Arista Networks (ANET)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 2,087,320 | 1,352,450 | 840,854 | 634,557 | 859,867 |
| Total assets | US$ in thousands | 9,946,810 | 6,775,410 | 5,734,430 | 4,738,920 | 4,185,290 |
| ROA | 20.98% | 19.96% | 14.66% | 13.39% | 20.54% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $2,087,320K ÷ $9,946,810K
= 20.98%
The return on assets (ROA) for Arista Networks Inc has shown a positive trend over the past five years. The ROA increased from 20.53% in 2019 to 20.98% in 2023, indicating an improvement in the company's ability to generate profit relative to its assets. This upward trend suggests that Arista Networks has been effectively utilizing its assets to generate profits for its shareholders.
Additionally, the ROA values for Arista Networks consistently remained at relatively high levels compared to the industry average, indicating the company's efficiency in managing its assets to generate earnings. Overall, the trend in ROA for Arista Networks reflects positively on the company's operational effectiveness and profitability over the analyzed period.
Peer comparison
Dec 31, 2023