NVIDIA Corporation (NVDA)
Return on assets (ROA)
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Jan 26, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 29,760,000 | 4,368,000 | 9,752,000 | 4,332,000 | 2,796,000 |
| Total assets | US$ in thousands | 65,728,000 | 41,182,000 | 44,187,000 | 28,791,000 | 17,315,000 |
| ROA | 45.28% | 10.61% | 22.07% | 15.05% | 16.15% |
January 28, 2024 calculation
ROA = Net income ÷ Total assets
= $29,760,000K ÷ $65,728,000K
= 45.28%
The Return on Assets (ROA) for NVIDIA Corp has shown significant fluctuations over the past five years, ranging from 45.28% in January 2024 to 10.61% in January 2023. This indicates varying levels of efficiency in generating profits from the company's assets during this period.
The ROA peaked at 45.28% in January 2024, reflecting a high level of profitability relative to its asset base. This may suggest improved asset utilization or increased profitability from operations. However, it is important to assess whether this level of performance is sustainable in the long term.
On the other hand, the ROA was at its lowest at 10.61% in January 2023, indicating lower profitability relative to the assets employed. This could be a result of lower earnings, higher asset base, or inefficiencies in asset utilization during that period.
Overall, the fluctuations in ROA highlight the importance of monitoring and analyzing the efficiency of NVIDIA Corp in generating profits from its assets. Investors and stakeholders may want to further investigate the factors contributing to these fluctuations to assess the company's financial health and performance.
Peer comparison
Jan 28, 2024