DT Midstream Inc (DTM)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Net income | US$ in thousands | 384,000 | 370,000 | 307,000 |
| Total stockholders’ equity | US$ in thousands | 4,139,000 | 4,007,000 | 3,872,000 |
| ROE | 9.28% | 9.23% | 7.93% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $384,000K ÷ $4,139,000K
= 9.28%
DT Midstream Inc's return on equity (ROE) has shown a generally increasing trend over the past four years, with the ROE improving from 7.66% in 2020 to 9.28% in 2023. This indicates that the company has been more efficient in generating profits from its shareholders' equity.
The 2023 ROE of 9.28% is higher than the previous year's ROE of 9.23%, illustrating a continued positive trend in the company's profitability. This improvement suggests that DT Midstream Inc has been effectively utilizing its equity to generate returns for its shareholders.
Overall, the consistent improvement in ROE reflects positively on the company's ability to generate profits relative to the equity invested by shareholders. However, it is essential to consider other factors and ratios alongside ROE to obtain a comprehensive understanding of DT Midstream Inc's financial performance and efficiency.
Peer comparison
Dec 31, 2023