CVS Health Corp (CVS)
Total asset turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 372,809,000 | 357,776,000 | 322,467,000 | 292,111,000 | 268,706,000 |
| Total assets | US$ in thousands | 253,215,000 | 249,728,000 | 228,275,000 | 232,999,000 | 230,715,000 |
| Total asset turnover | 1.47 | 1.43 | 1.41 | 1.25 | 1.16 |
December 31, 2024 calculation
Total asset turnover = Revenue ÷ Total assets
= $372,809,000K ÷ $253,215,000K
= 1.47
Total asset turnover measures how efficiently a company utilizes its assets to generate sales. For CVS Health Corp, the total asset turnover has shown a positive trend over the past five years. In 2020, the ratio was 1.16 and it steadily increased to 1.25 in 2021, indicating improved asset utilization. The trend continued with ratios of 1.41 in 2022, 1.43 in 2023, and reaching 1.47 in 2024. This indicates that CVS Health Corp has been able to generate more revenue for each dollar invested in assets, reflecting better efficiency in utilizing its resources. The increasing trend suggests that the company is effectively managing its assets to drive revenue growth, which can be a positive sign for investors and stakeholders.
Peer comparison
Dec 31, 2024