Stock Analysis on Net
Stock Analysis on Net

Walgreens Boots Alliance Inc. (NASDAQ:WBA)

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
Quarterly Data

Beginner level


Two-Component Disaggregation of ROE

Walgreens Boots Alliance Inc., decomposition of ROE (quarterly data)

Microsoft Excel LibreOffice Calc
ROE = ROA × Financial Leverage
May 31, 2020 3.67% = 0.88% × 4.17
Feb 29, 2020 14.73% = 3.88% × 3.79
Nov 30, 2019 15.65% = 4.08% × 3.84
Aug 31, 2019 16.94% = 5.89% × 2.88
May 31, 2019 19.96% = 7.02% × 2.84
Feb 28, 2019 20.72% = 7.29% × 2.84
Nov 30, 2018 20.80% = 7.61% × 2.73
Aug 31, 2018 19.32% = 7.37% × 2.62
May 31, 2018 15.55% = 6.15% × 2.53
Feb 28, 2018 15.11% = 5.84% × 2.59
Nov 30, 2017 14.83% = 5.77% × 2.57
Aug 31, 2017 14.85% = 6.18% × 2.40
May 31, 2017 14.07% = 5.81% × 2.42
Feb 28, 2017 14.13% = 5.86% × 2.41
Nov 30, 2016 14.04% = 5.73% × 2.45
Aug 31, 2016 13.97% = 5.74% × 2.43
May 31, 2016 10.26% = 4.71% × 2.18
Feb 29, 2016 11.41% = 5.07% × 2.25
Nov 30, 2015 14.59% = 6.53% × 2.24
Aug 31, 2015 13.67% = 6.14% × 2.23
May 31, 2015 12.53% = 5.60% × 2.24
Feb 28, 2015 10.95% = 4.73% × 2.32
Nov 30, 2014 10.11% = 4.29% × 2.36
Aug 31, 2014 9.44% = 5.20% × 1.82
May 31, 2014 = × 1.75
Feb 28, 2014 = × 1.78
Nov 30, 2013 = × 1.82

Based on: 10-Q (filing date: 2020-07-09), 10-Q (filing date: 2020-04-02), 10-Q (filing date: 2020-01-08), 10-K (filing date: 2019-10-28), 10-Q (filing date: 2019-06-27), 10-Q (filing date: 2019-04-02), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-11), 10-Q (filing date: 2018-06-28), 10-Q (filing date: 2018-03-28), 10-Q (filing date: 2018-01-04), 10-K (filing date: 2017-10-25), 10-Q (filing date: 2017-06-29), 10-Q (filing date: 2017-04-05), 10-Q (filing date: 2017-01-05), 10-K (filing date: 2016-10-20), 10-Q (filing date: 2016-07-06), 10-Q (filing date: 2016-04-05), 10-Q (filing date: 2016-01-07), 10-K (filing date: 2015-10-28), 10-Q (filing date: 2015-07-09), 10-Q (filing date: 2015-04-09), 10-Q (filing date: 2014-12-30), 10-K (filing date: 2014-10-20), 10-Q (filing date: 2014-07-01), 10-Q (filing date: 2014-03-27), 10-Q (filing date: 2013-12-27).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2020 is the decrease in profitability measured by return on assets ratio (ROA).


Three-Component Disaggregation of ROE

Walgreens Boots Alliance Inc., decomposition of ROE (quarterly data)

Microsoft Excel LibreOffice Calc
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
May 31, 2020 3.67% = 0.55% × 1.61 × 4.17
Feb 29, 2020 14.73% = 2.52% × 1.54 × 3.79
Nov 30, 2019 15.65% = 2.70% × 1.51 × 3.84
Aug 31, 2019 16.94% = 2.91% × 2.02 × 2.88
May 31, 2019 19.96% = 3.53% × 1.99 × 2.84
Feb 28, 2019 20.72% = 3.77% × 1.93 × 2.84
Nov 30, 2018 20.80% = 3.96% × 1.92 × 2.73
Aug 31, 2018 19.32% = 3.82% × 1.93 × 2.62
May 31, 2018 15.55% = 3.36% × 1.83 × 2.53
Feb 28, 2018 15.11% = 3.33% × 1.75 × 2.59
Nov 30, 2017 14.83% = 3.19% × 1.81 × 2.57
Aug 31, 2017 14.85% = 3.45% × 1.79 × 2.40
May 31, 2017 14.07% = 3.69% × 1.57 × 2.42
Feb 28, 2017 14.13% = 3.66% × 1.60 × 2.41
Nov 30, 2016 14.04% = 3.52% × 1.62 × 2.45
Aug 31, 2016 13.97% = 3.56% × 1.61 × 2.43
May 31, 2016 10.26% = 2.70% × 1.74 × 2.18
Feb 29, 2016 11.41% = 2.89% × 1.76 × 2.25
Nov 30, 2015 14.59% = 3.97% × 1.64 × 2.24
Aug 31, 2015 13.67% = 4.08% × 1.50 × 2.23
May 31, 2015 12.53% = 4.21% × 1.33 × 2.24
Feb 28, 2015 10.95% = 3.99% × 1.19 × 2.32
Nov 30, 2014 10.11% = 2.69% × 1.60 × 2.36
Aug 31, 2014 9.44% = 2.53% × 2.05 × 1.82
May 31, 2014 = × × 1.75
Feb 28, 2014 = × × 1.78
Nov 30, 2013 = × × 1.82

