Seagate Technology PLC (STX)
Return on total capital
| Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 1,865,000 | 1,573,000 | 1,233,000 | 780,000 | 134,000 | -315,000 | -488,000 | -336,000 | 56,000 | 775,000 | 1,427,000 | 1,914,000 | 2,084,000 | 2,071,000 | 1,848,000 | 1,513,000 | 1,208,000 | 1,189,000 | 1,223,000 | 1,261,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | -829,000 | -1,079,000 | -1,300,000 | -1,491,000 | -1,889,000 | -1,814,000 | -1,702,000 | -1,199,000 | -1,004,000 | -470,000 | -351,000 | 109,000 | 421,000 | 526,000 | 601,000 | 631,000 | 484,000 | 990,000 | 1,821,000 | 1,787,000 |
| Return on total capital | — | — | — | — | — | — | — | — | — | — | — | 1,755.96% | 495.01% | 393.73% | 307.49% | 239.78% | 249.59% | 120.10% | 67.16% | 70.57% |
March 31, 2025 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,865,000K ÷ ($—K + $-829,000K)
= —
The analysis of Seagate Technology PLC's return on total capital (ROTC) over the specified periods indicates a notable trend of rapid growth followed by a cessation of reporting data. Initially, at the end of June 2020, the ROTC stood at approximately 70.57%, reflecting the company's capacity to generate substantial returns relative to its total capital. By September 2020, this figure decreased slightly to 67.16%, suggesting a minor dip in efficiency or profitability in that quarter.
However, subsequent data points show a significant and accelerating increase in ROTC, culminating in a remarkable rise by March 2022, where the metric reached approximately 495.01%. This dramatic escalation indicates that the company greatly improved its ability to generate income from its total capital base during this period, potentially due to operational efficiencies, favorable market conditions, or strategic initiatives.
The most prominent observation is the surge observed at the end of June 2022, where the ROTC sharply escalated to approximately 1,755.96%. Such an extraordinary increase signifies an extraordinary enhancement in the company's return generation capabilities; however, it also raises considerations about the sustainability of such a high figure. The lack of data subsequent to this date suggests either a reporting hiatus or significant changes in measurement or accounting methods, thus precluding further trend analysis beyond that point.
Overall, the data reflects a period of exceptional growth in Seagate's return on total capital up to mid-2022, which may have been driven by major operational, strategic, or structural shifts. The abrupt discontinuation of data thereafter underscores the need for cautious interpretation, as the extraordinary figures could be influenced by extraordinary circumstances, accounting changes, or other factors that merit further investigation.
Peer comparison
Mar 31, 2025