Power Integrations Inc (POWI)
Return on equity (ROE)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 32,234 | 37,365 | 42,870 | 52,814 | 55,735 | 64,279 | 90,447 | 131,478 | 170,851 | 188,736 | 184,806 | 170,863 | 164,413 | 150,991 | 123,777 | 95,088 | 71,176 | 202,189 | 204,468 | 202,121 |
| Total stockholders’ equity | US$ in thousands | 749,772 | 749,213 | 730,742 | 738,178 | 752,241 | 785,057 | 767,929 | 762,302 | 755,216 | 750,282 | 710,245 | 820,573 | 912,032 | 908,356 | 870,344 | 853,823 | 810,411 | 779,797 | 759,472 | 743,830 |
| ROE | 4.30% | 4.99% | 5.87% | 7.15% | 7.41% | 8.19% | 11.78% | 17.25% | 22.62% | 25.16% | 26.02% | 20.82% | 18.03% | 16.62% | 14.22% | 11.14% | 8.78% | 25.93% | 26.92% | 27.17% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $32,234K ÷ $749,772K
= 4.30%
Power Integrations Inc's return on equity (ROE) has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The ROE started at a strong level of 27.17% in March 2020 and maintained relatively high levels until December 2020, where it dropped to 8.78%. Subsequently, ROE gradually improved, reaching 26.02% by June 2022, before starting to decline again.
From a high of 26.02% in June 2022, the ROE for Power Integrations Inc decreased consistently to 4.30% by December 2024. This downward trend suggests a decline in the company's ability to generate profits from shareholders' equity during this period. Factors affecting the ROE could include changes in net income, equity levels, or financial leverage.
It is essential for stakeholders and investors to monitor these fluctuations in ROE closely as it provides insights into the company's profitability and efficiency in utilizing shareholders' equity. Further analysis and investigation into the company's financial performance and strategic decisions may be necessary to understand the reasons behind the changing ROE trend.
Peer comparison
Dec 31, 2024