Australian Foundation Investment Co (ASX:AFI) 10-Year RORE % : -26.83% (As of Dec. 2025)


ASX:AFI Australian Foundation Investment Co Ltd ASX:AFI
61 GF Score
Price A$7.03
GF Value A$6.66
Valuation Fairly Valued
! 4 Warning Signs
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What is Australian Foundation Investment Co 10-Year RORE %?

Australian Foundation Investment Co ASX:AFI +2.18% 61 10-Year RORE % is -26.83 as of Dec. 2025. GuruFocus rates ASX:AFI with a GF Score™ of 61/100 and a GF Value™ of A$6.66 (Fairly Valued). The stock has 4 warning signs investors should review. Among 887 Asset Management companies, Australian Foundation Investment Co ranks worse than 83.31% on this metric.

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. Australian Foundation Investment Co's 10-Year RORE % for the quarter that ended in Dec. 2025 was -26.83%.

The industry rank for Australian Foundation Investment Co's 10-Year RORE % or its related term are showing as below:

ASX:AFI's 10-Year RORE % is ranked worse than
83.31% of 887 companies
in the Asset Management industry
Industry Median: 7.09 vs ASX:AFI: -26.83

Australian Foundation Investment Co  (ASX:AFI) 10-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 10-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


Australian Foundation Investment Co 10-Year RORE % Related Terms


Australian Foundation Investment Co 10-Year RORE % Historical Data

* Premium members only.

The historical data trend for Australian Foundation Investment Co's 10-Year RORE % 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.

Australian Foundation Investment Co 10-Year RORE % Chart

Australian Foundation Investment Co Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
10-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -190.91 98.36 21.05 -56.90 52.38

Australian Foundation Investment Co Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
10-Year RORE % 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 14.29 -56.90 -75.47 52.38 -26.83

ASX:AFI vs BLK, BX, KKR: 10-Year RORE % Comparison

For the Asset Management subindustry, Australian Foundation Investment Co's 10-Year RORE %, along with its competitors' market caps and 10-Year RORE % 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.


Australian Foundation Investment Co 10-Year RORE % vs Asset Management Industry

For the Asset Management industry and Financial Services sector, Australian Foundation Investment Co's 10-Year RORE % distribution charts can be found below:

* The bar in red indicates where Australian Foundation Investment Co's 10-Year RORE % falls into.


ASX:AFI
61GF Score
Australian Foundation Investment Co Ltd ASX:AFI
10-Year RORE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Australian Foundation Investment Co 10-Year RORE % Calculation

Australian Foundation Investment Co's 10-Year RORE % for the quarter that ended in Dec. 2025 is calculated as:

10-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 10-year -Cumulative Dividends per Share for 10-year )
=( 0.221-0.21 )/( 2.414-2.455 )
=0.011/-0.041
=-26.83 %

* 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 10-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Dec. 2025 and 10-year before.

Frequently Asked Questions Learn more about 10-Year RORE % →
What does a 10-Year RORE % of -26.83 mean?
Australian Foundation Investment Co (ASX:AFI) has a 10-Year RORE % of -26.83 as of Dec. 2025. 10-Year RORE % shows how much a company earns by reinvesting its retained earnings in 10-year. View historical data on Australian Foundation Investment Co and its competitors. According to the industry distribution chart, Australian Foundation Investment Co ranks #739 out of 887 companies in the Asset Management industry, placing it in the top 83.3%.
Is Australian Foundation Investment Co's 10-Year RORE % too high?
Australian Foundation Investment Co's current 10-Year RORE % is -26.83. Based on the distribution chart, Australian Foundation Investment Co ranks #739 out of 887 companies in the Asset Management industry, which is in the bottom quartile relative to peers. Overall, Australian Foundation Investment Co has a GF Score™ of 61/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Australian Foundation Investment Co's 10-Year RORE % compare to BLK and BX?
According to the Asset Management industry distribution chart, Australian Foundation Investment Co ranks #739 out of 887 companies for 10-Year RORE %. This places Australian Foundation Investment Co in the lower half of its industry. The industry median 10-Year RORE % is 7.09. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 10-Year RORE % for an Asset Management company?
The median 10-Year RORE % among Asset Management companies is 7.09, based on 887 companies in the industry. Companies in the top quartile (top 25%) have a 10-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 10-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 10-Year RORE % mean?
A high 10-Year RORE % can signal that a stock is expensive relative to its fundamentals. 10-Year RORE % shows how much a company earns by reinvesting its retained earnings in 10-year. View historical data on Australian Foundation Investment Co and its competitors. For the Asset Management industry, the median 10-Year RORE % is 7.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Australian Foundation Investment Co's current 10-Year RORE % is -26.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Australian Foundation Investment Co stock overvalued right now?
Based on GuruFocus' analysis, Australian Foundation Investment Co (ASX:AFI) is currently considered Fairly Valued. The stock's GF Value™ is A$6.66, compared to a current price of A$7.03 — trading 5.6% above its estimated fair value. The current 10-Year RORE % is -26.83. Australian Foundation Investment Co's overall GF Score™ is 61/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 10-Year RORE % calculated?
10-Year RORE % is calculated from a company's financial statements. For Australian Foundation Investment Co (ASX:AFI), the current 10-Year RORE % is -26.83 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 Australian Foundation Investment Co (ASX:AFI) Overvalued in 2026?

Based on GuruFocus' analysis, Australian Foundation Investment Co stock appears to be overvalued. The current stock price of A$7.03 is trading 5.6% above its estimated GF Value™ of A$6.66. GuruFocus considers Australian Foundation Investment Co to be Fairly Valued.

Key valuation signals for ASX:AFI:

  • 10-Year RORE %: -26.83
  • GF Value™: A$6.66 vs. price of A$7.03 (5.6% above fair value)
  • GF Score™: 61/100 with 4 warning signs

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


Australian Foundation Investment Co Business Description

Address 101 Collins Street, Level 21, Melbourne, VIC, AUS, 3000
Australian Foundation Investment Co Ltd is an asset management company which invests in Australian and New Zealand equities. It aims to provide shareholders with attractive investment returns through access to a growing stream of fully franked dividends and enhancement of capital invested. Its investment goals are to pay dividends, which, over time, grow faster than the rate of inflation, and to provide attractive total returns over the medium to long term.
61GF Score

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

A$7.03
Price
A$6.66
GF Value