NVIDIA Corporation (NVDA)
Operating return on assets (Operating ROA)
| Jan 28, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Oct 25, 2020 | Jul 26, 2020 | Apr 26, 2020 | Jan 26, 2020 | Oct 27, 2019 | Jul 28, 2019 | Apr 28, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 32,971,000 | 20,613,000 | 10,797,000 | 4,496,000 | 4,224,000 | 5,938,000 | 8,008,000 | 9,953,000 | 10,041,000 | 8,578,000 | 7,305,000 | 5,512,000 | 4,532,000 | 4,015,000 | 3,544,000 | 3,464,000 | 2,846,000 | 2,150,000 | 2,281,000 | 2,867,000 |
| Total assets | US$ in thousands | 65,728,000 | 54,148,000 | 49,555,000 | 44,460,000 | 41,182,000 | 40,488,000 | 43,476,000 | 45,212,000 | 44,187,000 | 40,632,000 | 38,650,000 | 30,796,000 | 28,791,000 | 26,881,000 | 25,180,000 | 23,254,000 | 17,315,000 | 15,810,000 | 14,775,000 | 14,021,000 |
| Operating ROA | 50.16% | 38.07% | 21.79% | 10.11% | 10.26% | 14.67% | 18.42% | 22.01% | 22.72% | 21.11% | 18.90% | 17.90% | 15.74% | 14.94% | 14.07% | 14.90% | 16.44% | 13.60% | 15.44% | 20.45% |
January 28, 2024 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $32,971,000K ÷ $65,728,000K
= 50.16%
Operating ROA is a key profitability metric that indicates how well a company generates operating profits from its assets. Looking at NVIDIA Corp's operating ROA over the past eight quarters, we can observe fluctuations in performance. In Q4 2024, the operating ROA stood at 50.16%, representing a significant increase compared to the previous quarters. This surge suggests that NVIDIA efficiently utilized its assets to generate operating income.
However, in the preceding quarters, the operating ROA varied widely, with values ranging from as low as 10.11% in Q1 2024 to as high as 25.01% in Q1 2023. The trend indicates some inconsistency in performance, which may be influenced by factors such as changes in sales, cost management, or asset utilization efficiency.
Overall, NVIDIA Corp's operating ROA has shown volatility, indicating fluctuations in the company's ability to generate operating income relative to its assets. Investors and analysts may want to delve deeper into the company's financials and operations to understand the drivers behind these variations and assess the sustainability of the profitability levels.
Peer comparison
Jan 28, 2024