Bayer AGBSE:BAYN +2.05%74 ROA % is 10.34% as of Mar. 2026, which is 721% above its 10-year median of 1.26. GuruFocus rates BSE:BAYN with a GF Score™ of 74/100 and a GF Value™ of lei139.17 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 1,006 Drug Manufacturers companies, Bayer AG ranks worse than 68.99% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Bayer AG's annualizedNet Income for the quarter that ended in Mar. 2026 was lei57,817 Mil.
Bayer AG's average Total Assets over the quarter that ended in Mar. 2026 was lei559,311 Mil. Therefore, Bayer AG's annualized ROA % for the quarter that ended in Mar. 2026 was 10.34%.
The historical rank and industry rank for Bayer AG's ROA % or its related term are showing as below:
BSE:BAYN'
s ROA % Range Over the Past 10 Years
Min: -8.64 Med: 1.26 Max: 9.33
Current: -2.03
During the past 13 years, Bayer AG's highest ROA % was 9.33%. The lowest was -8.64%. And the median was 1.26%.
BSE:BAYN's ROA % is ranked worse than 68.99% of 1006
companies
in the Drug Manufacturers industry
Industry Median: 2.685
vs BSE:BAYN: -2.03
Bayer AG (BSE:BAYN) 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.
Bayer AG ROA % Related Terms
Bayer AG ROA % Historical Data
* Premium members only.
The historical data trend for Bayer AG'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 Drug Manufacturers - General subindustry, Bayer AG'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.
Bayer AG ROA % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Bayer AG's ROA % distribution charts can be found below:
* The bar in red indicates where Bayer AG'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.
Bayer AG (BSE:BAYN) has a ROA % of 10.34% 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 Bayer AG and its competitors. This is 721% above median its historical median of 1.26. According to the industry distribution chart, Bayer AG ranks #694 out of 1006 companies in the Drug Manufacturers industry, placing it in the top 69%.
Is Bayer AG's ROA % too high?
Bayer AG's current ROA % of 10.34% is 721% above median its 10-year median of 1.26. The Drug Manufacturers industry median ROA % is 2.69. Bayer AG's value of 10.34% is 285.1% above this industry median. Based on the distribution chart, Bayer AG ranks #694 out of 1006 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, Bayer AG has a GF Score™ of 74/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Bayer AG's ROA % compare to LLY and JNJ?
According to the Drug Manufacturers industry distribution chart, Bayer AG ranks #694 out of 1006 companies for ROA %. This places Bayer AG in the lower half of its industry. The industry median ROA % is 2.69. Bayer AG's value of 10.34% is 285.1% above this benchmark. While the company's 10-year median is 1.26 vs. the industry median of 2.69, Bayer AG 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 Drug Manufacturers company?
The median ROA % among Drug Manufacturers companies is 2.69, based on 1,006 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. Bayer AG's current ROA % of 10.34% is 285.1% 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 Bayer AG and its competitors. For the Drug Manufacturers industry, the median ROA % is 2.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bayer AG's current ROA % is 10.34%, which is 721% above median its own 10-year median of 1.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bayer AG stock overvalued right now?
Based on GuruFocus' analysis, Bayer AG (BSE:BAYN) is currently considered Significantly Overvalued. The stock's GF Value™ is lei139.17, compared to a current price of lei209.00 — trading 50.2% above its estimated fair value. The current ROA % is 10.34%, which is 721% above median its 10-year median of 1.26 and 285.1% above the Drug Manufacturers industry median of 2.69. Bayer AG's overall GF Score™ is 74/100 with 2 warning signs to review. 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 Bayer AG (BSE:BAYN), the current ROA % is 10.34% 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 Bayer AG (BSE:BAYN) Overvalued in 2026?
Based on GuruFocus' analysis, Bayer AG stock appears to be overvalued.
The current stock price of lei209.00 is trading 50.2% above its estimated GF Value™ of lei139.17.
GuruFocus considers Bayer AG to be Significantly Overvalued.
Key valuation signals for BSE:BAYN:
ROA %: 10.34% (721% above median its 10-year median of 1.26)
GF Value™: lei139.17 vs. price of lei209.00 (50.2% above fair value)
Industry Position: 285.1% above the Drug Manufacturers median (#694 of 1006)
No single metric tells the full story. See the BSE:BAYN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bayer is a German healthcare and agriculture conglomerate. Healthcare provides close to half of the company's sales and includes pharmaceutical drugs (about 38% of total sales in 2025) as well as vitamins and other consumer healthcare products (13% of total). The firm's crop science business (47% of total) sells seeds, pesticides, herbicides, and fungicides, which was expanded through its 2018 acquisition of Monsanto.
74GF Score
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