And yet Bilbo soon shows signs of ingenuity. He picks up the key to the trolls' secret cave, thereby providing himself with a sword from the cache inside the cave. Although Gandalf must rescue him and the dwarves from the Goblins in Chapter 4, in the very next chapter, Bilbo finds the ring of invisibility and proves the equal of Gollum in the exchange of riddles. It is important to note that Bilbo resists the impulse to kill Gollum in Chapter 5 because he thinks it would be unfair: Gollum is unarmed, while Bilbo is invisible and armed. Bilbo is thus depicted as not only clever, but ethical. This is reflected in the dwarves' growing respect for him in Chapter 6.
In Chapter 8, when Bilbo uses his sword to free himself from the spider web, he is described as feeling differently about himself, an indication that he is growing in self-awareness. At this point, he names his sword, as many legendary heroes have done, and it is clear that he is developing qualities of heroism and leadership. In Chapter 9, he displays both bravery and intelligence in devising a plan for the escape of the dwarves to Esgaroth; Gandalf has departed and their fate is in Bilbo's hands. Finally, in Chapter 12, it is Bilbo alone who descends into Smaug the dragon's lair — having first been the one to discover how to use Thorin's key to open the door to the Lonely Mountain — and steals a cup and the Arkenstone from the hoard. He exhibits extreme bravery because he really does not want to confront Smaug, but he goes anyway. He also discerns Smaug's vulnerable spot, where he will eventually be shot by Bard's arrow.
After the Battle of Five Armies, however, Bilbo returns to his hobbit hole and to a life very much like the one he left — with some important differences. He has more money, having been given a share of Smaug's hoard, and his life after he returns home is rather more eccentric than before, a much more Tookish life.
