Liberty All Star Equity FundUSA +1.24%42 ROA % is 4.61% as of Dec. 2025, which is 70% below its 10-year median of 15.53. GuruFocus rates USA with a GF Score™ of 42/100 and a GF Value™ of $3.62 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 1,639 Asset Management companies, Liberty All Star Equity Fund ranks better than 67.42% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Liberty All Star Equity Fund's annualizedNet Income for the quarter that ended in Dec. 2025 was $99.6 Mil.
Liberty All Star Equity Fund's average Total Assets over the quarter that ended in Dec. 2025 was $2,160.2 Mil. Therefore, Liberty All Star Equity Fund's annualized ROA % for the quarter that ended in Dec. 2025 was 4.61%.
The historical rank and industry rank for Liberty All Star Equity Fund's ROA % or its related term are showing as below:
USA'
s ROA % Range Over the Past 10 Years
Min: -22.23 Med: 15.53 Max: 25.45
Current: 7.91
During the past 9 years, Liberty All Star Equity Fund's highest ROA % was 25.45%. The lowest was -22.23%. And the median was 15.53%.
USA's ROA % is ranked better than 67.42% of 1639
companies
in the Asset Management industry
Industry Median: 3.95
vs USA: 7.91
Liberty All Star Equity Fund (NYSE:USA) 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.
Liberty All Star Equity Fund ROA % Related Terms
Liberty All Star Equity Fund 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, Liberty All Star Equity Fund'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.
Liberty All Star Equity Fund ROA % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Liberty All Star Equity Fund's ROA % distribution charts can be found below:
* The bar in red indicates where Liberty All Star Equity Fund'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.
Liberty All Star Equity Fund (USA) has a ROA % of 4.61% 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 Liberty All Star Equity Fund and its competitors. This is 70% below median its historical median of 15.53. According to the industry distribution chart, Liberty All Star Equity Fund ranks #534 out of 1639 companies in the Asset Management industry, placing it in the top 32.6%.
Is Liberty All Star Equity Fund's ROA % too high?
Liberty All Star Equity Fund's current ROA % of 4.61% is 70% below median its 10-year median of 15.53. The Asset Management industry median ROA % is 3.95. Liberty All Star Equity Fund's value of 4.61% is 16.7% above this industry median. Based on the distribution chart, Liberty All Star Equity Fund ranks #534 out of 1639 companies in the Asset Management industry, which is above the industry midpoint. Overall, Liberty All Star Equity Fund has a GF Score™ of 42/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Liberty All Star Equity Fund's ROA % compare to GAB and ETG?
According to the Asset Management industry distribution chart, Liberty All Star Equity Fund ranks #534 out of 1639 companies for ROA %. This puts Liberty All Star Equity Fund in the upper half of its industry. The industry median ROA % is 3.95. Liberty All Star Equity Fund's value of 4.61% is 16.7% above this benchmark. While the company's 10-year median is 15.53 vs. the industry median of 3.95, Liberty All Star Equity Fund 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 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. Liberty All Star Equity Fund's current ROA % of 4.61% is 16.7% 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 Liberty All Star Equity Fund 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. Liberty All Star Equity Fund's current ROA % is 4.61%, which is 70% below median its own 10-year median of 15.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Liberty All Star Equity Fund stock overvalued right now?
Based on GuruFocus' analysis, Liberty All Star Equity Fund (USA) is currently considered Significantly Overvalued. The stock's GF Value™ is $3.62, compared to a current price of $5.72 — trading 58% above its estimated fair value. The current ROA % is 4.61%, which is 70% below median its 10-year median of 15.53 and 16.7% above the Asset Management industry median of 3.95. Liberty All Star Equity Fund's overall GF Score™ is 42/100 with 4 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 Liberty All Star Equity Fund (USA), the current ROA % is 4.61% 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 Liberty All Star Equity Fund (USA) Overvalued in 2026?
Based on GuruFocus' analysis, Liberty All Star Equity Fund stock appears to be overvalued.
The current stock price of $5.72 is trading 58% above its estimated GF Value™ of $3.62.
GuruFocus considers Liberty All Star Equity Fund to be Significantly Overvalued.
Key valuation signals for USA:
ROA %: 4.61% (70% below median its 10-year median of 15.53)
GF Value™: $3.62 vs. price of $5.72 (58% above fair value)
Industry Position: 16.7% above the Asset Management median (#534 of 1639)
No single metric tells the full story. See the USA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Liberty All Star Equity Fund is a diversified, closed-end management investment company. Its objective is to provide a high level of current income and long-term capital appreciation through investing principally in a diversified portfolio of equity securities. The fund invests in various sectors, including financials, information technology, healthcare, consumer discretionary, consumer staples, industrials, energy, materials, real estate, utilities, telecommunication, and other services.
42GF Score
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