Sensata Technologies Holding NV (ST)
Return on total capital
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 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 144,932 | -135,030 | 188,211 | 155,454 | 168,702 | 543,714 | 657,667 | 707,975 | 618,773 | 607,407 | 527,813 | 536,183 | 593,208 | 591,093 | 604,124 | 438,065 | 366,326 | 331,728 | 334,505 | 478,682 |
Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Total stockholders’ equity | US$ in thousands | 2,890,440 | 2,957,770 | 3,011,550 | 2,974,830 | 2,996,280 | 3,225,180 | 3,209,770 | 3,193,490 | 3,110,810 | 3,069,320 | 3,023,580 | 3,072,320 | 3,094,730 | 3,009,620 | 2,913,450 | 2,790,640 | 2,705,490 | 2,574,640 | 2,493,400 | 2,537,800 |
Return on total capital | 5.01% | -4.57% | 6.25% | 5.23% | 5.63% | 16.86% | 20.49% | 22.17% | 19.89% | 19.79% | 17.46% | 17.45% | 19.17% | 19.64% | 20.74% | 15.70% | 13.54% | 12.88% | 13.42% | 18.86% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $144,932K ÷ ($—K + $2,890,440K)
= 5.01%
Sensata Technologies Holding NV's return on total capital has shown some fluctuations over the past few years, with values ranging from a high of 22.17% in March 2023 to a low of -4.57% in September 2024. The return on total capital peaked at 20.74% in June 2021 and has generally remained above 10%, indicating the company's ability to generate profits relative to the total capital invested in the business.
However, it is worth noting that there was a significant decrease in the return on total capital in the last quarter of 2024, dropping to 5.01% from 5.63% in the previous quarter. This decline may raise concerns about the company's efficiency in utilizing its total capital effectively to generate returns for its investors.
Overall, while Sensata Technologies Holding NV has demonstrated solid performance in terms of return on total capital during most periods, investors and analysts may need to monitor the trend closely to assess whether the recent decrease is a temporary anomaly or a potential long-term issue.
Peer comparison
Dec 31, 2024