Adobe Systems Incorporated (ADBE)
Return on equity (ROE)
| Dec 1, 2023 | Dec 2, 2022 | Dec 3, 2021 | Nov 27, 2020 | Nov 29, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 5,428,000 | 4,756,000 | 4,822,000 | 5,260,000 | 2,951,000 |
| Total stockholders’ equity | US$ in thousands | 16,518,000 | 14,051,000 | 14,797,000 | 13,264,000 | 10,530,000 |
| ROE | 32.86% | 33.85% | 32.59% | 39.66% | 28.02% |
December 1, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $5,428,000K ÷ $16,518,000K
= 32.86%
The return on equity (ROE) of Adobe Inc has shown relatively high and stable performance over the past five years, with values ranging from 28.03% to 39.66%. This metric indicates the company's ability to generate profits from shareholders' equity. The slightly decreasing trend from 2020 to 2021, followed by a small increase in 2022 and a small decrease in 2023, may suggest that Adobe's efficiency in using shareholders' equity to generate profits has been relatively stable. The ROE values consistently being above 30% implies that Adobe has been effectively utilizing its shareholders' equity to generate strong returns, showcasing the company's ability to efficiently deploy investors' capital and create value.
Peer comparison
Dec 1, 2023