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.
Ascend Wellness Holdings's 3-Year RORE % for the quarter that ended in Mar. 2026 was 32.70%.
The industry rank for Ascend Wellness Holdings's 3-Year RORE % or its related term are showing as below:
AAWH's 3-Year RORE % is ranked better than 76.5% of 936
companies
in the Drug Manufacturers industry
Industry Median: 3.075
vs AAWH: 32.70
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, 3-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.
Ascend Wellness Holdings 3-Year RORE % Related Terms
Ascend Wellness Holdings 3-Year RORE % Historical Data
* 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 Drug Manufacturers - Specialty & Generic subindustry, Ascend Wellness Holdings's 3-Year RORE %, along with its competitors' market caps and 3-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.
Ascend Wellness Holdings 3-Year RORE % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Ascend Wellness Holdings's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where Ascend Wellness Holdings's 3-Year RORE % 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 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 3-year before.
Ascend Wellness Holdings (AAWH) has a 3-Year RORE % of 32.70 as of Mar. 2026. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Ascend Wellness Holdings and its competitors. According to the industry distribution chart, Ascend Wellness Holdings ranks #220 out of 936 companies in the Drug Manufacturers industry, placing it in the top 23.5%.
Is Ascend Wellness Holdings' 3-Year RORE % too high?
Ascend Wellness Holdings' current 3-Year RORE % is 32.70. The Drug Manufacturers industry median 3-Year RORE % is 3.08. Ascend Wellness Holdings' value of 32.70 is 963.4% above this industry median. Based on the distribution chart, Ascend Wellness Holdings ranks #220 out of 936 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Ascend Wellness Holdings has a GF Score™ of 44/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Ascend Wellness Holdings' 3-Year RORE % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Ascend Wellness Holdings ranks #220 out of 936 companies for 3-Year RORE %. This places Ascend Wellness Holdings in the top 24% of its industry — outperforming the majority of peers. The industry median 3-Year RORE % is 3.08. Ascend Wellness Holdings' value of 32.70 is 963.4% 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 3-Year RORE % for a Drug Manufacturers company?
The median 3-Year RORE % among Drug Manufacturers companies is 3.08, based on 936 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Ascend Wellness Holdings's current 3-Year RORE % of 32.70 is 963.4% 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 3-Year RORE % mean?
A high 3-Year RORE % can signal that a stock is expensive relative to its fundamentals. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Ascend Wellness Holdings and its competitors. For the Drug Manufacturers industry, the median 3-Year RORE % is 3.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ascend Wellness Holdings's current 3-Year RORE % is 32.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ascend Wellness Holdings stock overvalued right now?
Based on GuruFocus' analysis, Ascend Wellness Holdings (AAWH) is currently considered Possible Value Trap. The stock's GF Value™ is $0.68, compared to a current price of $0.47 — trading 30.7% below its estimated fair value. The current 3-Year RORE % is 32.70 and 963.4% above the Drug Manufacturers industry median of 3.08. Ascend Wellness Holdings' overall GF Score™ is 44/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year RORE % calculated?
3-Year RORE % is calculated from a company's financial statements. For Ascend Wellness Holdings (AAWH), the current 3-Year RORE % is 32.70 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 Ascend Wellness Holdings (AAWH) Overvalued in 2026?
Based on GuruFocus' analysis, Ascend Wellness Holdings stock appears to be undervalued.
The current stock price of $0.47 is trading 30.7% below its estimated GF Value™ of $0.68.
GuruFocus considers Ascend Wellness Holdings to be Possible Value Trap.
Key valuation signals for AAWH:
3-Year RORE %: 32.70
GF Value™: $0.68 vs. price of $0.47 (30.7% below fair value)
Industry Position: 963.4% above the Drug Manufacturers median (#220 of 936)
No single metric tells the full story. See the AAWH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ascend Wellness Holdings Inc is a vertically integrated multi-state operator focused on adult-use or near-term adult-use cannabis states in limited licenses markets. The company's core business is the cultivation, manufacturing, and distribution of cannabis consumer packaged goods, which it sells through company-owned retail stores and third-party licensed cannabis retail stores. It generates maximum revenue from the retail product segment.
44GF Score
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