Dover Corporation (DOV)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 2,697,130 | 1,056,830 | 1,065,380 | 1,123,820 | 683,451 |
| Total stockholders’ equity | US$ in thousands | 6,954,000 | 5,106,600 | 4,286,370 | 4,189,530 | 3,385,770 |
| ROE | 38.79% | 20.70% | 24.86% | 26.82% | 20.19% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $2,697,130K ÷ $6,954,000K
= 38.79%
The return on equity (ROE) for Dover Corporation has shown variability over the past five years. In 2020, the ROE was at 20.19%, indicating that for every dollar of equity invested, the company generated a return of 20.19%. The following year, the ROE increased to 26.82%, signifying improved efficiency in utilizing shareholder equity. In 2022, the ROE slightly declined to 24.86%, still reflecting a strong performance relative to the previous years.
However, the ROE dropped to 20.70% in 2023, indicating a decrease in profitability compared to the prior year. Nonetheless, in 2024, the ROE surged to 38.79%, reaching its highest level in the provided data series. This substantial increase suggests a significant improvement in Dover Corporation's ability to generate profits from the equity investments made by shareholders.
Overall, Dover Corporation's ROE has demonstrated fluctuations but generally shows a positive trend, with a notable increase in 2024. It is essential for investors and stakeholders to closely monitor these fluctuations in ROE to assess the company's performance and profitability over time.
Peer comparison
Dec 31, 2024