Zebra Technologies Corporation (ZBRA)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 296,000 | 463,000 | 837,000 | 504,000 | 544,000 |
| Total assets | US$ in thousands | 7,306,000 | 7,529,000 | 6,215,000 | 5,375,000 | 4,711,000 |
| ROA | 4.05% | 6.15% | 13.47% | 9.38% | 11.55% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $296,000K ÷ $7,306,000K
= 4.05%
In analyzing Zebra Technologies Corp.'s return on assets (ROA) over the past five years, we observe a fluctuating trend. The ROA decreased from 11.55% in 2019 to 9.38% in 2020, representing a decline in profitability from the preceding year. However, the ROA rebounded to 13.47% in 2021, signaling a significant improvement in the company's ability to generate profit relative to its total assets. This sharp increase indicates enhanced efficiency in asset utilization and performance.
Subsequently, there was a notable decline in the ROA to 6.15% in 2022, suggesting a decrease in the company's profitability and efficiency in generating returns from its assets. The trend continued with a further decrease to 4.05% in 2023, indicating a continued decline in the company's ability to generate profits relative to its total assets.
Overall, the fluctuating trend in Zebra Technologies Corp.'s ROA over the past five years highlights the company's varying performance in efficiently utilizing its assets to generate profits. It is essential for stakeholders to further investigate the underlying factors driving these fluctuations to determine the company's operational efficiency and profitability prospects in the upcoming periods.
Peer comparison
Dec 31, 2023