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.
Lavvi Empreendimentos Imobiliarios ROA % Related Terms
Lavvi Empreendimentos Imobiliarios ROA % Historical 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.
For the Real Estate Services subindustry, Lavvi Empreendimentos Imobiliarios'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.
Lavvi Empreendimentos Imobiliarios ROA % vs Real Estate Industry
* 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.
Lavvi Empreendimentos Imobiliarios (BSP:LAVV3) has a ROA % of 6.12% 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 Lavvi Empreendimentos Imobiliarios and its competitors. This is 41% below median its historical median of 10.42. According to the industry distribution chart, Lavvi Empreendimentos Imobiliarios ranks #135 out of 1801 companies in the Real Estate industry, placing it in the top 7.5%.
Is Lavvi Empreendimentos Imobiliarios' ROA % too high?
Lavvi Empreendimentos Imobiliarios' current ROA % of 6.12% is 41% below median its 10-year median of 10.42. The Real Estate industry median ROA % is 1.70. Lavvi Empreendimentos Imobiliarios' value of 6.12% is 260% above this industry median. Based on the distribution chart, Lavvi Empreendimentos Imobiliarios ranks #135 out of 1801 companies in the Real Estate industry, which is in the top quartile — a strong position relative to peers. Overall, Lavvi Empreendimentos Imobiliarios has a GF Score™ of 93/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lavvi Empreendimentos Imobiliarios' ROA % compare to CBRE and BEKE?
According to the Real Estate industry distribution chart, Lavvi Empreendimentos Imobiliarios ranks #135 out of 1801 companies for ROA %. This places Lavvi Empreendimentos Imobiliarios in the top 8% of its industry — outperforming the majority of peers. The industry median ROA % is 1.70. Lavvi Empreendimentos Imobiliarios' value of 6.12% is 260% above this benchmark. While the company's 10-year median is 10.42 vs. the industry median of 1.70, Lavvi Empreendimentos Imobiliarios 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 Real Estate company?
The median ROA % among Real Estate companies is 1.70, based on 1,801 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. Lavvi Empreendimentos Imobiliarios's current ROA % of 6.12% is 260% 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 Lavvi Empreendimentos Imobiliarios and its competitors. For the Real Estate industry, the median ROA % is 1.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lavvi Empreendimentos Imobiliarios's current ROA % is 6.12%, which is 41% below median its own 10-year median of 10.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lavvi Empreendimentos Imobiliarios stock overvalued right now?
Based on GuruFocus' analysis, Lavvi Empreendimentos Imobiliarios (BSP:LAVV3) is currently considered Modestly Undervalued. The stock's GF Value™ is R$16.68, compared to a current price of R$11.94 — trading 28.4% below its estimated fair value. The current ROA % is 6.12%, which is 41% below median its 10-year median of 10.42 and 260% above the Real Estate industry median of 1.70. Lavvi Empreendimentos Imobiliarios' overall GF Score™ is 93/100 with 8 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 Lavvi Empreendimentos Imobiliarios (BSP:LAVV3), the current ROA % is 6.12% 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 Lavvi Empreendimentos Imobiliarios (BSP:LAVV3) Overvalued in 2026?
Based on GuruFocus' analysis, Lavvi Empreendimentos Imobiliarios stock appears to be undervalued.
The current stock price of R$11.94 is trading 28.4% below its estimated GF Value™ of R$16.68.
GuruFocus considers Lavvi Empreendimentos Imobiliarios to be Modestly Undervalued.
Key valuation signals for BSP:LAVV3:
ROA %: 6.12% (41% below median its 10-year median of 10.42)
GF Value™: R$16.68 vs. price of R$11.94 (28.4% below fair value)
Industry Position: 260% above the Real Estate median (#135 of 1801)
No single metric tells the full story. See the BSP:LAVV3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lavvi Empreendimentos Imobiliarios Business Description
Lavvi Empreendimentos Imobiliarios SA is engaged in purchase and sale of finished properties or the build, residential and commercial, ideal land and fractions, the lease and management of real estate; the construction of real estate; the rental of own or third party properties; the break up or allotment of own land; planning, promotion, development under real estate development, the sale and purchase of housing and / or commercial units; the provision of services in matters relating to the real estate market.
93GF Score
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