Testa Residencial SocimiXMAD:YTST 65 ROA % is 6.38% as of Dec. 2025, which is 359% above its 10-year median of 1.39. GuruFocus rates XMAD:YTST with a GF Score™ of 65/100 and a GF Value™ of €3.67 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 939 REITs companies, Testa Residencial Socimi ranks worse than 55.17% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Testa Residencial Socimi's annualizedNet Income for the quarter that ended in Dec. 2025 was €171.0 Mil.
Testa Residencial Socimi's average Total Assets over the quarter that ended in Dec. 2025 was €2,682.1 Mil. Therefore, Testa Residencial Socimi's annualized ROA % for the quarter that ended in Dec. 2025 was 6.38%.
The historical rank and industry rank for Testa Residencial Socimi's ROA % or its related term are showing as below:
XMAD:YTST'
s ROA % Range Over the Past 10 Years
Min: -3.43 Med: 1.39 Max: 3.57
Current: 2.9
During the past 7 years, Testa Residencial Socimi's highest ROA % was 3.57%. The lowest was -3.43%. And the median was 1.39%.
XMAD:YTST's ROA % is ranked worse than 55.17% of 939
companies
in the REITs industry
Industry Median: 3.2
vs XMAD:YTST: 2.90
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.
* 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 REIT - Diversified subindustry, Testa Residencial Socimi'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.
Testa Residencial Socimi ROA % vs REITs Industry
For the REITs industry and Real Estate sector, Testa Residencial Socimi's ROA % distribution charts can be found below:
* The bar in red indicates where Testa Residencial Socimi'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.
Testa Residencial Socimi (XMAD:YTST) has a ROA % of 6.38% 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 Testa Residencial Socimi and its competitors. This is 359% above median its historical median of 1.39. According to the industry distribution chart, Testa Residencial Socimi ranks #518 out of 939 companies in the REITs industry, placing it in the top 55.2%.
Is Testa Residencial Socimi's ROA % too high?
Testa Residencial Socimi's current ROA % of 6.38% is 359% above median its 10-year median of 1.39. The REITs industry median ROA % is 3.20. Testa Residencial Socimi's value of 6.38% is 99.4% above this industry median. Based on the distribution chart, Testa Residencial Socimi ranks #518 out of 939 companies in the REITs industry, which is below the industry midpoint. Overall, Testa Residencial Socimi has a GF Score™ of 65/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Testa Residencial Socimi's ROA % compare to VICI and WPC?
According to the REITs industry distribution chart, Testa Residencial Socimi ranks #518 out of 939 companies for ROA %. This places Testa Residencial Socimi in the lower half of its industry. The industry median ROA % is 3.20. Testa Residencial Socimi's value of 6.38% is 99.4% above this benchmark. While the company's 10-year median is 1.39 vs. the industry median of 3.20, Testa Residencial Socimi 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 a REITs company?
The median ROA % among REITs companies is 3.20, based on 939 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. Testa Residencial Socimi's current ROA % of 6.38% is 99.4% 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 Testa Residencial Socimi and its competitors. For the REITs industry, the median ROA % is 3.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Testa Residencial Socimi's current ROA % is 6.38%, which is 359% above median its own 10-year median of 1.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Testa Residencial Socimi stock overvalued right now?
Based on GuruFocus' analysis, Testa Residencial Socimi (XMAD:YTST) is currently considered Modestly Undervalued. The stock's GF Value™ is €3.67, compared to a current price of €3.24 — trading 11.7% below its estimated fair value. The current ROA % is 6.38%, which is 359% above median its 10-year median of 1.39 and 99.4% above the REITs industry median of 3.20. Testa Residencial Socimi's overall GF Score™ is 65/100 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 Testa Residencial Socimi (XMAD:YTST), the current ROA % is 6.38% 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 Testa Residencial Socimi (XMAD:YTST) Overvalued in 2026?
Based on GuruFocus' analysis, Testa Residencial Socimi stock appears to be undervalued.
The current stock price of €3.24 is trading 11.7% below its estimated GF Value™ of €3.67.
GuruFocus considers Testa Residencial Socimi to be Modestly Undervalued.
Key valuation signals for XMAD:YTST:
ROA %: 6.38% (359% above median its 10-year median of 1.39)
GF Value™: €3.67 vs. price of €3.24 (11.7% below fair value)
Industry Position: 99.4% above the REITs median (#518 of 939)
No single metric tells the full story. See the XMAD:YTST stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Testa Residencial Socimi SA is a real estate investment trust. The company is a property company in the rental housing sector. Its portfolio includes residential and retail properties.
65GF Score
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