Medtronic PLC (MDT)
Return on equity (ROE)
| Apr 26, 2024 | Jan 26, 2024 | Oct 27, 2023 | Jul 28, 2023 | Apr 28, 2023 | Jan 27, 2023 | Oct 28, 2022 | Jul 29, 2022 | Apr 29, 2022 | Jan 28, 2022 | Oct 29, 2021 | Jul 30, 2021 | Apr 30, 2021 | Jan 29, 2021 | Oct 30, 2020 | Jul 31, 2020 | Apr 24, 2020 | Jan 24, 2020 | Oct 25, 2019 | Jul 26, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 3,676,000 | 4,201,000 | 4,101,000 | 3,619,000 | 3,757,000 | 4,063,000 | 4,321,000 | 5,205,000 | 5,039,000 | 4,914,000 | 4,704,000 | 3,882,000 | 3,606,000 | 2,892,000 | 3,537,000 | 4,412,000 | 4,789,000 | 5,315,000 | 4,669,000 | 4,420,000 |
| Total stockholders’ equity | US$ in thousands | 50,214,000 | 51,792,000 | 51,460,000 | 51,178,000 | 51,483,000 | 51,441,000 | 51,880,000 | 52,672,000 | 52,551,000 | 52,542,000 | 51,991,000 | 51,486,000 | 51,428,000 | 50,758,000 | 50,164,000 | 50,296,000 | 50,737,000 | 51,808,000 | 50,578,000 | 50,363,000 |
| ROE | 7.32% | 8.11% | 7.97% | 7.07% | 7.30% | 7.90% | 8.33% | 9.88% | 9.59% | 9.35% | 9.05% | 7.54% | 7.01% | 5.70% | 7.05% | 8.77% | 9.44% | 10.26% | 9.23% | 8.78% |
April 26, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $3,676,000K ÷ $50,214,000K
= 7.32%
Return on equity (ROE) is an important financial metric that measures a company's profitability by evaluating how efficiently it generates profits from its shareholders' equity. Looking at the historical ROE data for Medtronic PLC, we observe fluctuations in the ratio over time.
The ROE for Medtronic has ranged from 5.70% to 10.26% over the past few years. The company's ROE has been relatively stable, with the highest ROE recorded at 10.26% in January 2020 and the lowest at 5.70% in April 2021. This suggests that Medtronic has been able to maintain a decent level of profitability relative to its equity base.
It is worth noting that the ROE was consistently above 7% throughout the period, indicating that Medtronic has been effective in utilizing its shareholders' equity to generate profits. The slight fluctuations in ROE may be attributed to various factors such as changes in operating performance, financial leverage, or asset management efficiency.
Overall, the historical ROE trend suggests that Medtronic PLC has been able to maintain a reasonable level of profitability in relation to its shareholders' equity, demonstrating the company's ability to generate returns for its investors.
Peer comparison
Apr 26, 2024