Micron Technology Inc (MU)
Operating return on assets (Operating ROA)
| Aug 29, 2024 | May 30, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | Jun 1, 2023 | Mar 2, 2023 | Dec 1, 2022 | Sep 1, 2022 | Jun 2, 2022 | Mar 3, 2022 | Dec 2, 2021 | Sep 2, 2021 | Jun 3, 2021 | Mar 4, 2021 | Dec 3, 2020 | Sep 3, 2020 | May 28, 2020 | Feb 27, 2020 | Nov 28, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 1,304,000 | -1,690,000 | -4,170,000 | -6,664,000 | -5,745,000 | -2,752,000 | 2,013,000 | 6,862,000 | 9,702,000 | 11,136,000 | 9,931,000 | 8,048,000 | 6,283,000 | 4,485,000 | 3,574,000 | 3,351,000 | 3,003,000 | 2,496,000 | 2,618,000 | 4,135,000 |
| Total assets | US$ in thousands | 69,416,000 | 66,255,000 | 65,718,000 | 63,776,000 | 64,254,000 | 65,680,000 | 66,520,000 | 67,874,000 | 66,283,000 | 65,296,000 | 63,696,000 | 61,246,000 | 58,849,000 | 55,943,000 | 54,135,000 | 53,691,000 | 53,678,000 | 52,005,000 | 49,648,000 | 49,649,000 |
| Operating ROA | 1.88% | -2.55% | -6.35% | -10.45% | -8.94% | -4.19% | 3.03% | 10.11% | 14.64% | 17.05% | 15.59% | 13.14% | 10.68% | 8.02% | 6.60% | 6.24% | 5.59% | 4.80% | 5.27% | 8.33% |
August 29, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $1,304,000K ÷ $69,416,000K
= 1.88%
Operating return on assets (ROA) is a key profitability ratio that measures a company's ability to generate profits from its assets used in operations. For Micron Technology Inc, the operating ROA has fluctuated over the provided periods.
From November 2019 to November 2020, Micron's operating ROA showed a decreasing trend, hitting a low of -10.45% in November 2023. This indicates that the company's profitability relative to its assets was significantly challenged during this period.
However, there was a turnaround starting from March 2023, with the operating ROA steadily increasing to reach a peak of 17.05% in May 2022. This indicates that the company was able to enhance its operational efficiency and generate higher profits from its assets during this period.
Subsequently, there was a slight decline in profitability, with operating ROA hovering around 10% to 6% from September 2022 to May 2024. Despite this slight decrease, Micron's profitability remained relatively stable and healthy during these periods.
Overall, the analysis of Micron Technology Inc's operating ROA suggests that the company has experienced fluctuations in profitability but has shown resilience in maintaining a reasonable level of returns relative to its operational assets.
Peer comparison
Aug 29, 2024