Avery Dennison Corp (AVY)
Return on equity (ROE)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 704,900 | 674,000 | 630,600 | 554,200 | 503,000 | 482,800 | 566,000 | 680,100 | 757,100 | 816,900 | 759,500 | 728,800 | 740,100 | 748,900 | 735,300 | 631,200 | 555,900 | 526,900 | 521,000 | 584,700 |
| Total stockholders’ equity | US$ in thousands | 2,318,900 | 2,393,900 | 2,287,100 | 2,204,000 | 2,127,900 | 2,063,600 | 2,015,200 | 2,042,900 | 2,032,200 | 2,007,300 | 1,936,900 | 1,932,500 | 1,924,400 | 1,799,200 | 1,703,600 | 1,581,900 | 1,499,900 | 1,334,600 | 1,213,900 | 1,173,400 |
| ROE | 30.40% | 28.15% | 27.57% | 25.15% | 23.64% | 23.40% | 28.09% | 33.29% | 37.26% | 40.70% | 39.21% | 37.71% | 38.46% | 41.62% | 43.16% | 39.90% | 37.06% | 39.48% | 42.92% | 49.83% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $704,900K ÷ $2,318,900K
= 30.40%
Avery Dennison Corp's return on equity (ROE) has shown fluctuating trends over the period from March 31, 2020, to December 31, 2024. The ROE started at a strong level of 49.83% in March 2020 and gradually decreased to 23.64% by December 2023. This decline in ROE indicates a potential reduction in the company's profitability relative to its shareholder equity.
However, there was a slight improvement in ROE to 25.15% by March 31, 2024, followed by further increases in the subsequent quarters, reaching a level of 30.40% by December 31, 2024. This upward trend suggests a positive performance in generating returns for shareholders compared to the equity invested in the company.
Overall, Avery Dennison Corp's ROE has displayed variability over the period under review, reflecting changes in profitability and efficiency in utilizing shareholder funds. It is essential to monitor future ROE figures to assess the company's ability to generate profits from shareholders' investments.
Peer comparison
Dec 31, 2024