The Cooper Companies Inc. (COO)
Return on assets (ROA)
| Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | Oct 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 294,200 | 385,800 | 2,944,700 | 238,400 | 466,700 |
| Total assets | US$ in thousands | 11,658,900 | 11,492,300 | 9,606,200 | 6,737,500 | 6,274,500 |
| ROA | 2.52% | 3.36% | 30.65% | 3.54% | 7.44% |
October 31, 2023 calculation
ROA = Net income ÷ Total assets
= $294,200K ÷ $11,658,900K
= 2.52%
The return on assets (ROA) for Cooper Companies, Inc. has exhibited fluctuation over the past five years. In 2023, the ROA stands at 2.52%, reflecting a decrease from the previous year's 3.36%. This decline suggests that the company's ability to generate earnings from its assets has weakened. However, it is worth noting that in 2021, the ROA substantially spiked to 30.65%, indicating a significant improvement in the company's efficiency in utilizing its assets to generate profits. The ROA then declined to 3.54% in 2020 before rebounding to 7.44% in 2019.
The fluctuation in ROA may indicate varying levels of asset utilization and profitability over the years. As such, further analysis and consideration of external factors are necessary to fully understand the factors driving these changes and their implications for the company's financial performance and efficiency.
Peer comparison
Oct 31, 2023