranged from a low of 7.59 to a high of 12.22. The Industrial Distribution industry median ROA % is 3.76. Toromont Industries' value of 6.81% is 81.1% above this industry median. Based on the distribution chart, Toromont Industries ranks #16 out of 157 companies in the Industrial Distribution industry, which is in the top quartile — a strong position relative to peers. Overall, Toromont Industries has a GF Score™ of 89/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Toromont Industries' ROA % compare to GWW and FAST?
According to the Industrial Distribution industry distribution chart, Toromont Industries ranks #16 out of 157 companies for ROA %. This places Toromont Industries in the top 10% of its industry — outperforming the majority of peers. The industry median ROA % is 3.76. Toromont Industries' value of 6.81% is 81.1% above this benchmark. Historically, Toromont Industries' own ROA % has ranged from 7.59 to 12.22 over the past decade. While the company's 10-year median is 9.61 vs. the industry median of 3.76, Toromont Industries 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 an Industrial Distribution company?
The median ROA % among Industrial Distribution companies is 3.76, based on 157 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. Toromont Industries's current ROA % of 6.81% is 81.1% 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 Toromont Industries and its competitors. For the Industrial Distribution industry, the median ROA % is 3.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Toromont Industries's current ROA % is 6.81%, which is 29% below median its own 10-year median of 9.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Toromont Industries stock overvalued right now?
Based on GuruFocus' analysis, Toromont Industries (TMTNF) is currently considered Significantly Overvalued. The stock's GF Value™ is $101.47, compared to a current price of $169.25 — trading 66.8% above its estimated fair value. The current ROA % is 6.81%, which is 29% below median its 10-year median of 9.61 and 81.1% above the Industrial Distribution industry median of 3.76. Toromont Industries' overall GF Score™ is 89/100 with 6 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 Toromont Industries (TMTNF), the current ROA % is 6.81% 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 Toromont Industries (TMTNF) Overvalued in 2026?
Based on GuruFocus' analysis, Toromont Industries stock appears to be overvalued.
The current stock price of $169.25 is trading 66.8% above its estimated GF Value™ of $101.47.
GuruFocus considers Toromont Industries to be Significantly Overvalued.
Key valuation signals for TMTNF:
ROA %: 6.81% (29% below median its 10-year median of 9.61)
GF Value™: $101.47 vs. price of $169.25 (66.8% above fair value)
Industry Position: 81.1% above the Industrial Distribution median (#16 of 157)
No single metric tells the full story. See the TMTNF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Toromont Industries Ltd is a Canadian industrial company. The company operates two business segments: Equipment Group and CIMCO. The larger segment by revenue, Equipment Group supplies and rents mobile and stationary machines used in road building, mining, aggregates, public infrastructure, residential construction, power generation, agriculture, forestry, truck engines, industrial, demolition, and waste management. CIMCO offers solutions for the design, engineering, fabrication, and installation of industrial and recreational refrigeration systems. The company operates majorly in Canada and derives a smaller portion of sales from the United States of America and other regions.
89GF Score
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