Hewlett Packard Enterprise Co (HPE)
Return on equity (ROE)
| Oct 31, 2024 | Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 2,579,000 | 2,025,000 | 868,000 | 3,427,000 | -322,000 |
| Total stockholders’ equity | US$ in thousands | 24,816,000 | 21,182,000 | 19,864,000 | 19,971,000 | 16,049,000 |
| ROE | 10.39% | 9.56% | 4.37% | 17.16% | -2.01% |
October 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $2,579,000K ÷ $24,816,000K
= 10.39%
Hewlett Packard Enterprise Co's return on equity (ROE) has displayed fluctuations over the past five years. In October 2024, the ROE stood at 10.39%, showing a slight increase compared to the previous year's 9.56%. This improvement suggests that the company's net income generated from shareholders' equity has risen, indicating better profitability and efficiency in utilizing shareholder funds.
In contrast, the ROE in October 2022 was 4.37%, reflecting a significant drop from the previous year's 17.16%. This decline may be attributed to various factors such as decreased net income or changes in the company's capital structure, impacting the return generated for shareholders.
Notably, in October 2021, Hewlett Packard Enterprise Co experienced a relatively high ROE of 17.16%, indicating a strong performance in leveraging shareholder equity to generate profits. This positive trend reversed a negative ROE of -2.01% in October 2020, where the company suffered from generating net losses compared to shareholders' equity.
Overall, Hewlett Packard Enterprise Co's ROE fluctuated during the period under review, with varying levels of profitability and efficiency in utilizing shareholders' equity. It is essential for investors and stakeholders to closely monitor these trends to assess the company's financial performance and management effectiveness.
Peer comparison
Oct 31, 2024