Pfizer Inc (PFE)

Return on equity (ROE)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	8,031,000	2,119,000	31,372,000	21,979,000	7,020,000
Total stockholders’ equity	US$ in thousands	88,203,000	89,014,000	95,661,000	77,201,000	63,238,000
ROE		9.11%	2.38%	32.79%	28.47%	11.10%

December 31, 2024 calculation

ROE = Net income ÷ Total stockholders’ equity
= $8,031,000K ÷ $88,203,000K
= 9.11%

Pfizer Inc's return on equity (ROE) has displayed fluctuations over the past five years. The ROE increased from 11.10% in December 2020 to 28.47% in December 2021, indicating improved profitability in the company's operations. Subsequently, the ROE further rose to 32.79% by December 2022, reflecting continued growth and efficiency in generating profits relative to shareholders' equity.

However, there was a significant decline in ROE in December 2023, dropping to 2.38%. This sharp decrease may raise concerns about Pfizer's ability to generate returns for its equity holders efficiently during that period. The company experienced a rebound in ROE in December 2024, reaching 9.11%, but it remained below the levels seen in the previous years.

Overall, Pfizer's ROE performance has been mixed, showcasing periods of strong profitability and moments of decline. Investors and analysts should closely monitor future ROE trends to assess the company's ability to generate returns on shareholders' equity effectively in the evolving business landscape.