Dollar TreeDLTR +5.24%75 ROA % is 10.18% as of Apr. 2026, which is 71% above its 10-year median of 5.97. GuruFocus rates DLTR with a GF Score™ of 75/100 and a GF Value™ of $145.91 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 312 Retail - Defensive companies, Dollar Tree ranks better than 84.94% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Dollar Tree's annualizedNet Income for the quarter that ended in Apr. 2026 was $1,389 Mil.
Dollar Tree's average Total Assets over the quarter that ended in Apr. 2026 was $13,645 Mil. Therefore, Dollar Tree's annualized ROA % for the quarter that ended in Apr. 2026 was 10.18%.
The historical rank and industry rank for Dollar Tree's ROA % or its related term are showing as below:
DLTR'
s ROA % Range Over the Past 10 Years
Min: -14.9 Med: 5.97 Max: 10.7
Current: 8.86
During the past 13 years, Dollar Tree's highest ROA % was 10.70%. The lowest was -14.90%. And the median was 5.97%.
DLTR's ROA % is ranked better than 84.94% of 312
companies
in the Retail - Defensive industry
Industry Median: 3.545
vs DLTR: 8.86
Dollar Tree (NAS:DLTR) 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 (Apr. 2026) net income data. The Revenue data used here is four times the quarterly (Apr. 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.
Dollar Tree ROA % Related Terms
Dollar Tree ROA % Historical Data
* Premium members only.
The historical data trend for Dollar Tree'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 Discount Stores subindustry, Dollar Tree'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.
Dollar Tree ROA % vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Dollar Tree's ROA % distribution charts can be found below:
* The bar in red indicates where Dollar Tree'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 (Apr. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Dollar Tree (DLTR) has a ROA % of 10.18% as of Apr. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Dollar Tree and its competitors. This is 71% above median its historical median of 5.97. According to the industry distribution chart, Dollar Tree ranks #47 out of 312 companies in the Retail - Defensive industry, placing it in the top 15.1%.
Is Dollar Tree's ROA % too high?
Dollar Tree's current ROA % of 10.18% is 71% above median its 10-year median of 5.97. The Retail - Defensive industry median ROA % is 3.55. Dollar Tree's value of 10.18% is 187.2% above this industry median. Based on the distribution chart, Dollar Tree ranks #47 out of 312 companies in the Retail - Defensive industry, which is in the top quartile — a strong position relative to peers. Overall, Dollar Tree has a GF Score™ of 75/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Dollar Tree's ROA % compare to DG and BJ?
According to the Retail - Defensive industry distribution chart, Dollar Tree ranks #47 out of 312 companies for ROA %. This places Dollar Tree in the top 15% of its industry — outperforming the majority of peers. The industry median ROA % is 3.55. Dollar Tree's value of 10.18% is 187.2% above this benchmark. While the company's 10-year median is 5.97 vs. the industry median of 3.55, Dollar Tree 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 Retail - Defensive company?
The median ROA % among Retail - Defensive companies is 3.55, based on 312 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. Dollar Tree's current ROA % of 10.18% is 187.2% 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 Dollar Tree and its competitors. For the Retail - Defensive industry, the median ROA % is 3.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dollar Tree's current ROA % is 10.18%, which is 71% above median its own 10-year median of 5.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dollar Tree stock overvalued right now?
Based on GuruFocus' analysis, Dollar Tree (DLTR) is currently considered Modestly Undervalued. The stock's GF Value™ is $145.91, compared to a current price of $119.35 — trading 18.2% below its estimated fair value. The current ROA % is 10.18%, which is 71% above median its 10-year median of 5.97 and 187.2% above the Retail - Defensive industry median of 3.55. Dollar Tree's overall GF Score™ is 75/100 with 1 warning sign 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 Dollar Tree (DLTR), the current ROA % is 10.18% as of Apr. 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 Dollar Tree (DLTR) Overvalued in 2026?
Based on GuruFocus' analysis, Dollar Tree stock appears to be undervalued.
The current stock price of $119.35 is trading 18.2% below its estimated GF Value™ of $145.91.
GuruFocus considers Dollar Tree to be Modestly Undervalued.
Key valuation signals for DLTR:
ROA %: 10.18% (71% above median its 10-year median of 5.97)
GF Value™: $145.91 vs. price of $119.35 (18.2% below fair value)
Industry Position: 187.2% above the Retail - Defensive median (#47 of 312)
No single metric tells the full story. See the DLTR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1986, Dollar Tree operates almost 9,000 small-box discount stores across the United States and Canada, offering roughly 85% of its merchandise under $2. The chain targets value-conscious suburban and urban shoppers with a mix of consumables (49% of sales), variety (45%), and seasonal goods (6%). In fiscal 2025, Dollar Tree generated over $19 billion in sales, through its multi-price strategy, higher-margin discretionary assortments, and private-label products that account for nearly one-third of sales.
75GF Score
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