PPG Industries Inc (PPG)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,270,000 | 1,026,000 | 1,439,000 | 1,059,000 | 1,243,000 |
| Total stockholders’ equity | US$ in thousands | 7,832,000 | 6,592,000 | 6,286,000 | 5,689,000 | 5,284,000 |
| ROE | 16.22% | 15.56% | 22.89% | 18.61% | 23.52% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $1,270,000K ÷ $7,832,000K
= 16.22%
PPG Industries, Inc. has displayed varying levels of return on equity (ROE) over the past five years. The ROE for the most recent year (2023) stands at 16.22%, showing a slight increase from the previous year's 15.56%. However, when compared to the higher ROE figures of 22.89% in 2021, 18.61% in 2020, and 23.52% in 2019, the current ROE appears to be relatively moderate.
The fluctuations in ROE could indicate changing efficiency in generating profits from shareholders' equity. It is important for investors and stakeholders to further investigate the factors contributing to the variations in ROE over the years, such as changes in the company's profitability, asset management, leverage, or overall financial performance. This analysis will help in assessing the company's capability to deliver returns to its shareholders and in making informed investment decisions.
Peer comparison
Dec 31, 2023