Avient Corp (AVNT)

Return on equity (ROE)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	75,700	703,100	230,800	131,600	588,600
Total stockholders’ equity	US$ in thousands	2,319,200	2,334,500	1,774,700	1,697,100	1,051,900
ROE		3.26%	30.12%	13.01%	7.75%	55.96%

December 31, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $75,700K ÷ $2,319,200K
= 3.26%

Avient Corp's return on equity (ROE) has displayed significant fluctuations over the past five years. The ROE stood at 3.26% at the end of 2023, a notable decrease from the prior year. The drop in ROE from 2022 to 2023 might indicate that the company's profitability and efficiency in generating returns for shareholders declined during this period.

Comparing to 2021, the 2023 ROE also indicates a moderate decrease, suggesting a potential weakening in the company's ability to utilize shareholder equity to generate profits. Nevertheless, it's worth noting that the 2023 ROE was higher than the levels in 2020 and 2019, indicating at least some level of improvement in shareholder value creation compared to those years.

Overall, the downward trend in ROE from 2022 to 2023 may raise concerns about Avient Corp's operational performance and the effectiveness of its use of equity capital. Further analysis of the company's financial statements and operations would be warranted to identify underlying reasons for the changes in ROE and to assess the company's future prospects for generating returns for its shareholders.