Dollar Tree Inc (DLTR)

Return on equity (ROE)

Jan 31, 2025 Feb 3, 2024 Jan 31, 2024 Jan 31, 2023 Jan 28, 2023
Net income US$ in thousands -3,030,100 -998,400 -998,400 1,615,400 1,615,400
Total stockholders’ equity US$ in thousands 3,977,400 7,313,100 7,313,100 8,751,500 8,751,500
ROE -76.18% -13.65% -13.65% 18.46% 18.46%

January 31, 2025 calculation

ROE = Net income ÷ Total stockholders’ equity
= $-3,030,100K ÷ $3,977,400K
= -76.18%

The return on equity (ROE) for Dollar Tree Inc has shown some fluctuations over the years. In January 2023 and 2024, the ROE stood at 18.46%, indicating a decent return on shareholders' equity. However, by January 2025, the ROE took a significant downturn to -76.18%, reflecting a substantial decrease in profitability relative to the shareholders' equity. This sharp decline in ROE could be a cause for concern as it suggests a decrease in the company's ability to generate profits from the shareholders' investments. Further analysis of the factors contributing to this decline in ROE would be necessary to understand the underlying reasons for the poor performance.


See also:

Dollar Tree Inc Return on Equity (ROE)