Sylvamo Corp (SLVM)
Return on equity (ROE)
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 253,000 | 298,000 | 297,000 | 189,000 | 118,000 | 86,000 | 121,000 | |||
| Total stockholders’ equity | US$ in thousands | 901,000 | 836,000 | 862,000 | 790,000 | 678,000 | 258,000 | 252,000 | 331,000 | 182,000 | 265,000 |
| ROE | 28.08% | 35.65% | 34.45% | 23.92% | 17.40% | 33.33% | 48.02% |
December 31, 2023 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $253,000K ÷ $901,000K
= 28.08%
Sylvamo Corp's return on equity (ROE) has been showing an improving trend over the past five quarters, with consistent growth from 17.40% in Q4 2022 to 28.08% in Q4 2023. This upward trajectory indicates that the company has been effectively utilizing its shareholders' equity to generate profits. The ROE exceeding 20% in the last two quarters is a positive sign, reflecting efficient management of assets to generate earnings relative to the equity invested. However, the variation in ROE across quarters highlights the importance of monitoring performance over time to understand the sustainability of the company's profitability. Overall, the increasing trend in ROE suggests that Sylvamo Corp is efficiently deploying its resources to create value for its shareholders.
Peer comparison
Dec 31, 2023