Qualcomm Incorporated (QCOM)

Return on equity (ROE)

		Sep 30, 2024	Jun 23, 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	Dec 31, 2019
Net income (ttm)	US$ in thousands	10,142,000	8,712,000	8,386,000	7,764,000	7,232,000	8,615,000	10,542,000	11,772,000	12,936,000	12,861,000	11,158,000	9,986,000	9,042,000	9,204,000	8,022,000	6,728,000	5,198,000	2,744,000	4,048,000	4,243,000
Total stockholders’ equity	US$ in thousands	26,274,000	24,670,000	24,469,000	23,058,000	21,581,000	20,670,000	19,698,000	18,810,000	18,013,000	16,048,000	13,328,000	11,333,000	9,950,000	8,177,000	7,424,000	7,380,000	6,077,000	3,306,000	3,045,000	4,513,000
ROE		38.60%	35.31%	34.27%	33.67%	33.51%	41.68%	53.52%	62.58%	71.81%	80.14%	83.72%	88.11%	90.87%	112.56%	108.05%	91.17%	85.54%	83.00%	132.94%	94.02%

September 30, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $10,142,000K ÷ $26,274,000K
= 38.60%

Qualcomm Incorporated's return on equity (ROE) has shown fluctuating trends over the past several quarters, ranging from 33.51% to 112.56%. The ROE peaked at 112.56% in the first quarter of 2021 before gradually declining in subsequent quarters. Despite this, the ROE remained above 80% in most quarters, indicating the company's ability to generate significant returns from its shareholders' equity.

The sudden spike in ROE in the third quarter of 2021 to 112.56% could be attributed to a period of exceptional profitability or financial performance. However, it is important to note that such extraordinary results may not be sustainable in the long term.

Overall, Qualcomm's ROE has generally been strong, reflecting its efficient utilization of equity capital to generate profits for shareholders. Investors may view the company positively based on its ability to consistently deliver high returns on equity, although it is essential to assess other financial metrics and industry factors for a comprehensive evaluation of Qualcomm's financial health and performance.