Elevance Health Inc (ELV)
Return on total capital
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 8,741,000 | 8,887,000 | 9,330,000 | 8,980,000 | 8,642,000 | 8,823,000 | 8,682,000 | 8,883,000 | 8,732,000 | 7,922,000 | 6,305,000 | 7,105,000 | 7,022,000 | 7,508,000 | 8,595,000 | 6,882,000 | 6,731,000 | 6,174,000 | 5,930,000 | 5,989,000 |
| Long-term debt | US$ in thousands | 23,246,000 | 24,045,000 | 24,859,000 | 25,201,000 | 22,349,000 | 21,258,000 | 21,165,000 | 19,883,000 | 21,157,000 | 21,761,000 | 22,217,000 | 22,534,000 | 19,335,000 | 19,094,000 | 19,873,000 | 19,005,000 | 17,787,000 | 18,820,000 | 17,436,000 | 17,396,000 |
| Total stockholders’ equity | US$ in thousands | 39,306,000 | 38,423,000 | 38,205,000 | 37,356,000 | 36,243,000 | 36,055,000 | 35,812,000 | 35,975,000 | 36,095,000 | 35,808,000 | 34,968,000 | 33,853,000 | 33,199,000 | 33,921,000 | 34,455,000 | 31,693,000 | 31,728,000 | 31,332,000 | 30,793,000 | 29,998,000 |
| Return on total capital | 13.97% | 14.23% | 14.79% | 14.35% | 14.75% | 15.39% | 15.24% | 15.90% | 15.25% | 13.76% | 11.03% | 12.60% | 13.37% | 14.16% | 15.82% | 13.57% | 13.59% | 12.31% | 12.30% | 12.64% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $8,741,000K ÷ ($23,246,000K + $39,306,000K)
= 13.97%
Elevance Health Inc has consistently maintained a relatively stable Return on Total Capital over the past eight quarters, ranging from 13.57% to 15.03%. This indicates the company's ability to generate profits from both debt and equity investments to support its operations. Despite some fluctuations in performance, the company has managed to stay within a relatively narrow range, reflecting a consistent utilization of its capital resources to generate returns for its stakeholders. It's important for the company to monitor and sustain this metric to ensure efficient capital allocation and continued financial health.
Peer comparison
Dec 31, 2023