Gilead Sciences Inc (GILD)
Return on equity (ROE)
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 5,664,000 | 5,875,000 | 5,484,000 | 5,583,000 | 4,592,000 | 3,334,000 | 4,137,000 | 4,515,000 | 6,225,000 | 7,394,000 | 5,162,000 | 301,000 | 123,000 | 1,268,000 | -257,000 | 4,962,000 | 5,386,000 | 2,693,000 | 5,955,000 | 5,892,000 |
| Total stockholders’ equity | US$ in thousands | 22,833,000 | 22,314,000 | 21,158,000 | 20,997,000 | 21,240,000 | 21,081,000 | 20,236,000 | 19,927,000 | 21,069,000 | 21,470,000 | 19,703,000 | 18,952,000 | 18,202,000 | 17,445,000 | 18,027,000 | 22,067,000 | 22,525,000 | 20,604,000 | 22,616,000 | 21,951,000 |
| ROE | 24.81% | 26.33% | 25.92% | 26.59% | 21.62% | 15.82% | 20.44% | 22.66% | 29.55% | 34.44% | 26.20% | 1.59% | 0.68% | 7.27% | -1.43% | 22.49% | 23.91% | 13.07% | 26.33% | 26.84% |
December 31, 2023 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $5,664,000K ÷ $22,833,000K
= 24.81%
The return on equity (ROE) of Gilead Sciences, Inc. has shown a consistent upward trend over the past eight quarters, reflecting the company's improving profitability and efficiency in generating returns for its shareholders. The ROE has ranged from a low of 15.82% in Q3 2022 to a high of 26.59% in Q1 2023. This indicates that for every dollar of equity invested by shareholders, the company is generating between 15.82 cents and 26.59 cents in net income.
The upward trend in ROE suggests that Gilead Sciences, Inc. is effectively utilizing its assets and shareholders' equity to generate profits. This could be attributed to efficient cost management, strong revenue growth, effective capital allocation, or a combination of these factors. The company's ability to consistently improve its ROE is a positive sign for investors, as it indicates a strong financial performance and a potential for higher returns on their investment in the company.
Peer comparison
Dec 31, 2023