Return on Equity (ROE)
since 2015
Calculation
Lumentum Holdings Inc., ROE, long-term trends, calculation
| ROE | = | 100 | × | Net income (loss)1 | ÷ | Stockholders’ equity1 | |
|---|---|---|---|---|---|---|---|
| Jun 28, 2025 | 2.28% | = | 100 | × | 25,900) | ÷ | 1,134,700) |
| Jun 29, 2024 | -57.09% | = | 100 | × | (546,500) | ÷ | 957,300) |
| Jul 1, 2023 | -9.71% | = | 100 | × | (131,600) | ÷ | 1,355,800) |
| Jul 2, 2022 | 10.61% | = | 100 | × | 198,900) | ÷ | 1,875,000) |
| Jul 3, 2021 | 20.14% | = | 100 | × | 397,300) | ÷ | 1,972,800) |
| Jun 27, 2020 | 7.75% | = | 100 | × | 135,500) | ÷ | 1,749,200) |
| Jun 29, 2019 | -2.43% | = | 100 | × | (36,400) | ÷ | 1,497,100) |
| Jun 30, 2018 | 26.79% | = | 100 | × | 248,100) | ÷ | 926,100) |
| Jul 1, 2017 | -16.56% | = | 100 | × | (102,500) | ÷ | 618,800) |
| Jul 2, 2016 | 1.87% | = | 100 | × | 9,300) | ÷ | 497,400) |
| Jun 27, 2015 | -0.89% | = | 100 | × | (3,400) | ÷ | 380,700) |
Based on: 10-K (reporting date: 2025-06-28), 10-K (reporting date: 2024-06-29), 10-K (reporting date: 2023-07-01), 10-K (reporting date: 2022-07-02), 10-K (reporting date: 2021-07-03), 10-K (reporting date: 2020-06-27), 10-K (reporting date: 2019-06-29), 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-07-01), 10-K (reporting date: 2016-07-02), 10-K (reporting date: 2015-06-27).
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- only). * *Net Income:* Highly volatile. Swings from negative to positive. Peak in 2021 ($397.3M), deep trough in 2024 (-$546.5M). * *Stockholders' Equity:* General growth from 2015 ($380.7M) to a peak in 2021 ($1.97B), then a decline to 2024 ($957.3M), with a slight recovery in 2025 ($1.13B). * *ROE:* Highly unstable. * 2015-2017: Fluctuating (Negative $\rightarrow$ Positive $\rightarrow$ Negative). * 2018: Significant spike (26.79%). * 2019-2022: Recovered to positive (peaking at 20.14% in 2021). * 2023-2024: Sharp decline into deep negative territory, reaching a low of -57.09% in 2024. * 2025: Return to positive (2.28%). * *General Summary:* The company's ROE exhibits extreme volatility over the ten-year period, characterized by inconsistent earnings and significant swings in equity. * *Detailed Analysis:* * *Volatility:* The ROE has shifted between positive and negative values frequently, indicating an unstable capacity to generate profits relative to shareholder equity. * *Growth Phase (2018-2022):* There was a period of relative strength where ROE peaked at 26.79% (2018) and 20.14% (2021). This coincided with a steady increase in stockholders' equity, reaching nearly $2 billion. * *Recent Contraction (2023-2024):* A severe downturn occurred, with net losses escalating to $546.5 million by June 2024, driving ROE to -57.09%. This period saw a substantial erosion of stockholders' equity. * *Recovery Sign (2025):* The most recent data shows a return to profitability (Net Income of $25.9M) and a positive ROE of 2.28%, suggesting a potential stabilization. * *Constraint Check:* * No "table", "markdown", "data provided", "rows", "columns"? Check. * Third person/objective? Check. * No company intro? Check. * HTML tags only (
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The return on equity (ROE) for the analyzed period exhibits extreme volatility, reflecting significant fluctuations in net income and a non-linear trajectory in stockholders' equity. The overall trend is marked by periods of strong profitability followed by substantial losses, leading to an inconsistent return for shareholders.
- Profitability and ROE Volatility
- ROE has experienced frequent shifts between positive and negative territory. Significant peaks were observed in 2018 (26.79%) and 2021 (20.14%), while severe contractions occurred in 2017 (-16.56%) and most notably in 2024 (-57.09%). These fluctuations are directly correlated with high variance in net income.
- Equity Growth and Erosion
- Stockholders' equity grew consistently from $380.7 million in 2015 to a peak of $1.97 billion in 2021. However, a subsequent decline is observed, with equity dropping to $957.3 million by June 2024, reflecting the impact of heavy net losses on the company's capital base.
- Recent Financial Performance
- The period ending June 2024 represents the most significant downturn, with a net loss of $546.5 million resulting in an ROE of -57.09%. The most recent data from June 2025 indicates a return to positive territory, with net income recovering to $25.9 million and ROE stabilizing at 2.28%.
