DaVita HealthCare Partners Inc (DVA)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 936,342 | 691,535 | 560,400 | 978,450 | 773,642 |
| Total stockholders’ equity | US$ in thousands | 121,122 | 1,056,100 | 712,326 | 755,508 | 1,383,570 |
| ROE | 773.06% | 65.48% | 78.67% | 129.51% | 55.92% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $936,342K ÷ $121,122K
= 773.06%
DaVita HealthCare Partners Inc's return on equity (ROE) has displayed significant fluctuations over the years, ranging from 55.92% on December 31, 2020, to a striking 773.06% on December 31, 2024. This indicates a high level of variability in the company's profitability and efficiency in generating returns for shareholders relative to its equity base.
The ROE surged notably from 2021 to 2024, peaking in 2024 at 773.06%, which may suggest aggressive leveraging or exceptional performance in utilizing equity to generate profits. However, such a high ROE figure could also indicate potential financial risks, such as high debt levels or unsustainable growth strategies.
It is essential for stakeholders to delve deeper into the underlying factors behind these dramatic fluctuations in ROE to assess the sustainability and quality of DaVita HealthCare Partners Inc's earnings and operations. Further analysis of the company's financial health, operational efficiency, and strategic decisions is necessary to gain a more comprehensive understanding of its performance.
Peer comparison
Dec 31, 2024