GATX Corporation (GATX)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 284,200 | 259,200 | 155,900 | 143,100 | 151,300 |
| Total stockholders’ equity | US$ in thousands | 2,438,900 | 2,273,000 | 2,029,600 | 2,019,200 | 1,957,400 |
| ROE | 11.65% | 11.40% | 7.68% | 7.09% | 7.73% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $284,200K ÷ $2,438,900K
= 11.65%
The return on equity (ROE) for GATX Corporation has shown some fluctuations over the years, based on the data provided.
- As of December 31, 2020, the ROE was 7.73%, which indicates that for every dollar of shareholder equity, the company generated a return of 7.73% during that year.
- By December 31, 2021, the ROE had slightly decreased to 7.09%, suggesting a slight decline in the company's ability to generate profits relative to its equity base.
- However, the ROE increased to 7.68% by December 31, 2022, showing a marginal improvement in the company's profitability.
- The most significant uptick in ROE occurred by December 31, 2023, reaching 11.40%, indicating a substantial improvement in the company's profitability and efficiency in utilizing its equity.
- By December 31, 2024, the ROE further increased to 11.65%, suggesting a continued positive trend in the company's financial performance and ability to generate returns for its shareholders.
Overall, GATX Corporation's ROE has depicted fluctuations but generally shows an upward trend, with the company improving its profitability and efficiency in recent years. This increase in ROE is a positive indicator of the company's ability to generate higher returns for its shareholders relative to their equity investment.
Peer comparison
Dec 31, 2024