Energy Action (ASX:EAX) ROE %: 24.55% (As of Dec. 2025)


ASX:EAX Energy Action Ltd ASX:EAX
45 GF Score
Price A$0.42
GF Value A$0.24
Valuation Significantly Overvalued
! 2 Warning Signs
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What is Energy Action ROE %?

Energy Action ASX:EAX 45 ROE % is 24.55% as of Dec. 2025. GuruFocus rates ASX:EAX with a GF Score™ of 45/100 and a GF Value™ of A$0.24 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 1,058 Business Services companies, Energy Action ranks better than 95.37% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Energy Action's annualized net income for the quarter that ended in Dec. 2025 was A$1.19 Mil. Energy Action's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was A$4.84 Mil. Therefore, Energy Action's annualized ROE % for the quarter that ended in Dec. 2025 was 24.55%.

The historical rank and industry rank for Energy Action's ROE % or its related term are showing as below:

ASX:EAX' s ROE % Range Over the Past 10 Years
Min: -268.75   Med: -3.52   Max: 59.47
Current: 39.33

During the past 13 years, Energy Action's highest ROE % was 59.47%. The lowest was -268.75%. And the median was -3.52%.

ASX:EAX's ROE % is ranked better than
95.37% of 1058 companies
in the Business Services industry
Industry Median: 8.095 vs ASX:EAX: 39.33

Energy Action  (ASX:EAX) 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:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=1.188/4.84
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(1.188 / 12.788)*(12.788 / 11.194)*(11.194 / 4.84)
=Net Margin %*Asset Turnover*Equity Multiplier
=9.29 %*1.1424*2.3128
=ROA %*Equity Multiplier
=10.61 %*2.3128
=24.55 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=1.188/4.84
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (1.188 / 1.87) * (1.87 / 1.706) * (1.706 / 12.788) * (12.788 / 11.194) * (11.194 / 4.84)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6353 * 1.0961 * 13.34 % * 1.1424 * 2.3128
=24.55 %

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.


Energy Action ROE % Related Terms


Energy Action ROE % Historical Data

* Premium members only.

The historical data trend for Energy Action'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.

Energy Action ROE % Chart

Energy Action Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -35.37 -268.75 0.00 50.56 59.47

Energy Action Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 450.53 22.94 66.09 56.97 24.55

ASX:EAX vs CTAS, CPRT, GPN: ROE % Comparison

For the Specialty Business Services subindustry, Energy Action'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.


Energy Action ROE % vs Business Services Industry

For the Business Services industry and Industrials sector, Energy Action's ROE % distribution charts can be found below:

* The bar in red indicates where Energy Action's ROE % falls into.


ASX:EAX
45GF Score
Energy Action Ltd ASX:EAX
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Energy Action ROE % Calculation

Energy Action's annualized ROE % for the fiscal year that ended in Jun. 2025 is calculated as

ROE %=Net Income (A: Jun. 2025 )/( (Total Stockholders Equity (A: Jun. 2024 )+Total Stockholders Equity (A: Jun. 2025 ))/ count )
=2.026/( (2.334+4.48)/ 2 )
=2.026/3.407
=59.47 %

Energy Action's annualized ROE % for the quarter that ended in Dec. 2025 is calculated as

ROE %=Net Income (Q: Dec. 2025 )/( (Total Stockholders Equity (Q: Jun. 2025 )+Total Stockholders Equity (Q: Dec. 2025 ))/ count )
=1.188/( (4.48+5.2)/ 2 )
=1.188/4.84
=24.55 %

* 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.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 24.55% mean?
Energy Action (ASX:EAX) has a ROE % of 24.55% 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 Energy Action and its competitors. According to the industry distribution chart, Energy Action ranks #49 out of 1058 companies in the Business Services industry, placing it in the top 4.6%.
Is Energy Action's ROE % too high?
Energy Action's current ROE % is 24.55%. The Business Services industry median ROE % is 8.10. Energy Action's value of 24.55% is 203.3% above this industry median. Based on the distribution chart, Energy Action ranks #49 out of 1058 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, Energy Action has a GF Score™ of 45/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Energy Action's ROE % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Energy Action ranks #49 out of 1058 companies for ROE %. This places Energy Action in the top 5% of its industry — outperforming the majority of peers. The industry median ROE % is 8.10. Energy Action's value of 24.55% is 203.3% above this benchmark. 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 Business Services company?
The median ROE % among Business Services companies is 8.10, based on 1,058 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. Energy Action's current ROE % of 24.55% is 203.3% 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 Energy Action and its competitors. For the Business Services industry, the median ROE % is 8.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Energy Action's current ROE % is 24.55%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Energy Action stock overvalued right now?
Based on GuruFocus' analysis, Energy Action (ASX:EAX) is currently considered Significantly Overvalued. The stock's GF Value™ is A$0.24, compared to a current price of A$0.42 — trading 72.9% above its estimated fair value. The current ROE % is 24.55% and 203.3% above the Business Services industry median of 8.10. Energy Action's overall GF Score™ is 45/100 with 2 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 Energy Action (ASX:EAX), the current ROE % is 24.55% 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 Energy Action (ASX:EAX) Overvalued in 2026?

Based on GuruFocus' analysis, Energy Action stock appears to be overvalued. The current stock price of A$0.42 is trading 72.9% above its estimated GF Value™ of A$0.24. GuruFocus considers Energy Action to be Significantly Overvalued.

Key valuation signals for ASX:EAX:

  • ROE %: 24.55%
  • GF Value™: A$0.24 vs. price of A$0.42 (72.9% above fair value)
  • GF Score™: 45/100 with 2 warning signs
  • Industry Position: 203.3% above the Business Services median (#49 of 1058)

No single metric tells the full story. See the ASX:EAX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Energy Action Business Description

Address 120 Sussex Street, Level 3, Sydney, NSW, AUS, 2000
Energy Action Ltd is engaged in providing integrated energy management services to a diverse base of commercial, industrial, and small and medium-sized business customers. It offers electricity and gas procurement services in Australia. The company's core services include Procurement, Energy Managed Services, Retail Services, and Other. The company has one operating segment, which provides electricity and gas procurement services, energy management, and retail billing services in Australia. The company provides various services such as Energy Buying, Energy Management, and Embedded Networks. It derives a majority of its revenues from Energy procurement.
45GF Score

Get the complete analysis for ASX:EAX

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$0.42
Price
A$0.24
GF Value