Target Corporation (TGT)
Return on equity (ROE)
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 4,138,000 | 2,780,000 | 6,946,000 | 4,368,000 | 3,281,000 |
| Total stockholders’ equity | US$ in thousands | 13,432,000 | 11,232,000 | 12,827,000 | 14,440,000 | 11,833,000 |
| ROE | 30.81% | 24.75% | 54.15% | 30.25% | 27.73% |
February 3, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $4,138,000K ÷ $13,432,000K
= 30.81%
Target Corporation's return on equity (ROE) has fluctuated over the past five years. In fiscal year 2022, the ROE was 54.15%, a significant increase from the previous year's 30.25%. This substantial improvement indicates that the company generated more profit relative to its shareholders' equity. However, in fiscal year 2023, there was a decline in ROE to 24.75%, which may raise concerns about the company's profitability and efficiency in utilizing its equity.
Fiscal year 2024 saw Target Corporation's ROE increase again to 30.81%, indicating a recovery from the previous year's decline. This improvement suggests that the company may have implemented strategies to enhance its profitability and generate higher returns for its shareholders.
Overall, Target Corporation's ROE performance has shown variability in recent years, with fluctuations in profitability and efficiency in utilizing equity. Further analysis of the company's financial statements and operational activities would be beneficial in understanding the factors influencing its ROE trends.
Peer comparison
Feb 3, 2024