Assa Abloy ABSTU:ALZC +1.16%91 ROE % is 13.54% as of Mar. 2026, which is 13% below its 10-year median of 15.64. GuruFocus rates STU:ALZC with a GF Score™ of 91/100 and a GF Value™ of €30.36 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,058 Business Services companies, Assa Abloy AB ranks better than 73.16% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Assa Abloy AB's annualized net income for the quarter that ended in Mar. 2026 was €1,313 Mil. Assa Abloy AB's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was €9,703 Mil. Therefore, Assa Abloy AB's annualized ROE % for the quarter that ended in Mar. 2026 was 13.54%.
The historical rank and industry rank for Assa Abloy AB's ROE % or its related term are showing as below:
STU:ALZC'
s ROE % Range Over the Past 10 Years
Min: 5.37 Med: 15.64 Max: 18
Current: 15.37
During the past 13 years, Assa Abloy AB's highest ROE % was 18.00%. The lowest was 5.37%. And the median was 15.64%.
STU:ALZC's ROE % is ranked better than 73.16% of 1058
companies
in the Business Services industry
Industry Median: 8.1
vs STU:ALZC: 15.37
Assa Abloy AB (STU:ALZC) 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.
Assa Abloy AB ROE % Related Terms
Assa Abloy AB ROE % Historical Data
* Premium members only.
The historical data trend for Assa Abloy AB'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 Security & Protection Services subindustry, Assa Abloy AB'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.
Assa Abloy AB ROE % vs Business Services Industry
For the Business Services industry and Industrials sector, Assa Abloy AB's ROE % distribution charts can be found below:
* The bar in red indicates where Assa Abloy AB'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.
Assa Abloy AB (STU:ALZC) has a ROE % of 13.54% 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 Assa Abloy AB and its competitors. This is 13% below median its historical median of 15.64. Over the past decade, Assa Abloy AB's ROE % has ranged from 5.37 to 18.00. According to the industry distribution chart, Assa Abloy AB ranks #284 out of 1058 companies in the Business Services industry, placing it in the top 26.8%.
Is Assa Abloy AB's ROE % too high?
Assa Abloy AB's current ROE % of 13.54% is 13% below median its 10-year median of 15.64. Over the past 10 years, this metric has ranged from a low of 5.37 to a high of 18.00. The Business Services industry median ROE % is 8.10. Assa Abloy AB's value of 13.54% is 67.2% above this industry median. Based on the distribution chart, Assa Abloy AB ranks #284 out of 1058 companies in the Business Services industry, which is above the industry midpoint. Overall, Assa Abloy AB has a GF Score™ of 91/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Assa Abloy AB's ROE % compare to ALLE and MSA?
According to the Business Services industry distribution chart, Assa Abloy AB ranks #284 out of 1058 companies for ROE %. This puts Assa Abloy AB in the upper half of its industry. The industry median ROE % is 8.10. Assa Abloy AB's value of 13.54% is 67.2% above this benchmark. Historically, Assa Abloy AB's own ROE % has ranged from 5.37 to 18.00 over the past decade. While the company's 10-year median is 15.64 vs. the industry median of 8.10, Assa Abloy AB 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 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. Assa Abloy AB's current ROE % of 13.54% is 67.2% 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 Assa Abloy AB 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. Assa Abloy AB's current ROE % is 13.54%, which is 13% below median its own 10-year median of 15.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Assa Abloy AB stock overvalued right now?
Based on GuruFocus' analysis, Assa Abloy AB (STU:ALZC) is currently considered Fairly Valued. The stock's GF Value™ is €30.36, compared to a current price of €30.43 — trading 0.2% above its estimated fair value. The current ROE % is 13.54%, which is 13% below median its 10-year median of 15.64 and 67.2% above the Business Services industry median of 8.10. Assa Abloy AB's overall GF Score™ is 91/100 with 3 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 Assa Abloy AB (STU:ALZC), the current ROE % is 13.54% 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 Assa Abloy AB (STU:ALZC) Overvalued in 2026?
Based on GuruFocus' analysis, Assa Abloy AB stock appears to be overvalued.
The current stock price of €30.43 is trading 0.2% above its estimated GF Value™ of €30.36.
GuruFocus considers Assa Abloy AB to be Fairly Valued.
Key valuation signals for STU:ALZC:
ROE %: 13.54% (13% below median its 10-year median of 15.64)
GF Value™: €30.36 vs. price of €30.43 (0.2% above fair value)
Industry Position: 67.2% above the Business Services median (#284 of 1058)
No single metric tells the full story. See the STU:ALZC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Assa Abloy is the world's largest supplier of locking and physical access solutions, sporting the world's largest installed base of locks that protect some of the most security-sensitive buildings, such as the European Parliament in Brussels. Some 70% of the group's revenue is derived from commercial, government, and other nonresidential customers. The company's product base is centered on electromechanical locks, which require identification to unlock with a keycard, biometric scan, or personal identification number. Assa Abloy's products are sold directly to security systems integrators, locksmiths, hardware stores, and original equipment manufacturers.
91GF Score
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