Texas Instruments Incorporated (TXN)

Return on equity (ROE)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Net income	US$ in thousands	4,799,000	6,510,000	8,749,000	7,769,000	5,595,000
Total stockholders’ equity	US$ in thousands	16,903,000	16,897,000	14,577,000	13,333,000	9,187,000
ROE		28.39%	38.53%	60.02%	58.27%	60.90%

December 31, 2024 calculation

ROE = Net income ÷ Total stockholders’ equity
= $4,799,000K ÷ $16,903,000K
= 28.39%

Texas Instruments Incorporated's return on equity (ROE) has shown a positive trend over the past few years, starting at 60.90% in 2020 and gradually declining to 28.39% by the end of 2024. The company's ROE peaked in 2020 and has since experienced a downward trajectory. This downward trend may indicate challenges in efficiently generating profits from shareholders' equity or in managing the company's assets to produce higher returns. It is essential for investors and stakeholders to closely monitor this metric to understand the company's performance and its ability to create value from equity investments.