Chevron Corp (CVX)
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 | 17,661,000 | 16,681,000 | 18,720,000 | 20,296,000 | 21,369,000 | 25,463,000 | 30,168,000 | 35,780,000 | 35,465,000 | 34,167,000 | 29,047,000 | 20,507,000 | 15,625,000 | 9,905,000 | 3,587,000 | -7,765,000 | -5,543,000 | -11,488,000 | -8,701,000 | 3,874,000 |
| Total stockholders’ equity | US$ in thousands | 152,318,000 | 156,202,000 | 159,233,000 | 160,625,000 | 160,957,000 | 165,265,000 | 158,325,000 | 159,449,000 | 191,856,000 | 188,226,000 | 153,554,000 | 170,891,000 | 167,378,000 | 164,876,000 | 161,472,000 | 161,117,000 | 162,209,000 | 165,341,000 | 167,954,000 | 177,945,000 |
| ROE | 11.59% | 10.68% | 11.76% | 12.64% | 13.28% | 15.41% | 19.05% | 22.44% | 18.49% | 18.15% | 18.92% | 12.00% | 9.34% | 6.01% | 2.22% | -4.82% | -3.42% | -6.95% | -5.18% | 2.18% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $17,661,000K ÷ $152,318,000K
= 11.59%
Chevron Corp's return on equity (ROE) has exhibited volatility over the last few years, with some periods showing negative returns. From March 31, 2020, to December 31, 2020, the ROE was consistently negative, indicating that the company was not efficiently utilizing shareholders' equity to generate profits during that time. However, the trend improved in the following periods, with the ROE turning positive in March 31, 2021, and showing a steady increase through June 30, 2024.
The most significant improvement in ROE was witnessed from March 31, 2023, to December 31, 2023, where the return reached 22.44% before slightly decreasing to 13.28% by the end of December 31, 2023. The ROE remained above 10% in the subsequent periods, suggesting that Chevron was effectively generating profits relative to shareholders' equity during these quarters.
Overall, Chevron Corp's ROE showed fluctuations but displayed a positive trend towards the latter part of the observed period. This improvement in ROE indicates enhanced efficiency in utilizing equity to generate profits, which is a positive signal for investors and stakeholders.
Peer comparison
Dec 31, 2024