Bread Financial HoldingsBSP:A1LL34 54 ROA % is 3.15% as of Mar. 2026, which is 42% above its 10-year median of 2.22. GuruFocus rates BSP:A1LL34 with a GF Score™ of 54/100 and a GF Value™ of R$74.02 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 545 Credit Services companies, Bread Financial Holdings ranks better than 59.63% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Bread Financial Holdings's annualizedNet Income for the quarter that ended in Mar. 2026 was R$3,786 Mil.
Bread Financial Holdings's average Total Assets over the quarter that ended in Mar. 2026 was R$120,152 Mil. Therefore, Bread Financial Holdings's annualized ROA % for the quarter that ended in Mar. 2026 was 3.15%.
The historical rank and industry rank for Bread Financial Holdings's ROA % or its related term are showing as below:
BSP:A1LL34'
s ROA % Range Over the Past 10 Years
Min: 0.87 Med: 2.22 Max: 3.62
Current: 2.53
During the past 13 years, Bread Financial Holdings's highest ROA % was 3.62%. The lowest was 0.87%. And the median was 2.22%.
BSP:A1LL34's ROA % is ranked better than 59.63% of 545
companies
in the Credit Services industry
Industry Median: 1.92
vs BSP:A1LL34: 2.53
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.
* 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 Credit Services subindustry, Bread Financial Holdings'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.
Bread Financial Holdings ROA % vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Bread Financial Holdings's ROA % distribution charts can be found below:
* The bar in red indicates where Bread Financial Holdings'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.
Bread Financial Holdings (BSP:A1LL34) has a ROA % of 3.15% 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 Bread Financial Holdings and its competitors. This is 42% above median its historical median of 2.22. Over the past decade, Bread Financial Holdings' ROA % has ranged from 0.87 to 3.62. According to the industry distribution chart, Bread Financial Holdings ranks #220 out of 545 companies in the Credit Services industry, placing it in the top 40.4%.
Is Bread Financial Holdings' ROA % too high?
Bread Financial Holdings' current ROA % of 3.15% is 42% above median its 10-year median of 2.22. Over the past 10 years, this metric has ranged from a low of 0.87 to a high of 3.62. The Credit Services industry median ROA % is 1.92. Bread Financial Holdings' value of 3.15% is 64.1% above this industry median. Based on the distribution chart, Bread Financial Holdings ranks #220 out of 545 companies in the Credit Services industry, which is above the industry midpoint. Overall, Bread Financial Holdings has a GF Score™ of 54/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Bread Financial Holdings' ROA % compare to SLM and NNI?
According to the Credit Services industry distribution chart, Bread Financial Holdings ranks #220 out of 545 companies for ROA %. This puts Bread Financial Holdings in the upper half of its industry. The industry median ROA % is 1.92. Bread Financial Holdings' value of 3.15% is 64.1% above this benchmark. Historically, Bread Financial Holdings' own ROA % has ranged from 0.87 to 3.62 over the past decade. While the company's 10-year median is 2.22 vs. the industry median of 1.92, Bread Financial Holdings 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 Credit Services company?
The median ROA % among Credit Services companies is 1.92, based on 545 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. Bread Financial Holdings's current ROA % of 3.15% is 64.1% 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 Bread Financial Holdings and its competitors. For the Credit Services industry, the median ROA % is 1.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bread Financial Holdings's current ROA % is 3.15%, which is 42% above median its own 10-year median of 2.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bread Financial Holdings stock overvalued right now?
Based on GuruFocus' analysis, Bread Financial Holdings (BSP:A1LL34) is currently considered Significantly Overvalued. The stock's GF Value™ is R$74.02, compared to a current price of R$137.76 — trading 86.1% above its estimated fair value. The current ROA % is 3.15%, which is 42% above median its 10-year median of 2.22 and 64.1% above the Credit Services industry median of 1.92. Bread Financial Holdings' overall GF Score™ is 54/100 with 5 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 Bread Financial Holdings (BSP:A1LL34), the current ROA % is 3.15% 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 Bread Financial Holdings (BSP:A1LL34) Overvalued in 2026?
Based on GuruFocus' analysis, Bread Financial Holdings stock appears to be overvalued.
The current stock price of R$137.76 is trading 86.1% above its estimated GF Value™ of R$74.02.
GuruFocus considers Bread Financial Holdings to be Significantly Overvalued.
Key valuation signals for BSP:A1LL34:
ROA %: 3.15% (42% above median its 10-year median of 2.22)
GF Value™: R$74.02 vs. price of R$137.76 (86.1% above fair value)
Industry Position: 64.1% above the Credit Services median (#220 of 545)
No single metric tells the full story. See the BSP:A1LL34 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Formed by a combination of JCPenney's credit card processing unit and The Limited's credit card bank business, Bread Financial is a provider of private-label and co-branded credit cards, loyalty programs, and marketing services. The company's most financially significant unit is its credit card business that partners with retailers to jointly market Bread's credit cards to their customers. The company also retains a minority interest in spun-off LoyaltyOne, which operates the largest airline miles loyalty program in Canada and offers marketing services to grocery chains in Europe and Asia.
54GF Score
Get the complete analysis for BSP:A1LL34
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BSP:A1LL34 has been successfully added to your 
