Bath & Body WorksWBO:LBRA -4.01%62 ROA % is 14.63% as of Apr. 2026, which is 9% above its 10-year median of 13.48. GuruFocus rates WBO:LBRA with a GF Score™ of 62/100 and a GF Value™ of €29.16 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 1,129 Retail - Cyclical companies, Bath & Body Works ranks better than 91.94% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Bath & Body Works's annualizedNet Income for the quarter that ended in Apr. 2026 was €626 Mil.
Bath & Body Works's average Total Assets over the quarter that ended in Apr. 2026 was €4,279 Mil. Therefore, Bath & Body Works's annualized ROA % for the quarter that ended in Apr. 2026 was 14.63%.
The historical rank and industry rank for Bath & Body Works's ROA % or its related term are showing as below:
WBO:LBRA'
s ROA % Range Over the Past 10 Years
Min: -4.02 Med: 13.48 Max: 16.03
Current: 14.71
During the past 13 years, Bath & Body Works's highest ROA % was 16.03%. The lowest was -4.02%. And the median was 13.48%.
WBO:LBRA's ROA % is ranked better than 91.94% of 1129
companies
in the Retail - Cyclical industry
Industry Median: 2.72
vs WBO:LBRA: 14.71
Bath & Body Works (WBO:LBRA) 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.
Bath & Body Works ROA % Related Terms
Bath & Body Works ROA % Historical Data
* Premium members only.
The historical data trend for Bath & Body Works'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 Specialty Retail subindustry, Bath & Body Works'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.
Bath & Body Works ROA % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Bath & Body Works's ROA % distribution charts can be found below:
* The bar in red indicates where Bath & Body Works'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.
Bath & Body Works (WBO:LBRA) has a ROA % of 14.63% 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 Bath & Body Works and its competitors. This is near median its historical median of 13.48. According to the industry distribution chart, Bath & Body Works ranks #91 out of 1129 companies in the Retail - Cyclical industry, placing it in the top 8.1%.
Is Bath & Body Works' ROA % too high?
Bath & Body Works' current ROA % of 14.63% is near median its 10-year median of 13.48. The Retail - Cyclical industry median ROA % is 2.72. Bath & Body Works' value of 14.63% is 437.9% above this industry median. Based on the distribution chart, Bath & Body Works ranks #91 out of 1129 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Bath & Body Works has a GF Score™ of 62/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Bath & Body Works' ROA % compare to MNSO and RH?
According to the Retail - Cyclical industry distribution chart, Bath & Body Works ranks #91 out of 1129 companies for ROA %. This places Bath & Body Works in the top 8% of its industry — outperforming the majority of peers. The industry median ROA % is 2.72. Bath & Body Works' value of 14.63% is 437.9% above this benchmark. While the company's 10-year median is 13.48 vs. the industry median of 2.72, Bath & Body Works 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 2.72, based on 1,129 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. Bath & Body Works's current ROA % of 14.63% is 437.9% 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 Bath & Body Works and its competitors. For the Retail - Cyclical industry, the median ROA % is 2.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bath & Body Works's current ROA % is 14.63%, which is near median its own 10-year median of 13.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bath & Body Works stock overvalued right now?
Based on GuruFocus' analysis, Bath & Body Works (WBO:LBRA) is currently considered Significantly Undervalued. The stock's GF Value™ is €29.16, compared to a current price of €18.79 — trading 35.6% below its estimated fair value. The current ROA % is 14.63%, which is near median its 10-year median of 13.48 and 437.9% above the Retail - Cyclical industry median of 2.72. Bath & Body Works' overall GF Score™ is 62/100 with 4 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 Bath & Body Works (WBO:LBRA), the current ROA % is 14.63% 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 Bath & Body Works (WBO:LBRA) Overvalued in 2026?
Based on GuruFocus' analysis, Bath & Body Works stock appears to be undervalued.
The current stock price of €18.79 is trading 35.6% below its estimated GF Value™ of €29.16.
GuruFocus considers Bath & Body Works to be Significantly Undervalued.
Key valuation signals for WBO:LBRA:
ROA %: 14.63% (near median its 10-year median of 13.48)
GF Value™: €29.16 vs. price of €18.79 (35.6% below fair value)
Industry Position: 437.9% above the Retail - Cyclical median (#91 of 1129)
No single metric tells the full story. See the WBO:LBRA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bath & Body Works is a specialty home fragrance and fragrant body care retailer operating under the Bath & Body Works, C.O. Bigelow, and White Barn brands. The company generates most of its business in North America, with just 4% of sales from international markets in fiscal 2025. For fiscal 2025, 77% of sales stemmed from the brick-and-mortar network of more than 1,900 retail stores, similar to 2024 levels, as consumer shopping patterns remained normal. Future growth is expected from store upgrades, digital and international channels, as well as adjacent category expansions like men's and lip.
62GF Score
Get the complete analysis for WBO:LBRA
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
WBO:LBRA has been successfully added to your 
