HNST (The Honest Co) Return-on-Tangible-Asset: -0.08% (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

HNST The Honest Co Inc HNST
60 GF Score
Price $3.86
GF Value $2.83
Valuation Significantly Overvalued
! 3 Warning Signs
View Full Analysis

What is The Honest Co Return-on-Tangible-Asset?

The Honest Co HNST -2.03% 60 Return-on-Tangible-Asset is -0.08% as of Mar. 2026. GuruFocus rates HNST with a GF Score™ of 60/100 and a GF Value™ of $2.83 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 1,997 Consumer Packaged Goods companies, The Honest Co ranks worse than 86.68% on this metric.

Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. The Honest Co's annualized Net Income for the quarter that ended in Mar. 2026 was $-0.2 Mil. The Honest Co's average total tangible assets for the quarter that ended in Mar. 2026 was $217.7 Mil. Therefore, The Honest Co's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was -0.08%.

The historical rank and industry rank for The Honest Co's Return-on-Tangible-Asset or its related term are showing as below:

HNST' s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -19.3   Med: -13.44   Max: -2.76
Current: -8.02

During the past 7 years, The Honest Co's highest Return-on-Tangible-Asset was -2.76%. The lowest was -19.30%. And the median was -13.44%.

HNST's Return-on-Tangible-Asset is ranked worse than
86.68% of 1997 companies
in the Consumer Packaged Goods industry
Industry Median: 3.39 vs HNST: -8.02

The Honest Co  (NAS:HNST) Return-on-Tangible-Asset Explanation

Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.


Be Aware

Like ROE and ROA, Return-on-Tangible-Asset 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. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a company’s tax rate and its interest payment. Return-on-Tangible-Asset 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 Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.


The Honest Co Return-on-Tangible-Asset Related Terms


The Honest Co Return-on-Tangible-Asset Historical Data

* Premium members only.

The historical data trend for The Honest Co's Return-on-Tangible-Asset 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.

The Honest Co Return-on-Tangible-Asset Chart

The Honest Co Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Asset
Get a 7-Day Free Trial -15.23 -19.30 -17.95 -2.76 -6.70

The Honest Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Return-on-Tangible-Asset Get a 7-Day Free Trial 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 5.13 6.08 1.25 -40.80 -0.08

HNST vs MAGN, NUS, WALD: Return-on-Tangible-Asset Comparison

For the Household & Personal Products subindustry, The Honest Co's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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.


The Honest Co Return-on-Tangible-Asset vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, The Honest Co's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where The Honest Co's Return-on-Tangible-Asset falls into.


HNST
60GF Score
The Honest Co Inc HNST
Return-on-Tangible-Asset is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

The Honest Co Return-on-Tangible-Asset Calculation

The Honest Co's annualized Return-on-Tangible-Asset for the fiscal year that ended in Dec. 2025 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=-15.686/( (244.928+222.976)/ 2 )
=-15.686/233.952
=-6.70 %

The Honest Co's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=-0.168/( (222.976+212.507)/ 2 )
=-0.168/217.7415
=-0.08 %

* 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 Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Mar. 2026) net income data.

What does a Return-on-Tangible-Asset of -0.08% mean?
The Honest Co (HNST) has a Return-on-Tangible-Asset of -0.08% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on The Honest Co and its competitors. According to the industry distribution chart, The Honest Co ranks #1731 out of 1997 companies in the Consumer Packaged Goods industry, placing it in the top 86.7%.
Is The Honest Co's Return-on-Tangible-Asset too high?
The Honest Co's current Return-on-Tangible-Asset is -0.08%. Based on the distribution chart, The Honest Co ranks #1731 out of 1997 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers. Overall, The Honest Co has a GF Score™ of 60/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The Honest Co's Return-on-Tangible-Asset compare to MAGN and NUS?
According to the Consumer Packaged Goods industry distribution chart, The Honest Co ranks #1731 out of 1997 companies for Return-on-Tangible-Asset. This places The Honest Co in the lower half of its industry. The industry median Return-on-Tangible-Asset is 3.39. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Asset for a Consumer Packaged Goods company?
The median Return-on-Tangible-Asset among Consumer Packaged Goods companies is 3.39, based on 1,997 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset 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 Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on The Honest Co and its competitors. For the Consumer Packaged Goods industry, the median Return-on-Tangible-Asset is 3.39 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Honest Co's current Return-on-Tangible-Asset is -0.08%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Honest Co stock overvalued right now?
Based on GuruFocus' analysis, The Honest Co (HNST) is currently considered Significantly Overvalued. The stock's GF Value™ is $2.83, compared to a current price of $3.86 — trading 36.4% above its estimated fair value. The current Return-on-Tangible-Asset is -0.08%. The Honest Co's overall GF Score™ is 60/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For The Honest Co (HNST), the current Return-on-Tangible-Asset is -0.08% 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 The Honest Co (HNST) Overvalued in 2026?

Based on GuruFocus' analysis, The Honest Co stock appears to be overvalued. The current stock price of $3.86 is trading 36.4% above its estimated GF Value™ of $2.83. GuruFocus considers The Honest Co to be Significantly Overvalued.

Key valuation signals for HNST:

  • Return-on-Tangible-Asset: -0.08%
  • GF Value™: $2.83 vs. price of $3.86 (36.4% above fair value)
  • GF Score™: 60/100 with 3 warning signs

No single metric tells the full story. See the HNST stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


The Honest Co Business Description

Address 12130 Millennium Drive, Suite 500, Los Angeles, CA, USA, 90094
The Honest Co Inc is a personal care company dedicated to creating cleanly-formulated and sustainably-designed products for everyone from babies to adults. By combining thoughtful design with science-based innovation, the company delivers personal care products for everyone from babies to adults, spanning categories across wipes, personal care, diapers, and beauty. It has three product categories namely; Diapers and Wipes, Skin and Personal Care, and Household and Wellness, out of which the majority of its revenue is generated from the sale of diapers and wipes. The company operates only in the United States.
60GF Score

Get the complete analysis for HNST

Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$3.86
Price
$2.83
GF Value