Nucor Corp (NUE)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 2,027,000 | 4,524,800 | 7,607,340 | 6,827,460 | 721,470 |
| Total assets | US$ in thousands | 33,940,000 | 35,340,500 | 32,479,200 | 25,823,100 | 20,125,400 |
| ROA | 5.97% | 12.80% | 23.42% | 26.44% | 3.58% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $2,027,000K ÷ $33,940,000K
= 5.97%
The return on assets (ROA) of Nucor Corp has demonstrated a fluctuating trend over the past five years. The ROA stood at 3.58% as of December 31, 2020, indicating that the company generated $0.036 in profit for every dollar of assets. However, in the following years, Nucor Corp's ROA experienced significant improvements, reaching 26.44% by the end of 2021 and further increasing to 23.42% by the end of 2022.
In 2023, the ROA decreased to 12.80%, representing a decline in profitability relative to the previous year. By the end of 2024, Nucor Corp's ROA further dropped to 5.97%, signaling a decrease in the efficiency of the company in generating profits from its assets.
Overall, the analysis of Nucor Corp's ROA suggests that the company experienced exceptional profitability in 2021 and 2022, but the performance declined in the subsequent years. Further investigation into the underlying factors driving these fluctuations would be necessary to assess the company's asset utilization and profitability effectively.
Peer comparison
Dec 31, 2024