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.
Generation Development Group's 5-Year RORE % for the quarter that ended in Dec. 2025 was -140.74%.
ASX:GDG's 5-Year RORE % is ranked worse than 91.42% of 1411
companies
in the Asset Management industry
Industry Median: -1.38
vs ASX:GDG: -140.74
Generation Development Group (ASX:GDG) 5-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, 5-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.
Generation Development Group 5-Year RORE % Related Terms
Generation Development Group 5-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 Asset Management subindustry, Generation Development Group's 5-Year RORE %, along with its competitors' market caps and 5-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.
Generation Development Group 5-Year RORE % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Generation Development Group's 5-Year RORE % distribution charts can be found below:
* The bar in red indicates where Generation Development Group's 5-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 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Dec. 2025 and 5-year before.
Generation Development Group (ASX:GDG) has a 5-Year RORE % of -140.74 as of Dec. 2025. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Generation Development Group and its competitors. According to the industry distribution chart, Generation Development Group ranks #1290 out of 1411 companies in the Asset Management industry, placing it in the top 91.4%.
Is Generation Development Group's 5-Year RORE % too high?
Generation Development Group's current 5-Year RORE % is -140.74. Based on the distribution chart, Generation Development Group ranks #1290 out of 1411 companies in the Asset Management industry, which is in the bottom quartile relative to peers. Overall, Generation Development Group has a GF Score™ of 57/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Generation Development Group's 5-Year RORE % compare to BLK and BX?
According to the Asset Management industry distribution chart, Generation Development Group ranks #1290 out of 1411 companies for 5-Year RORE %. This places Generation Development Group in the lower half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year RORE % for an Asset Management company?
A good 5-Year RORE % depends on the Asset Management industry context. However, 5-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 5-Year RORE % mean?
A high 5-Year RORE % can signal that a stock is expensive relative to its fundamentals. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Generation Development Group and its competitors. Generation Development Group's current 5-Year RORE % is -140.74. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Generation Development Group stock overvalued right now?
Based on GuruFocus' analysis, Generation Development Group (ASX:GDG) is currently considered Possible Value Trap. The stock's GF Value™ is A$7.15, compared to a current price of A$3.70 — trading 48.3% below its estimated fair value. The current 5-Year RORE % is -140.74. Generation Development Group's overall GF Score™ is 57/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year RORE % calculated?
5-Year RORE % is calculated from a company's financial statements. For Generation Development Group (ASX:GDG), the current 5-Year RORE % is -140.74 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 Generation Development Group (ASX:GDG) Overvalued in 2026?
Based on GuruFocus' analysis, Generation Development Group stock appears to be undervalued.
The current stock price of A$3.70 is trading 48.3% below its estimated GF Value™ of A$7.15.
GuruFocus considers Generation Development Group to be Possible Value Trap.
Key valuation signals for ASX:GDG:
5-Year RORE %: -140.74
GF Value™: A$7.15 vs. price of A$3.70 (48.3% below fair value)
No single metric tells the full story. See the ASX:GDG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1991, Generation originally operated as a pooled development fund, focusing on providing capital to businesses in financial services. Today, the firm is structured across three key business lines within wealth management. The first is through Generation Life, the market leader in investment bonds by in-flows, which offers tax-effective products, including investment bonds and annuities. The second business line is Lonsec, a prominent research and ratings provider to the Australian financial services sector, competing against Morningstar and Zenith. The third division provides managed account solutions, a result of the merger between Evidentia and Lonsec Investment Solutions, offering individually owned accounts professionally managed by experienced portfolio managers.
57GF Score
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