Return on Assets: How ROA can help you assess how much bang a company is getting for its buck

ROA is a key measure managers and investors use to analyze a company's profitability level.
Rachel Mendelson/Insider
Return on assets (ROA) is a key gauge of a company's profitability.
The ROA ratio measures a company's net income relative to its total assets.
A good ROA depends on the company and industry, but 5% or higher is considered good.
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Return on assets (ROA) is a ratio that measures a company's profitability relative to its t