Finning InternationalTSX:FTT -0.32%80 ROA % is 6.00% as of Mar. 2026, which is 12% above its 10-year median of 5.35. GuruFocus rates TSX:FTT with a GF Score™ of 80/100 and a GF Value™ of C$48.88 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 156 Industrial Distribution companies, Finning International ranks better than 88.46% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Finning International's annualizedNet Income for the quarter that ended in Mar. 2026 was C$484 Mil.
Finning International's average Total Assets over the quarter that ended in Mar. 2026 was C$8,070 Mil. Therefore, Finning International's annualized ROA % for the quarter that ended in Mar. 2026 was 6.00%.
The historical rank and industry rank for Finning International's ROA % or its related term are showing as below:
TSX:FTT'
s ROA % Range Over the Past 10 Years
Min: 1.3 Med: 5.35 Max: 8.47
Current: 8.42
During the past 13 years, Finning International's highest ROA % was 8.47%. The lowest was 1.30%. And the median was 5.35%.
TSX:FTT's ROA % is ranked better than 88.46% of 156
companies
in the Industrial Distribution industry
Industry Median: 3.74
vs TSX:FTT: 8.42
Finning International (TSX:FTT) 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 Industrial Distribution subindustry, Finning International'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.
Finning International ROA % vs Industrial Distribution Industry
For the Industrial Distribution industry and Industrials sector, Finning International's ROA % distribution charts can be found below:
* The bar in red indicates where Finning International'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.
Finning International (TSX:FTT) has a ROA % of 6.00% 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 Finning International and its competitors. This is 12% above median its historical median of 5.35. Over the past decade, Finning International's ROA % has ranged from 1.30 to 8.47. According to the industry distribution chart, Finning International ranks #18 out of 156 companies in the Industrial Distribution industry, placing it in the top 11.5%.
Is Finning International's ROA % too high?
Finning International's current ROA % of 6.00% is 12% above median its 10-year median of 5.35. Over the past 10 years, this metric has ranged from a low of 1.30 to a high of 8.47. The Industrial Distribution industry median ROA % is 3.74. Finning International's value of 6.00% is 60.4% above this industry median. Based on the distribution chart, Finning International ranks #18 out of 156 companies in the Industrial Distribution industry, which is in the top quartile — a strong position relative to peers. Overall, Finning International has a GF Score™ of 80/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Finning International's ROA % compare to GWW and FAST?
According to the Industrial Distribution industry distribution chart, Finning International ranks #18 out of 156 companies for ROA %. This places Finning International in the top 12% of its industry — outperforming the majority of peers. The industry median ROA % is 3.74. Finning International's value of 6.00% is 60.4% above this benchmark. Historically, Finning International's own ROA % has ranged from 1.30 to 8.47 over the past decade. While the company's 10-year median is 5.35 vs. the industry median of 3.74, Finning International 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 3.74, based on 156 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. Finning International's current ROA % of 6.00% is 60.4% 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 Finning International and its competitors. For the Industrial Distribution industry, the median ROA % is 3.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Finning International's current ROA % is 6.00%, which is 12% above median its own 10-year median of 5.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Finning International stock overvalued right now?
Based on GuruFocus' analysis, Finning International (TSX:FTT) is currently considered Significantly Overvalued. The stock's GF Value™ is C$48.88, compared to a current price of C$96.13 — trading 96.7% above its estimated fair value. The current ROA % is 6.00%, which is 12% above median its 10-year median of 5.35 and 60.4% above the Industrial Distribution industry median of 3.74. Finning International's overall GF Score™ is 80/100 with 7 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 Finning International (TSX:FTT), the current ROA % is 6.00% 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 Finning International (TSX:FTT) Overvalued in 2026?
Based on GuruFocus' analysis, Finning International stock appears to be overvalued.
The current stock price of C$96.13 is trading 96.7% above its estimated GF Value™ of C$48.88.
GuruFocus considers Finning International to be Significantly Overvalued.
Key valuation signals for TSX:FTT:
ROA %: 6.00% (12% above median its 10-year median of 5.35)
GF Value™: C$48.88 vs. price of C$96.13 (96.7% above fair value)
Industry Position: 60.4% above the Industrial Distribution median (#18 of 156)
No single metric tells the full story. See the TSX:FTT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Finning International Inc is a dealer and distributor of heavy-duty machinery and parts of the Caterpillar brand. The company sells and rents Caterpillar machinery to the mining, construction, petroleum, forestry, and power system application industries. Finning International further provides parts and services for equipment and engines to its customers via its owned distribution network and buys and sells used equipment domestically and internationally after reconditioning or rebuilding the machinery. The company operates in Canada, Chile, UK, Argentina and Others.
80GF Score
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