GURUFOCUS.COM » STOCK LIST » USA » NAS » Lululemon Athletica Inc (NAS:LULU) » Definitions » ROA %
Switch to:

Lululemon Athletica ROA %

: 15.77% (As of Apr. 2022)
View and export this data going back to 2007. Start your Free Trial

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Lululemon Athletica's annualized Net Income for the quarter that ended in Apr. 2022 was $760 Mil. Lululemon Athletica's average Total Assets over the quarter that ended in Apr. 2022 was $4,820 Mil. Therefore, Lululemon Athletica's annualized ROA % for the quarter that ended in Apr. 2022 was 15.77%.

The historical rank and industry rank for Lululemon Athletica's ROA % or its related term are showing as below:

LULU' s ROA % Range Over the Past 10 Years
Min: 14.15   Med: 20.9   Max: 30.3
Current: 22.23

During the past 13 years, Lululemon Athletica's highest ROA % was 30.30%. The lowest was 14.15%. And the median was 20.90%.

LULU's ROA % is ranked better than
97.78% of 1128 companies
in the Retail - Cyclical industry
Industry Median: 2.86 vs LULU: 22.23

Lululemon Athletica ROA % Historical Data

The historical data trend for Lululemon Athletica's ROA % 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.

* Premium members only.

Lululemon Athletica Annual Data
Trend Jan13 Jan14 Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22
ROA %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 14.15 23.70 24.06 15.77 21.37

Lululemon Athletica Quarterly Data
Jul17 Oct17 Jan18 Apr18 Jul18 Oct18 Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22
ROA % 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 Premium Member Only Premium Member Only Premium Member Only 13.62 19.06 16.73 36.53 15.77

Competitive Comparison

For the Apparel Retail subindustry, Lululemon Athletica's ROA %, along with its competitors' market caps and ROA % 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.

   

Lululemon Athletica ROA % Distribution

For the Retail - Cyclical industry and Consumer Cyclical sector, Lululemon Athletica's ROA % distribution charts can be found below:

* The bar in red indicates where Lululemon Athletica's ROA % falls into.



Lululemon Athletica ROA % Calculation

Lululemon Athletica's annualized ROA % for the fiscal year that ended in Jan. 2022 is calculated as:

ROA %=Net Income (A: Jan. 2022 )/( (Total Assets (A: Jan. 2021 )+Total Assets (A: Jan. 2022 ))/ count )
=975.322/( (4185.215+4942.478)/ 2 )
=975.322/4563.8465
=21.37 %

Lululemon Athletica's annualized ROA % for the quarter that ended in Apr. 2022 is calculated as:

ROA %=Net Income (Q: Apr. 2022 )/( (Total Assets (Q: Jan. 2022 )+Total Assets (Q: Apr. 2022 ))/ count )
=759.992/( (4942.478+4697.212)/ 2 )
=759.992/4819.845
=15.77 %

* 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 annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Apr. 2022) net income data. ROA % is displayed in the 30-year financial page.


Lululemon Athletica  (NAS:LULU) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: Apr. 2022 )
=Net Income/Total Assets
=759.992/4819.845
=(Net Income / Revenue)*(Revenue / Total Assets)
=(759.992 / 6453.852)*(6453.852 / 4819.845)
=Net Margin %*Asset Turnover
=11.78 %*1.339
=15.77 %

Note: The Net Income data used here is four times the quarterly (Apr. 2022) net income data. The Revenue data used here is four times the quarterly (Apr. 2022) revenue 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.


Be Aware

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


Lululemon Athletica ROA % Related Terms

Thank you for viewing the detailed overview of Lululemon Athletica's ROA % provided by GuruFocus.com. Please click on the following links to see related term pages.


Lululemon Athletica Business Description

Lululemon Athletica logo
Address
1818 Cornwall Avenue, Vancouver, BC, CAN, V6J 1C7
Lululemon Athletica Inc. designs, distributes, and markets athletic apparel and accessories for women, men, and girls. Lululemon offers pants, shorts, tops, and jackets for both leisure and athletic activities such as yoga and running. The company also sells fitness accessories, such as bags, yoga mats, and equipment. Lululemon sells its products through more than 550 company-owned stores in 17 countries, e-commerce, outlets, and wholesale accounts. The company was founded in 1998 and is based in Vancouver, Canada.
Executives
Neuburger Nicole officer: Chief Brand Officer C/O LULULEMON ATHLETICA INC. 1818 CORNWALL AVENUE VANCOUVER A1 V6J 1C7
Loehnis Alison director C/O LULULEMON ATHLETICA INC. 1818 CORNWALL AVENUE VANCOUVER A1 V6J1C7
Maestrini Andre officer: EVP, International C/O LULULEMON ATHLETICA INC. 1818 CORNWALL AVENUE VANCOUVER A1 V6J 1C7
Choe Michelle Sun officer: Chief Product Officer C/O LULULEMON ATHLETICA INC. 1818 CORNWALL AVE VANCOUVER A1 V6J 1C7
Burgoyne Celeste officer: Pres Americas&Global Guest C/O LULULEMON ATHLETICA INC. 1818 CORNWALL AVE VANCOUVER A1 V6J 1C7
Frank Meghan officer: Chief Financial Officer C/O LULULEMON ATHLETICA INC. 1818 CORNWALL AVENUE VANCOUVER A1 V6J 1C7
Gibson Kourtney director C/O MARKETAXESS HOLDINGS INC. 55 HUDSON YARDS, 15TH FLOOR NEW YORK NY 10001
White Emily director C/O LULULEMON ATHLETICA INC. 1818 CORNWALL AVENUE VANCOUVER A1 V6J 1C7
Ferris Stephanie director C/O VANTIV, INC. 8500 GOVERNORS HILL DRIVE CINCINNATI OH 45249
Murphy Glenn director C/O LULULEMON ATHLETICA INC. 1818 CORNWALL AVENUE VANCOUVER A1 V6J1C7
Mcneill Jon director 45500 FREMONT BLVD FREMONT CA 94538
Casey Martin Michael director
Morfitt Martha A M director P.O. BOX 1441 MINNEAPOLIS MN 55440-1441
Henry Kathryn director C/O LULULEMON ATHLETICA, INC. 1818 CORNWALL AVENUE VANCOUVER A1 V6J 1C7
Mcdonald Calvin director, officer: Chief Executive Officer C/O LULULEMON ATHLETICA INC. 1818 CORNWALL AVENUE VANCOUVER A1 V6J 1C7

Lululemon Athletica Headlines

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)