Adobe Systems Incorporated (ADBE)
Return on total capital
| Nov 29, 2024 | Aug 30, 2024 | May 31, 2024 | Mar 1, 2024 | Dec 1, 2023 | Sep 1, 2023 | Jun 2, 2023 | Mar 3, 2023 | Dec 2, 2022 | Sep 2, 2022 | Jun 3, 2022 | Mar 4, 2022 | Dec 3, 2021 | Sep 3, 2021 | Jun 4, 2021 | Mar 5, 2021 | Nov 27, 2020 | Aug 28, 2020 | May 29, 2020 | Feb 28, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 6,915,000 | 6,794,000 | 6,572,000 | 6,277,000 | 6,912,000 | 6,621,000 | 6,335,000 | 6,179,000 | 6,120,000 | 6,071,000 | 6,032,000 | 5,926,000 | 5,818,000 | 5,546,000 | 5,189,000 | 4,803,000 | 4,292,000 | 4,062,000 | 3,849,000 | 3,572,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 14,105,000 | 14,545,000 | 14,843,000 | 15,460,000 | 16,518,000 | 15,776,000 | 14,838,000 | 14,206,000 | 14,051,000 | 14,373,000 | 13,985,000 | 13,775,000 | 14,797,000 | 14,414,000 | 13,852,000 | 13,546,000 | 13,264,000 | 11,713,000 | 10,881,000 | 10,465,000 |
| Return on total capital | 49.03% | 46.71% | 44.28% | 40.60% | 41.85% | 41.97% | 42.69% | 43.50% | 43.56% | 42.24% | 43.13% | 43.02% | 39.32% | 38.48% | 37.46% | 35.46% | 32.36% | 34.68% | 35.37% | 34.13% |
November 29, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $6,915,000K ÷ ($—K + $14,105,000K)
= 49.03%
The return on total capital for Adobe Systems Incorporated has been consistently strong over the period from February 28, 2020, to November 29, 2024. The trend shows an increasing pattern, starting at 34.13% on February 28, 2020, and reaching 49.03% on November 29, 2024. This indicates that Adobe has been effectively utilizing its capital to generate returns for its shareholders. The most recent return on total capital of 49.03% as of November 29, 2024, suggests that the company is efficiently deploying its resources to generate profits. Overall, the upward trend in the return on total capital reflects Adobe's ability to generate strong returns on its invested capital over time.
Peer comparison
Nov 29, 2024