Stanley Black & Decker Inc (SWK)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -310,500 | 1,062,500 | 1,689,200 | 1,233,800 | 955,800 |
| Total stockholders’ equity | US$ in thousands | 9,056,100 | 9,712,100 | 11,590,500 | 11,059,600 | 9,136,300 |
| ROE | -3.43% | 10.94% | 14.57% | 11.16% | 10.46% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $-310,500K ÷ $9,056,100K
= -3.43%
Stanley Black & Decker Inc's Return on Equity (ROE) has exhibited fluctuating trends over the past five years. In the most recent period, as of December 31, 2023, the company reported a negative ROE of -3.43%, indicating a decline in profitability and efficiency in generating returns for shareholders. This contrasts with the positive ROE values in the preceding years, with the highest ROE observed in December 2021 at 14.57%. The ROE in December 2022 and December 2020 stood at 10.94% and 11.16% respectively, while December 2019 saw an ROE of 10.46%.
The negative ROE in 2023 may signal potential issues within the company that need attention, such as high debt levels, poor operational performance, or declining profitability. Further analysis of the company's financial statements and operations is recommended to identify the underlying factors contributing to the negative ROE and to develop strategies for improvement. It is crucial for investors and stakeholders to closely monitor these fluctuations in ROE to assess the company's financial health and performance over time.
Peer comparison
Dec 31, 2023