The Gap, Inc. (GAP)
Return on assets (ROA)
| Aug 3, 2024 | May 4, 2024 | Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 767,000 | 678,000 | 502,000 | 44,000 | 108,000 | -58,000 | -202,000 | 55,000 | -379,000 | -72,000 | 256,000 | 506,000 | 753,000 | 433,000 | -665,000 | -1,083,000 | -1,038,000 | -808,000 | 351,000 | 811,000 |
| Total assets | US$ in thousands | 11,509,000 | 10,908,000 | 11,044,000 | 11,052,000 | 10,850,000 | 10,932,000 | 11,386,000 | 12,000,000 | 12,171,000 | 12,257,000 | 12,761,000 | 12,780,000 | 13,759,000 | 13,604,000 | 13,769,000 | 14,373,000 | 13,716,000 | 12,710,000 | 13,679,000 | 14,118,000 |
| ROA | 6.66% | 6.22% | 4.55% | 0.40% | 1.00% | -0.53% | -1.77% | 0.46% | -3.11% | -0.59% | 2.01% | 3.96% | 5.47% | 3.18% | -4.83% | -7.53% | -7.57% | -6.36% | 2.57% | 5.74% |
August 3, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $767,000K ÷ $11,509,000K
= 6.66%
The Return on Assets (ROA) for The Gap, Inc. has displayed significant fluctuations over the past several periods. The ROA ranged from a low of -7.57% to a high of 6.66% during the periods analyzed. A positive ROA indicates that the company is generating earnings from its assets, whereas a negative ROA suggests that the company is not effectively utilizing its assets to generate profits.
During the most recent period, the ROA stood at 6.66%, indicating a relatively efficient use of assets to generate earnings. This was an improvement from the previous period where the ROA was 6.22%. However, the company experienced fluctuations in ROA in earlier periods, with significant declines, such as -7.57% and -7.53%, indicating challenges in asset management and profitability.
Overall, The Gap, Inc. needs to focus on consistently improving its ROA to ensure efficient use of assets and sustainable profitability in the long term. Further analysis of the company's financial performance and asset management strategies may provide insights into addressing the fluctuations in ROA observed.
Peer comparison
Aug 3, 2024