Abbott LaboratoriesABT -0.04%80 ROA % is 4.37% as of Mar. 2026, which is 38% below its 10-year median of 7.08. GuruFocus rates ABT with a GF Score™ of 80/100 and a GF Value™ of $129.49 (Significantly Undervalued). Among 857 Medical Devices & Instruments companies, Abbott Laboratories ranks better than 77.36% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Abbott Laboratories's annualizedNet Income for the quarter that ended in Mar. 2026 was $4,308 Mil.
Abbott Laboratories's average Total Assets over the quarter that ended in Mar. 2026 was $98,571 Mil. Therefore, Abbott Laboratories's annualized ROA % for the quarter that ended in Mar. 2026 was 4.37%.
The historical rank and industry rank for Abbott Laboratories's ROA % or its related term are showing as below:
ABT'
s ROA % Range Over the Past 10 Years
Min: 0.74 Med: 7.08 Max: 17.33
Current: 7.02
During the past 13 years, Abbott Laboratories's highest ROA % was 17.33%. The lowest was 0.74%. And the median was 7.08%.
ABT's ROA % is ranked better than 77.36% of 857
companies
in the Medical Devices & Instruments industry
Industry Median: 0.59
vs ABT: 7.02
Abbott Laboratories (NYSE:ABT) 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 banks 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:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) 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.
Abbott Laboratories ROA % Related Terms
Abbott Laboratories ROA % Historical Data
* Premium members only.
The historical data trend for Abbott Laboratories'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.
For the Medical Devices subindustry, Abbott Laboratories'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.
Abbott Laboratories ROA % vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Abbott Laboratories's ROA % distribution charts can be found below:
* The bar in red indicates where Abbott Laboratories's ROA % 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 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 (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Abbott Laboratories (ABT) has a ROA % of 4.37% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Abbott Laboratories and its competitors. This is 38% below median its historical median of 7.08. Over the past decade, Abbott Laboratories' ROA % has ranged from 0.74 to 17.33. According to the industry distribution chart, Abbott Laboratories ranks #194 out of 857 companies in the Medical Devices & Instruments industry, placing it in the top 22.6%.
Is Abbott Laboratories' ROA % too high?
Abbott Laboratories' current ROA % of 4.37% is 38% below median its 10-year median of 7.08. Over the past 10 years, this metric has ranged from a low of 0.74 to a high of 17.33. The Medical Devices & Instruments industry median ROA % is 0.59. Abbott Laboratories' value of 4.37% is 640.7% above this industry median. Based on the distribution chart, Abbott Laboratories ranks #194 out of 857 companies in the Medical Devices & Instruments industry, which is in the top quartile — a strong position relative to peers. Overall, Abbott Laboratories has a GF Score™ of 80/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Abbott Laboratories' ROA % compare to SYK and MDT?
According to the Medical Devices & Instruments industry distribution chart, Abbott Laboratories ranks #194 out of 857 companies for ROA %. This places Abbott Laboratories in the top 23% of its industry — outperforming the majority of peers. The industry median ROA % is 0.59. Abbott Laboratories' value of 4.37% is 640.7% above this benchmark. Historically, Abbott Laboratories' own ROA % has ranged from 0.74 to 17.33 over the past decade. While the company's 10-year median is 7.08 vs. the industry median of 0.59, Abbott Laboratories has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for a Medical Devices & Instruments company?
The median ROA % among Medical Devices & Instruments companies is 0.59, based on 857 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Abbott Laboratories's current ROA % of 4.37% is 640.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Abbott Laboratories and its competitors. For the Medical Devices & Instruments industry, the median ROA % is 0.59 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Abbott Laboratories's current ROA % is 4.37%, which is 38% below median its own 10-year median of 7.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Abbott Laboratories stock overvalued right now?
Based on GuruFocus' analysis, Abbott Laboratories (ABT) is currently considered Significantly Undervalued. The stock's GF Value™ is $129.49, compared to a current price of $90.49 — trading 30.1% below its estimated fair value. The current ROA % is 4.37%, which is 38% below median its 10-year median of 7.08 and 640.7% above the Medical Devices & Instruments industry median of 0.59. Abbott Laboratories' overall GF Score™ is 80/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Abbott Laboratories (ABT), the current ROA % is 4.37% 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 Abbott Laboratories (ABT) Overvalued in 2026?
Based on GuruFocus' analysis, Abbott Laboratories stock appears to be undervalued.
The current stock price of $90.49 is trading 30.1% below its estimated GF Value™ of $129.49.
GuruFocus considers Abbott Laboratories to be Significantly Undervalued.
Key valuation signals for ABT:
ROA %: 4.37% (38% below median its 10-year median of 7.08)
GF Value™: $129.49 vs. price of $90.49 (30.1% below fair value)
Industry Position: 640.7% above the Medical Devices & Instruments median (#194 of 857)
No single metric tells the full story. See the ABT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Abbott manufactures and markets cardiovascular and diabetes devices, adult and pediatric nutritional products, diagnostic equipment and testing kits, and branded generic drugs. Products include pacemakers, implantable cardioverter defibrillators, neuromodulation devices, coronary stents, catheters, infant formula, nutritional liquids for adults, continuous glucose monitors, and immunoassays and point-of-care diagnostic equipment. Abbott derives roughly 60% of sales outside the United States.
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