Arena REITASX:ARF 85 ROE % is 17.22% as of Dec. 2025, which is 27% above its 10-year median of 13.54. GuruFocus rates ASX:ARF with a GF Score™ of 85/100 and a GF Value™ of A$3.54 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 933 REITs companies, Arena REIT ranks better than 81.78% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Arena REIT's annualized net income for the quarter that ended in Dec. 2025 was A$219.3 Mil. Arena REIT's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was A$1,273.3 Mil. Therefore, Arena REIT's annualized ROE % for the quarter that ended in Dec. 2025 was 17.22%.
The historical rank and industry rank for Arena REIT's ROE % or its related term are showing as below:
ASX:ARF'
s ROE % Range Over the Past 10 Years
Min: 5.4 Med: 13.54 Max: 38.24
Current: 12.36
During the past 13 years, Arena REIT's highest ROE % was 38.24%. The lowest was 5.40%. And the median was 13.54%.
ASX:ARF's ROE % is ranked better than 81.78% of 933
companies
in the REITs industry
Industry Median: 6.2
vs ASX:ARF: 12.36
Arena REIT (ASX:ARF) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
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. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
Arena REIT ROE % Related Terms
Arena REIT ROE % Historical Data
* Premium members only.
The historical data trend for Arena REIT's ROE % 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 REIT - Specialty subindustry, Arena REIT's ROE %, along with its competitors' market caps and ROE % 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.
Arena REIT ROE % vs REITs Industry
For the REITs industry and Real Estate sector, Arena REIT's ROE % distribution charts can be found below:
* The bar in red indicates where Arena REIT's ROE % 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 ROE %, the net income of the last fiscal year and the average total shareholder equity 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.
ROE % is displayed in the 30-year financial page.
Arena REIT (ASX:ARF) has a ROE % of 17.22% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Arena REIT and its competitors. This is 27% above median its historical median of 13.54. Over the past decade, Arena REIT's ROE % has ranged from 5.40 to 38.24. According to the industry distribution chart, Arena REIT ranks #170 out of 933 companies in the REITs industry, placing it in the top 18.2%.
Is Arena REIT's ROE % too high?
Arena REIT's current ROE % of 17.22% is 27% above median its 10-year median of 13.54. Over the past 10 years, this metric has ranged from a low of 5.40 to a high of 38.24. The REITs industry median ROE % is 6.20. Arena REIT's value of 17.22% is 177.7% above this industry median. Based on the distribution chart, Arena REIT ranks #170 out of 933 companies in the REITs industry, which is in the top quartile — a strong position relative to peers. Overall, Arena REIT has a GF Score™ of 85/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arena REIT's ROE % compare to EQIX and AMT?
According to the REITs industry distribution chart, Arena REIT ranks #170 out of 933 companies for ROE %. This places Arena REIT in the top 18% of its industry — outperforming the majority of peers. The industry median ROE % is 6.20. Arena REIT's value of 17.22% is 177.7% above this benchmark. Historically, Arena REIT's own ROE % has ranged from 5.40 to 38.24 over the past decade. While the company's 10-year median is 13.54 vs. the industry median of 6.20, Arena REIT 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 ROE % for a REITs company?
The median ROE % among REITs companies is 6.20, based on 933 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Arena REIT's current ROE % of 17.22% is 177.7% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Arena REIT and its competitors. For the REITs industry, the median ROE % is 6.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arena REIT's current ROE % is 17.22%, which is 27% above median its own 10-year median of 13.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arena REIT stock overvalued right now?
Based on GuruFocus' analysis, Arena REIT (ASX:ARF) is currently considered Modestly Undervalued. The stock's GF Value™ is A$3.54, compared to a current price of A$3.19 — trading 9.9% below its estimated fair value. The current ROE % is 17.22%, which is 27% above median its 10-year median of 13.54 and 177.7% above the REITs industry median of 6.20. Arena REIT's overall GF Score™ is 85/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Arena REIT (ASX:ARF), the current ROE % is 17.22% 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 Arena REIT (ASX:ARF) Overvalued in 2026?
Based on GuruFocus' analysis, Arena REIT stock appears to be undervalued.
The current stock price of A$3.19 is trading 9.9% below its estimated GF Value™ of A$3.54.
GuruFocus considers Arena REIT to be Modestly Undervalued.
Key valuation signals for ASX:ARF:
ROE %: 17.22% (27% above median its 10-year median of 13.54)
GF Value™: A$3.54 vs. price of A$3.19 (9.9% below fair value)
Industry Position: 177.7% above the REITs median (#170 of 933)
No single metric tells the full story. See the ASX:ARF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arena REIT is an internally managed Australian property trust. The REIT specializes in leasing social infrastructure properties, with close to 300 childcare centers and about a dozen healthcare facilities in its portfolio. Typically, tenants enter into long-term leases with inflation-linked or fixed rental escalations every year. All leases are "triple net," meaning tenants pay for all statutory and operating outgoings and costs, such as land tax, insurance, electricity, and maintenance. The tenant profile is concentrated—almost three quarters of rents are generated from the top five tenants. Arena actively grows its property book through acquisitions and developments, and historically added on average 10 sites, net of divestments, per year.
85GF Score
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