Lockheed Martin Corporation (LMT)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 5,336,000 | 6,920,000 | 5,732,000 | 6,315,000 | 6,833,000 |
| Total stockholders’ equity | US$ in thousands | 6,333,000 | 6,835,000 | 9,266,000 | 10,959,000 | 6,015,000 |
| ROE | 84.26% | 101.24% | 61.86% | 57.62% | 113.60% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $5,336,000K ÷ $6,333,000K
= 84.26%
Lockheed Martin Corporation's return on equity (ROE) shows variation over the years as per the provided data. In 2020, the ROE stood at an impressive 113.60%, indicating that the company generated $1.136 in profit for every dollar of shareholder equity. However, there was a notable decline in ROE in 2021 to 57.62%, suggesting a lower profitability relative to the previous year.
Subsequently, there was a slight improvement in Lockheed Martin's ROE in 2022 to 61.86%, although it remained below the 2020 level. The ROE experienced a significant rebound in 2023, reaching 101.24%, indicating a strong recovery in profitability and efficiency in generating returns for shareholders.
In 2024, the ROE for Lockheed Martin was 84.26%, reflecting a solid performance in utilizing shareholder equity to generate profits. Overall, the trend in ROE for Lockheed Martin Corporation demonstrates fluctuations but generally indicates the company's ability to efficiently generate returns for its shareholders, with a particularly strong performance in certain years.