Elbit SystemsESLT -2.90%67 ROE % is 15.33% as of Mar. 2026, which is 33% above its 10-year median of 11.51. GuruFocus rates ESLT with a GF Score™ of 67/100 and a GF Value™ of $363.31 (Significantly Overvalued). Among 347 Aerospace & Defense companies, Elbit Systems ranks better than 73.78% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Elbit Systems's annualized net income for the quarter that ended in Mar. 2026 was $643 Mil. Elbit Systems's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was $4,195 Mil. Therefore, Elbit Systems's annualized ROE % for the quarter that ended in Mar. 2026 was 15.33%.
The historical rank and industry rank for Elbit Systems's ROE % or its related term are showing as below:
ESLT'
s ROE % Range Over the Past 10 Years
Min: 7.54 Med: 11.51 Max: 16.06
Current: 14.96
During the past 13 years, Elbit Systems's highest ROE % was 16.06%. The lowest was 7.54%. And the median was 11.51%.
ESLT's ROE % is ranked better than 73.78% of 347
companies
in the Aerospace & Defense industry
Industry Median: 5.91
vs ESLT: 14.96
Elbit Systems (NAS:ESLT) 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 four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) 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.
Elbit Systems ROE % Related Terms
Elbit Systems ROE % Historical Data
* Premium members only.
The historical data trend for Elbit Systems'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 Aerospace & Defense subindustry, Elbit Systems'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.
Elbit Systems ROE % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Elbit Systems's ROE % distribution charts can be found below:
* The bar in red indicates where Elbit Systems'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 four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Elbit Systems (ESLT) has a ROE % of 15.33% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Elbit Systems and its competitors. This is 33% above median its historical median of 11.51. Over the past decade, Elbit Systems' ROE % has ranged from 7.54 to 16.06. According to the industry distribution chart, Elbit Systems ranks #91 out of 347 companies in the Aerospace & Defense industry, placing it in the top 26.2%.
Is Elbit Systems' ROE % too high?
Elbit Systems' current ROE % of 15.33% is 33% above median its 10-year median of 11.51. Over the past 10 years, this metric has ranged from a low of 7.54 to a high of 16.06. The Aerospace & Defense industry median ROE % is 5.91. Elbit Systems' value of 15.33% is 159.4% above this industry median. Based on the distribution chart, Elbit Systems ranks #91 out of 347 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Elbit Systems has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Elbit Systems' ROE % compare to GE and RTX?
According to the Aerospace & Defense industry distribution chart, Elbit Systems ranks #91 out of 347 companies for ROE %. This puts Elbit Systems in the upper half of its industry. The industry median ROE % is 5.91. Elbit Systems' value of 15.33% is 159.4% above this benchmark. Historically, Elbit Systems' own ROE % has ranged from 7.54 to 16.06 over the past decade. While the company's 10-year median is 11.51 vs. the industry median of 5.91, Elbit Systems 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 an Aerospace & Defense company?
The median ROE % among Aerospace & Defense companies is 5.91, based on 347 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. Elbit Systems's current ROE % of 15.33% is 159.4% 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 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 Elbit Systems and its competitors. For the Aerospace & Defense industry, the median ROE % is 5.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elbit Systems's current ROE % is 15.33%, which is 33% above median its own 10-year median of 11.51. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Elbit Systems stock overvalued right now?
Based on GuruFocus' analysis, Elbit Systems (ESLT) is currently considered Significantly Overvalued. The stock's GF Value™ is $363.31, compared to a current price of $729.14 — trading 100.7% above its estimated fair value. The current ROE % is 15.33%, which is 33% above median its 10-year median of 11.51 and 159.4% above the Aerospace & Defense industry median of 5.91. Elbit Systems' overall GF Score™ is 67/100. 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 Elbit Systems (ESLT), the current ROE % is 15.33% 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 Elbit Systems (ESLT) Overvalued in 2026?
Based on GuruFocus' analysis, Elbit Systems stock appears to be overvalued.
The current stock price of $729.14 is trading 100.7% above its estimated GF Value™ of $363.31.
GuruFocus considers Elbit Systems to be Significantly Overvalued.
Key valuation signals for ESLT:
ROE %: 15.33% (33% above median its 10-year median of 11.51)
GF Value™: $363.31 vs. price of $729.14 (100.7% above fair value)
Industry Position: 159.4% above the Aerospace & Defense median (#91 of 347)
No single metric tells the full story. See the ESLT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Elbit Systems Ltd is a technology company involved in producing a portfolio of systems and products for aircraft, land, and naval applications. The company's products are used for defense, homeland security and commercial flight capabilities. Its systems and solutions may be installed on new platforms or it may perform a comprehensive modernization program to transform a platform. Elbit Systems gives instructions to its customers on the proper maintenance of its products and will provide support team specialists when the customer cannot fix a problem. The company operates in five segments: Aerospace; C4I and Cyber; ISTAR and EW; Land; and ESA. It derives maximum revenue from Land Segment. Geographically, it operates in Israel; North America; Europe; Asia-Pacific; Latin America; and Others.
67GF Score
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