ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Sixth Street Specialty Lending's annualizedNet Income for the quarter that ended in Mar. 2026 was $-104.1 Mil.
Sixth Street Specialty Lending's average Total Assets over the quarter that ended in Mar. 2026 was $3,407.4 Mil. Therefore, Sixth Street Specialty Lending's annualized ROA % for the quarter that ended in Mar. 2026 was -3.06%.
The historical rank and industry rank for Sixth Street Specialty Lending's ROA % or its related term are showing as below:
TSLX'
s ROA % Range Over the Past 10 Years
Min: 3.12 Med: 7.04 Max: 8.66
Current: 3.12
During the past 13 years, Sixth Street Specialty Lending's highest ROA % was 8.66%. The lowest was 3.12%. And the median was 7.04%.
TSLX's ROA % is ranked worse than 54.67% of 1639
companies
in the Asset Management industry
Industry Median: 3.95
vs TSLX: 3.12
Sixth Street Specialty Lending (NYSE:TSLX) 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.
Sixth Street Specialty Lending ROA % Related Terms
Sixth Street Specialty Lending ROA % Historical 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.
For the Asset Management subindustry, Sixth Street Specialty Lending'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.
Sixth Street Specialty Lending ROA % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Sixth Street Specialty Lending's ROA % distribution charts can be found below:
* The bar in red indicates where Sixth Street Specialty Lending'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.
Sixth Street Specialty Lending (TSLX) has a ROA % of -3.06% 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 Sixth Street Specialty Lending and its competitors. Over the past decade, Sixth Street Specialty Lending's ROA % has ranged from 3.12 to 8.66. According to the industry distribution chart, Sixth Street Specialty Lending ranks #896 out of 1639 companies in the Asset Management industry, placing it in the top 54.7%.
Is Sixth Street Specialty Lending's ROA % too high?
Sixth Street Specialty Lending's current ROA % is -3.06%. Over the past 10 years, this metric has ranged from a low of 3.12 to a high of 8.66. Based on the distribution chart, Sixth Street Specialty Lending ranks #896 out of 1639 companies in the Asset Management industry, which is below the industry midpoint. Overall, Sixth Street Specialty Lending has a GF Score™ of 53/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sixth Street Specialty Lending's ROA % compare to BDJ and BCAT?
According to the Asset Management industry distribution chart, Sixth Street Specialty Lending ranks #896 out of 1639 companies for ROA %. This places Sixth Street Specialty Lending in the lower half of its industry. The industry median ROA % is 3.95. Historically, Sixth Street Specialty Lending's own ROA % has ranged from 3.12 to 8.66 over the past decade. 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 Asset Management company?
The median ROA % among Asset Management companies is 3.95, based on 1,639 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. 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 Sixth Street Specialty Lending and its competitors. For the Asset Management industry, the median ROA % is 3.95 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sixth Street Specialty Lending's current ROA % is -3.06%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sixth Street Specialty Lending stock overvalued right now?
Based on GuruFocus' analysis, Sixth Street Specialty Lending (TSLX) is currently considered Modestly Overvalued. The stock's GF Value™ is $12.56, compared to a current price of $16.20 — trading 29% above its estimated fair value. The current ROA % is -3.06%. Sixth Street Specialty Lending's overall GF Score™ is 53/100 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 Sixth Street Specialty Lending (TSLX), the current ROA % is -3.06% 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 Sixth Street Specialty Lending (TSLX) Overvalued in 2026?
Based on GuruFocus' analysis, Sixth Street Specialty Lending stock appears to be overvalued.
The current stock price of $16.20 is trading 29% above its estimated GF Value™ of $12.56.
GuruFocus considers Sixth Street Specialty Lending to be Modestly Overvalued.
Key valuation signals for TSLX:
ROA %: -3.06%
GF Value™: $12.56 vs. price of $16.20 (29% above fair value)
No single metric tells the full story. See the TSLX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sixth Street Specialty Lending Business Description
Sixth Street Specialty Lending Inc is a specialty finance company focused on providing flexible, fully committed financing solutions to middle market companies located in the United States of America. The company partners with other companies across a variety of industries and provides creative solutions with complex business models that may have limited access to capital. The company seeks to generate current income in U.S.-domiciled middle-market companies through direct originations of senior secured loans and, to a lesser extent, originations of mezzanine and unsecured loans and investments in corporate bonds and equity securities.
53GF Score
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