Westinghouse Air Brake Technologies Corp (WAB)
Return on equity (ROE)
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 1,056,000 | 1,059,000 | 1,016,000 | 918,000 | 815,000 | 758,000 | 678,000 | 653,000 | 633,000 | 665,000 | 636,000 | 595,000 | 558,000 | 455,500 | 452,600 | 414,400 | 414,000 | 462,200 | 425,200 | 442,500 |
| Total stockholders’ equity | US$ in thousands | 10,091,000 | 10,250,000 | 10,477,000 | 10,462,000 | 10,487,000 | 10,326,000 | 10,188,000 | 10,085,000 | 10,102,000 | 9,881,000 | 9,905,000 | 10,049,000 | 10,201,000 | 10,156,600 | 10,294,400 | 10,144,100 | 10,123,000 | 10,016,900 | 9,845,600 | 9,761,800 |
| ROE | 10.46% | 10.33% | 9.70% | 8.77% | 7.77% | 7.34% | 6.65% | 6.47% | 6.27% | 6.73% | 6.42% | 5.92% | 5.47% | 4.48% | 4.40% | 4.09% | 4.09% | 4.61% | 4.32% | 4.53% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $1,056,000K ÷ $10,091,000K
= 10.46%
Westinghouse Air Brake Technologies Corp's return on equity (ROE) has shown a consistent improvement over the reporting periods provided. The ROE increased from 4.53% as of March 31, 2020, to 10.46% as of December 31, 2024. This upward trend in ROE indicates that the company has been effectively utilizing shareholder equity to generate profits.
The company's ROE experienced fluctuations during the observation period but generally demonstrated a positive growth trajectory. The highest ROE was recorded as 10.46% as of December 31, 2024, reflecting a significant improvement in profitability and efficiency in utilizing equity.
Overall, the increasing trend in ROE signifies that Westinghouse Air Brake Technologies Corp is becoming more efficient in generating profits relative to shareholders' equity, which could be attributed to improved operational performance, effective cost management, or strategic investments. Investors and stakeholders may view this trend positively as it suggests that the company is generating higher returns on the capital invested by shareholders.
Peer comparison
Dec 31, 2024