Tess Holdings CoTSE:5074 -9.87%49 ROA % is 3.30% as of Dec. 2025, which is 51% above its 10-year median of 2.19. GuruFocus rates TSE:5074 with a GF Score™ of 49/100 and a GF Value™ of 円618.36 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 449 Utilities - Independent Power Producers companies, Tess Holdings Co ranks worse than 57.24% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Tess Holdings Co's annualizedNet Income for the quarter that ended in Dec. 2025 was 円5,172 Mil.
Tess Holdings Co's average Total Assets over the quarter that ended in Dec. 2025 was 円156,519 Mil. Therefore, Tess Holdings Co's annualized ROA % for the quarter that ended in Dec. 2025 was 3.30%.
The historical rank and industry rank for Tess Holdings Co's ROA % or its related term are showing as below:
TSE:5074'
s ROA % Range Over the Past 10 Years
Min: 0.06 Med: 2.19 Max: 3.81
Current: 0.55
During the past 7 years, Tess Holdings Co's highest ROA % was 3.81%. The lowest was 0.06%. And the median was 2.19%.
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 (Dec. 2025) net income data. The Revenue data used here is four times the quarterly (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.
Tess Holdings Co ROA % Related Terms
Tess Holdings Co ROA % Historical Data
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The historical data trend for Tess Holdings Co'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 Utilities - Renewable subindustry, Tess Holdings Co'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.
Tess Holdings Co ROA % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Tess Holdings Co's ROA % distribution charts can be found below:
* The bar in red indicates where Tess Holdings Co'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 (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Tess Holdings Co (TSE:5074) has a ROA % of 3.30% 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 Tess Holdings Co and its competitors. This is 51% above median its historical median of 2.19. Over the past decade, Tess Holdings Co's ROA % has ranged from 0.06 to 3.81. According to the industry distribution chart, Tess Holdings Co ranks #257 out of 449 companies in the Utilities - Independent Power Producers industry, placing it in the top 57.2%.
Is Tess Holdings Co's ROA % too high?
Tess Holdings Co's current ROA % of 3.30% is 51% above median its 10-year median of 2.19. Over the past 10 years, this metric has ranged from a low of 0.06 to a high of 3.81. The Utilities - Independent Power Producers industry median ROA % is 1.20. Tess Holdings Co's value of 3.30% is 175% above this industry median. Based on the distribution chart, Tess Holdings Co ranks #257 out of 449 companies in the Utilities - Independent Power Producers industry, which is below the industry midpoint. Overall, Tess Holdings Co has a GF Score™ of 49/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tess Holdings Co's ROA % compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Tess Holdings Co ranks #257 out of 449 companies for ROA %. This places Tess Holdings Co in the lower half of its industry. The industry median ROA % is 1.20. Tess Holdings Co's value of 3.30% is 175% above this benchmark. Historically, Tess Holdings Co's own ROA % has ranged from 0.06 to 3.81 over the past decade. While the company's 10-year median is 2.19 vs. the industry median of 1.20, Tess Holdings Co 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 Utilities - Independent Power Producers company?
The median ROA % among Utilities - Independent Power Producers companies is 1.20, based on 449 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. Tess Holdings Co's current ROA % of 3.30% is 175% 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 Tess Holdings Co and its competitors. For the Utilities - Independent Power Producers industry, the median ROA % is 1.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tess Holdings Co's current ROA % is 3.30%, which is 51% above median its own 10-year median of 2.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tess Holdings Co stock overvalued right now?
Based on GuruFocus' analysis, Tess Holdings Co (TSE:5074) is currently considered Significantly Overvalued. The stock's GF Value™ is 円618.36, compared to a current price of 円1,087.00 — trading 75.8% above its estimated fair value. The current ROA % is 3.30%, which is 51% above median its 10-year median of 2.19 and 175% above the Utilities - Independent Power Producers industry median of 1.20. Tess Holdings Co's overall GF Score™ is 49/100 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 Tess Holdings Co (TSE:5074), the current ROA % is 3.30% 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 Tess Holdings Co (TSE:5074) Overvalued in 2026?
Based on GuruFocus' analysis, Tess Holdings Co stock appears to be overvalued.
The current stock price of 円1,087.00 is trading 75.8% above its estimated GF Value™ of 円618.36.
GuruFocus considers Tess Holdings Co to be Significantly Overvalued.
Key valuation signals for TSE:5074:
ROA %: 3.30% (51% above median its 10-year median of 2.19)
GF Value™: 円618.36 vs. price of 円1,087.00 (75.8% above fair value)
Industry Position: 175% above the Utilities - Independent Power Producers median (#257 of 449)
No single metric tells the full story. See the TSE:5074 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tess Holdings Co Ltd is engaged in the development and electricity sales of renewable power plants and power retailing business. Further, it is also involved in the operation and maintenance of cogeneration and other environmental energy-saving systems.
49GF Score
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