Return on Assets

Browse all terms in Glossary

Definition

Click "Learn More" below to see how YCharts calculates return on assets.

Return on Assets is supposed to show the rate of return (after tax) being earned on all of the firm's assets regardless of financing structure (debt vs. equity). It is a measure of how efficiently the company is using all stakeholders' assets to earn returns.

Formula

The most common accounting definition for Return on Assets is:

Return on Assets (ROA) = [Net Income + (Interest Expense x (1 - Tax Rate)) + Minority Interest) / (Average Total Assets)

Where Average Total Assets = (Assets at the beginning of the reporting period + Assets at the end of the reporting period) / 2

YCharts calculates Return on Assets as:

ROA = Trailing 12 Month Net Income / Total Assets from the most recent quarter

Recent Quotes

Symbol Price Chg Chg % Market Cap
YORW 16.95 -0.07 -0.41% 217.13M
YOKU 21.89 -1.91 -8.03% 1.697B
YNDX 18.49 -1.44 -7.23% 3.008B
YMI 1.96 -0.01 -0.51% 297.35M
YHOO 14.92 -0.32 -2.10% 18.11B
YGE 2.68 +0.08 +3.08% 390.18M
XRA 2.04 +0.22 +12.09% 179.23M
XPO 17.10 -0.76 -4.26% 143.13M
XPL 1.07 +0.07 +7.00% 36.63M
XPH 54.39 -1.22 -2.19%
You must be signed in to use watchlists.
Sign In or Register
Create Watchlist from Stock Quotes
Close