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Hour LoopHOUR -0.24%77 ROA % is 13.66% as of Mar. 2026, which is 310% above its 10-year median of 3.33. GuruFocus rates HOUR with a GF Score™ of 77/100 and a GF Value™ of $1.84 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 1,130 Retail - Cyclical companies, Hour Loop ranks better than 77.43% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Hour Loop's annualizedNet Income for the quarter that ended in Mar. 2026 was $3.3 Mil.
Hour Loop's average Total Assets over the quarter that ended in Mar. 2026 was $24.1 Mil. Therefore, Hour Loop's annualized ROA % for the quarter that ended in Mar. 2026 was 13.66%.
The historical rank and industry rank for Hour Loop's ROA % or its related term are showing as below:
HOUR'
s ROA % Range Over the Past 10 Years
Min: -10.73 Med: 3.33 Max: 52.51
Current: 7.69
During the past 7 years, Hour Loop's highest ROA % was 52.51%. The lowest was -10.73%. And the median was 3.33%.
HOUR's ROA % is ranked better than 77.43% of 1130
companies
in the Retail - Cyclical industry
Industry Median: 2.725
vs HOUR: 7.69
Hour Loop (NAS:HOUR) 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.
Hour Loop ROA % Related Terms
Hour Loop ROA % Historical Data
* Premium members only.
The historical data trend for Hour Loop'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 Internet Retail subindustry, Hour Loop'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.
Hour Loop ROA % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Hour Loop's ROA % distribution charts can be found below:
* The bar in red indicates where Hour Loop'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.
Hour Loop (HOUR) has a ROA % of 13.66% 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 Hour Loop and its competitors. This is 310% above median its historical median of 3.33. According to the industry distribution chart, Hour Loop ranks #255 out of 1130 companies in the Retail - Cyclical industry, placing it in the top 22.6%.
Is Hour Loop's ROA % too high?
Hour Loop's current ROA % of 13.66% is 310% above median its 10-year median of 3.33. The Retail - Cyclical industry median ROA % is 2.73. Hour Loop's value of 13.66% is 401.3% above this industry median. Based on the distribution chart, Hour Loop ranks #255 out of 1130 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Hour Loop has a GF Score™ of 77/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hour Loop's ROA % compare to LITB and AAQL?
According to the Retail - Cyclical industry distribution chart, Hour Loop ranks #255 out of 1130 companies for ROA %. This places Hour Loop in the top 23% of its industry — outperforming the majority of peers. The industry median ROA % is 2.73. Hour Loop's value of 13.66% is 401.3% above this benchmark. While the company's 10-year median is 3.33 vs. the industry median of 2.73, Hour Loop 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 - Cyclical company?
The median ROA % among Retail - Cyclical companies is 2.73, based on 1,130 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. Hour Loop's current ROA % of 13.66% is 401.3% 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 Hour Loop and its competitors. For the Retail - Cyclical industry, the median ROA % is 2.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hour Loop's current ROA % is 13.66%, which is 310% above median its own 10-year median of 3.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hour Loop stock overvalued right now?
Based on GuruFocus' analysis, Hour Loop (HOUR) is currently considered Modestly Overvalued. The stock's GF Value™ is $1.84, compared to a current price of $2.05 — trading 11.4% above its estimated fair value. The current ROA % is 13.66%, which is 310% above median its 10-year median of 3.33 and 401.3% above the Retail - Cyclical industry median of 2.73. Hour Loop's overall GF Score™ is 77/100 with 3 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 Hour Loop (HOUR), the current ROA % is 13.66% 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 Hour Loop (HOUR) Overvalued in 2026?
Based on GuruFocus' analysis, Hour Loop stock appears to be overvalued.
The current stock price of $2.05 is trading 11.4% above its estimated GF Value™ of $1.84.
GuruFocus considers Hour Loop to be Modestly Overvalued.
Key valuation signals for HOUR:
ROA %: 13.66% (310% above median its 10-year median of 3.33)
GF Value™: $1.84 vs. price of $2.05 (11.4% above fair value)
Industry Position: 401.3% above the Retail - Cyclical median (#255 of 1130)
No single metric tells the full story. See the HOUR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hour Loop Inc is a technology-enabled consumer products company that uses machine learning and data analytics to design, develop, market, and sell products. Hour Loop predominantly operates through online retail channels such as Amazon, Walmart, and Hourloop.com. The company, as an Internet marketplace seller, sells products in multiple categories, including home/garden decor, toys, kitchenware, apparel, and electronics. It has only one segment, which is online retail (e-commerce).
77GF Score
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