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Comparison to Competitors
Lumentum Holdings Inc., ROE, long-term trends, comparison to competitors
| Lumentum Holdings Inc. | Apple Inc. | Arista Networks Inc. | Cisco Systems Inc. | Dell Technologies Inc. | Super Micro Computer Inc. | |
|---|---|---|---|---|---|---|
| Jun 28, 2025 | 2.28% | 151.91% | 28.39% | 21.73% | — | 16.64% |
| Jun 29, 2024 | -57.09% | 164.59% | 28.54% | 22.70% | — | 21.28% |
| Jul 1, 2023 | -9.71% | 156.08% | 28.91% | 28.44% | — | 32.45% |
| Jul 2, 2022 | 10.61% | 196.96% | 27.68% | 29.70% | — | 20.00% |
| Jul 3, 2021 | 20.14% | 150.07% | 21.13% | 25.66% | 131.10% | 10.20% |
| Jun 27, 2020 | 7.75% | 87.87% | 19.11% | 29.57% | — | 7.91% |
| Jun 29, 2019 | -2.43% | 61.06% | 29.71% | 34.62% | — | 7.64% |
| Jun 30, 2018 | 26.79% | 55.56% | 15.31% | 0.25% | — | 5.47% |
| Jul 1, 2017 | -16.56% | 36.07% | 25.46% | 14.53% | — | 8.64% |
| Jul 2, 2016 | 1.87% | 35.62% | 16.63% | 16.89% | — | 9.99% |
| Jun 27, 2015 | -0.89% | 44.74% | 15.37% | 15.04% | — | 16.46% |
Based on: 10-K (reporting date: 2025-06-28), 10-K (reporting date: 2024-06-29), 10-K (reporting date: 2023-07-01), 10-K (reporting date: 2022-07-02), 10-K (reporting date: 2021-07-03), 10-K (reporting date: 2020-06-27), 10-K (reporting date: 2019-06-29), 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-07-01), 10-K (reporting date: 2016-07-02), 10-K (reporting date: 2015-06-27).
Comparison to Sector (Technology Hardware & Equipment)
Lumentum Holdings Inc., ROE, long-term trends, comparison to sector (technology hardware & equipment)
| Lumentum Holdings Inc. | Technology Hardware & Equipment | |
|---|---|---|
| Jun 28, 2025 | 2.28% | 94.58% |
| Jun 29, 2024 | -57.09% | 95.15% |
| Jul 1, 2023 | -9.71% | 100.63% |
| Jul 2, 2022 | 10.61% | 122.76% |
| Jul 3, 2021 | 20.14% | 96.47% |
| Jun 27, 2020 | 7.75% | 68.72% |
| Jun 29, 2019 | -2.43% | 52.95% |
| Jun 30, 2018 | 26.79% | 39.07% |
| Jul 1, 2017 | -16.56% | 28.71% |
| Jul 2, 2016 | 1.87% | 29.20% |
| Jun 27, 2015 | -0.89% | 34.61% |
Based on: 10-K (reporting date: 2025-06-28), 10-K (reporting date: 2024-06-29), 10-K (reporting date: 2023-07-01), 10-K (reporting date: 2022-07-02), 10-K (reporting date: 2021-07-03), 10-K (reporting date: 2020-06-27), 10-K (reporting date: 2019-06-29), 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-07-01), 10-K (reporting date: 2016-07-02), 10-K (reporting date: 2015-06-27).
Comparison to Industry (Information Technology)
Lumentum Holdings Inc., ROE, long-term trends, comparison to industry (information technology)
| Lumentum Holdings Inc. | Information Technology | |
|---|---|---|
| Jun 28, 2025 | 2.28% | 34.73% |
| Jun 29, 2024 | -57.09% | 29.28% |
| Jul 1, 2023 | -9.71% | 31.78% |
| Jul 2, 2022 | 10.61% | 38.79% |
| Jul 3, 2021 | 20.14% | 42.14% |
| Jun 27, 2020 | 7.75% | 35.58% |
| Jun 29, 2019 | -2.43% | 36.48% |
| Jun 30, 2018 | 26.79% | 30.38% |
| Jul 1, 2017 | -16.56% | 23.35% |
| Jul 2, 2016 | 1.87% | 23.33% |
| Jun 27, 2015 | -0.89% | 26.15% |
Based on: 10-K (reporting date: 2025-06-28), 10-K (reporting date: 2024-06-29), 10-K (reporting date: 2023-07-01), 10-K (reporting date: 2022-07-02), 10-K (reporting date: 2021-07-03), 10-K (reporting date: 2020-06-27), 10-K (reporting date: 2019-06-29), 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-07-01), 10-K (reporting date: 2016-07-02), 10-K (reporting date: 2015-06-27).