Heath (Samuel) & SonsLSE:HSM 31 ROA % is 7.11% as of Sep. 2025, which is 1% above its 10-year median of 7.01. GuruFocus rates LSE:HSM with a GF Score™ of 31/100 and a GF Value™ of £3.45 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,776 Construction companies, Heath (Samuel) & Sons ranks better than 76.69% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Heath (Samuel) & Sons's annualizedNet Income for the quarter that ended in Sep. 2025 was £1.08 Mil.
Heath (Samuel) & Sons's average Total Assets over the quarter that ended in Sep. 2025 was £15.25 Mil. Therefore, Heath (Samuel) & Sons's annualized ROA % for the quarter that ended in Sep. 2025 was 7.11%.
The historical rank and industry rank for Heath (Samuel) & Sons's ROA % or its related term are showing as below:
LSE:HSM'
s ROA % Range Over the Past 10 Years
Min: 2.79 Med: 7.01 Max: 10.32
Current: 6.72
During the past 13 years, Heath (Samuel) & Sons's highest ROA % was 10.32%. The lowest was 2.79%. And the median was 7.01%.
LSE:HSM's ROA % is ranked better than 76.69% of 1776
companies
in the Construction industry
Industry Median: 2.795
vs LSE:HSM: 6.72
Heath (Samuel) & Sons (LSE:HSM) 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 two times the semi-annual (Sep. 2025) net income data. The Revenue data used here is two times the semi-annual (Sep. 2025) 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 Building Products & Equipment subindustry, Heath (Samuel) & Sons'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.
Heath (Samuel) & Sons ROA % vs Construction Industry
For the Construction industry and Industrials sector, Heath (Samuel) & Sons's ROA % distribution charts can be found below:
* The bar in red indicates where Heath (Samuel) & Sons'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 two times the semi-annual (Sep. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Heath (Samuel) & Sons (LSE:HSM) has a ROA % of 7.11% as of Sep. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Heath (Samuel) & Sons and its competitors. This is near median its historical median of 7.01. Over the past decade, Heath (Samuel) & Sons' ROA % has ranged from 2.79 to 10.32. According to the industry distribution chart, Heath (Samuel) & Sons ranks #414 out of 1776 companies in the Construction industry, placing it in the top 23.3%.
Is Heath (Samuel) & Sons' ROA % too high?
Heath (Samuel) & Sons' current ROA % of 7.11% is near median its 10-year median of 7.01. Over the past 10 years, this metric has ranged from a low of 2.79 to a high of 10.32. The Construction industry median ROA % is 2.80. Heath (Samuel) & Sons' value of 7.11% is 154.4% above this industry median. Based on the distribution chart, Heath (Samuel) & Sons ranks #414 out of 1776 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Heath (Samuel) & Sons has a GF Score™ of 31/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Heath (Samuel) & Sons' ROA % compare to TT and JCI?
According to the Construction industry distribution chart, Heath (Samuel) & Sons ranks #414 out of 1776 companies for ROA %. This places Heath (Samuel) & Sons in the top 23% of its industry — outperforming the majority of peers. The industry median ROA % is 2.80. Heath (Samuel) & Sons' value of 7.11% is 154.4% above this benchmark. Historically, Heath (Samuel) & Sons' own ROA % has ranged from 2.79 to 10.32 over the past decade. While the company's 10-year median is 7.01 vs. the industry median of 2.80, Heath (Samuel) & Sons 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 Construction company?
The median ROA % among Construction companies is 2.80, based on 1,776 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. Heath (Samuel) & Sons's current ROA % of 7.11% is 154.4% 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 Heath (Samuel) & Sons and its competitors. For the Construction industry, the median ROA % is 2.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Heath (Samuel) & Sons's current ROA % is 7.11%, which is near median its own 10-year median of 7.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Heath (Samuel) & Sons stock overvalued right now?
Based on GuruFocus' analysis, Heath (Samuel) & Sons (LSE:HSM) is currently considered Modestly Undervalued. The stock's GF Value™ is £3.45, compared to a current price of £3.00 — trading 13% below its estimated fair value. The current ROA % is 7.11%, which is near median its 10-year median of 7.01 and 154.4% above the Construction industry median of 2.80. Heath (Samuel) & Sons' overall GF Score™ is 31/100 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 Heath (Samuel) & Sons (LSE:HSM), the current ROA % is 7.11% as of Sep. 2025. 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 Heath (Samuel) & Sons (LSE:HSM) Overvalued in 2026?
Based on GuruFocus' analysis, Heath (Samuel) & Sons stock appears to be undervalued.
The current stock price of £3.00 is trading 13% below its estimated GF Value™ of £3.45.
GuruFocus considers Heath (Samuel) & Sons to be Modestly Undervalued.
Key valuation signals for LSE:HSM:
ROA %: 7.11% (near median its 10-year median of 7.01)
GF Value™: £3.45 vs. price of £3.00 (13% below fair value)
Industry Position: 154.4% above the Construction median (#414 of 1776)
No single metric tells the full story. See the LSE:HSM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Heath (Samuel) & Sons PLC is engaged in the manufacturing and marketing of hardware and bathroom field products. The company's product collection includes Landmark Industrial, Landmark Pure, Style Moderne, Fairfield, Antique, Xenon, Novis, and Curzon. It has one business segment, which is the manufacture and marketing of products in the builder's hardware and bathroom field. Geographically, it derives a majority of its revenue from the United Kingdom.
31GF Score
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