DHA:BATBC's ROA % is ranked worse than 59.18% of 49
companies
in the Tobacco Products industry
Industry Median: 6.68
vs DHA:BATBC: 4.14
British American Tobacco Bangladesh Co (DHA:BATBC) 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.
British American Tobacco Bangladesh Co ROA % Related Terms
British American Tobacco Bangladesh Co 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.
British American Tobacco Bangladesh Co ROA % Chart
British American Tobacco Bangladesh Co Annual Data
For the Tobacco subindustry, British American Tobacco Bangladesh Co'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.
British American Tobacco Bangladesh Co ROA % vs Tobacco Products 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.
British American Tobacco Bangladesh Co (DHA:BATBC) has a ROA % of 7.19% 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 British American Tobacco Bangladesh Co and its competitors. This is 62% below median its historical median of 19.12. Over the past decade, British American Tobacco Bangladesh Co's ROA % has ranged from 4.14 to 23.35. According to the industry distribution chart, British American Tobacco Bangladesh Co ranks #29 out of 49 companies in the Tobacco Products industry, placing it in the top 59.2%.
Is British American Tobacco Bangladesh Co's ROA % too high?
British American Tobacco Bangladesh Co's current ROA % of 7.19% is 62% below median its 10-year median of 19.12. Over the past 10 years, this metric has ranged from a low of 4.14 to a high of 23.35. The Tobacco Products industry median ROA % is 6.68. British American Tobacco Bangladesh Co's value of 7.19% is 7.6% above this industry median. Based on the distribution chart, British American Tobacco Bangladesh Co ranks #29 out of 49 companies in the Tobacco Products industry, which is below the industry midpoint. Overall, British American Tobacco Bangladesh Co has a GF Score™ of 85/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does British American Tobacco Bangladesh Co's ROA % compare to PM and MO?
According to the Tobacco Products industry distribution chart, British American Tobacco Bangladesh Co ranks #29 out of 49 companies for ROA %. This places British American Tobacco Bangladesh Co in the lower half of its industry. The industry median ROA % is 6.68. British American Tobacco Bangladesh Co's value of 7.19% is 7.6% above this benchmark. Historically, British American Tobacco Bangladesh Co's own ROA % has ranged from 4.14 to 23.35 over the past decade. While the company's 10-year median is 19.12 vs. the industry median of 6.68, British American Tobacco Bangladesh Co 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 Tobacco Products company?
The median ROA % among Tobacco Products companies is 6.68, based on 49 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. British American Tobacco Bangladesh Co's current ROA % of 7.19% is 7.6% 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 British American Tobacco Bangladesh Co and its competitors. For the Tobacco Products industry, the median ROA % is 6.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. British American Tobacco Bangladesh Co's current ROA % is 7.19%, which is 62% below median its own 10-year median of 19.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is British American Tobacco Bangladesh Co stock overvalued right now?
Based on GuruFocus' analysis, British American Tobacco Bangladesh Co (DHA:BATBC) is currently considered Possible Value Trap. The stock's GF Value™ is BDT309.31, compared to a current price of BDT217.50 — trading 29.7% below its estimated fair value. The current ROA % is 7.19%, which is 62% below median its 10-year median of 19.12 and 7.6% above the Tobacco Products industry median of 6.68. British American Tobacco Bangladesh Co's overall GF Score™ is 85/100 with 9 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 British American Tobacco Bangladesh Co (DHA:BATBC), the current ROA % is 7.19% 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 British American Tobacco Bangladesh Co (DHA:BATBC) Overvalued in 2026?
Based on GuruFocus' analysis, British American Tobacco Bangladesh Co stock appears to be undervalued.
The current stock price of BDT217.50 is trading 29.7% below its estimated GF Value™ of BDT309.31.
GuruFocus considers British American Tobacco Bangladesh Co to be Possible Value Trap.
Key valuation signals for DHA:BATBC:
ROA %: 7.19% (62% below median its 10-year median of 19.12)
GF Value™: BDT309.31 vs. price of BDT217.50 (29.7% below fair value)
Industry Position: 7.6% above the Tobacco Products median (#29 of 49)
No single metric tells the full story. See the DHA:BATBC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
British American Tobacco Bangladesh Co Business Description
British American Tobacco Bangladesh Co Ltd is engaged in the manufacturing and marketing of cigarettes in Bangladesh. It manufactures and markets brands including Benson & Hedges, John Player Gold Leaf, John Player Series, Capstan, Lucky Strike, Star, Royals, Derby, Pilot, and Hollywood.
85GF Score
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ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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