The Mosaic Company (MOS)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,164,900 | 3,582,800 | 1,630,600 | 666,100 | -1,067,400 |
| Total stockholders’ equity | US$ in thousands | 12,290,200 | 12,054,600 | 10,604,100 | 9,581,400 | 9,185,500 |
| ROE | 9.48% | 29.72% | 15.38% | 6.95% | -11.62% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $1,164,900K ÷ $12,290,200K
= 9.48%
Mosaic Company's return on equity (ROE) has seen fluctuations over the past five years.
In 2023, the ROE decreased to 9.48% from the previous year's level of 29.72%. This significant decline indicates a decrease in the company's ability to generate profit from shareholders' equity compared to the prior year.
The highest ROE over the period was in 2022, reaching 29.72%. This suggests that in 2022, Mosaic Company was able to efficiently utilize shareholder equity to generate profit, indicating strong financial performance.
In 2021, the ROE was 15.38%, reflecting a moderate level of return relative to the previous year. This indicates a somewhat weaker performance compared to 2022 but still better than the following years.
In 2020, the ROE was 6.95%, which was lower than the previous year, showing a decline in profitability and efficiency in generating returns for shareholders.
The ROE in 2019 was negative at -11.62%, indicating that the company experienced a loss for the year. Negative ROE can be a red flag for investors as it signals that the company's net income was not sufficient to cover the shareholder's equity.
Overall, Mosaic Company's ROE has been volatile, ranging from negative returns to a high point in 2022. Investors and analysts should closely monitor the company's financial performance and management efficiency to understand the factors driving these fluctuations in ROE.
Peer comparison
Dec 31, 2023