Based on: 10-Q (filing date: 2020-07-09), 10-Q (filing date: 2020-04-02), 10-Q (filing date: 2020-01-08), 10-K (filing date: 2019-10-28), 10-Q (filing date: 2019-06-27), 10-Q (filing date: 2019-04-02), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-11), 10-Q (filing date: 2018-06-28), 10-Q (filing date: 2018-03-28), 10-Q (filing date: 2018-01-04), 10-K (filing date: 2017-10-25), 10-Q (filing date: 2017-06-29), 10-Q (filing date: 2017-04-05), 10-Q (filing date: 2017-01-05), 10-K (filing date: 2016-10-20), 10-Q (filing date: 2016-07-06), 10-Q (filing date: 2016-04-05), 10-Q (filing date: 2016-01-07), 10-K (filing date: 2015-10-28), 10-Q (filing date: 2015-07-09), 10-Q (filing date: 2015-04-09), 10-Q (filing date: 2014-12-30), 10-K (filing date: 2014-10-20), 10-Q (filing date: 2014-07-01), 10-Q (filing date: 2014-03-27), 10-Q (filing date: 2013-12-27).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2020 is the decrease in profitability measured by net profit margin ratio.


Five-Component Disaggregation of ROE

Walgreens Boots Alliance Inc., decomposition of ROE (quarterly data)

Microsoft Excel LibreOffice Calc
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
May 31, 2020 3.67% = 0.81 × 0.59 × 1.15% × 1.61 × 4.17
Feb 29, 2020 14.73% = 0.90 × 0.85 × 3.29% × 1.54 × 3.79
Nov 30, 2019 15.65% = 0.89 × 0.85 × 3.53% × 1.51 × 3.84
Aug 31, 2019 16.94% = 0.87 × 0.87 × 3.85% × 2.02 × 2.88
May 31, 2019 19.96% = 0.87 × 0.89 × 4.56% × 1.99 × 2.84
Feb 28, 2019 20.72% = 0.88 × 0.90 × 4.75% × 1.93 × 2.84
Nov 30, 2018 20.80% = 0.85 × 0.91 × 5.13% × 1.92 × 2.73
Aug 31, 2018 19.32% = 0.83 × 0.91 × 5.05% × 1.93 × 2.62
May 31, 2018 15.55% = 0.82 × 0.89 × 4.62% × 1.83 × 2.53
Feb 28, 2018 15.11% = 0.80 × 0.89 × 4.68% × 1.75 × 2.59
Nov 30, 2017 14.83% = 0.83 × 0.87 × 4.38% × 1.81 × 2.57
Aug 31, 2017 14.85% = 0.84 × 0.87 × 4.68% × 1.79 × 2.40
May 31, 2017 14.07% = 0.84 × 0.88 × 4.99% × 1.57 × 2.42
Feb 28, 2017 14.13% = 0.81 × 0.89 × 5.09% × 1.60 × 2.41
Nov 30, 2016 14.04% = 0.80 × 0.89 × 4.96% × 1.62 × 2.45
Aug 31, 2016 13.97% = 0.81 × 0.90 × 4.91% × 1.61 × 2.43
May 31, 2016 10.26% = 0.81 × 0.85 × 3.90% × 1.74 × 2.18
Feb 29, 2016 11.41% = 0.81 × 0.86 × 4.17% × 1.76 × 2.25
Nov 30, 2015 14.59% = 0.83 × 0.89 × 5.38% × 1.64 × 2.24
Aug 31, 2015 13.67% = 0.80 × 0.90 × 5.69% × 1.50 × 2.23
May 31, 2015 12.53% = 0.73 × 0.93 × 6.20% × 1.33 × 2.24
Feb 28, 2015 10.95% = 0.70 × 0.95 × 6.00% × 1.19 × 2.32
Nov 30, 2014 10.11% = 0.59 × 0.95 × 4.77% × 1.60 × 2.36
Aug 31, 2014 9.44% = 0.56 × 0.96 × 4.73% × 2.05 × 1.82
May 31, 2014 = × × × × 1.75
Feb 28, 2014 = × × × × 1.78
Nov 30, 2013 = × × × × 1.82

Based on: 10-Q (filing date: 2020-07-09), 10-Q (filing date: 2020-04-02), 10-Q (filing date: 2020-01-08), 10-K (filing date: 2019-10-28), 10-Q (filing date: 2019-06-27), 10-Q (filing date: 2019-04-02), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-11), 10-Q (filing date: 2018-06-28), 10-Q (filing date: 2018-03-28), 10-Q (filing date: 2018-01-04), 10-K (filing date: 2017-10-25), 10-Q (filing date: 2017-06-29), 10-Q (filing date: 2017-04-05), 10-Q (filing date: 2017-01-05), 10-K (filing date: 2016-10-20), 10-Q (filing date: 2016-07-06), 10-Q (filing date: 2016-04-05), 10-Q (filing date: 2016-01-07), 10-K (filing date: 2015-10-28), 10-Q (filing date: 2015-07-09), 10-Q (filing date: 2015-04-09), 10-Q (filing date: 2014-12-30), 10-K (filing date: 2014-10-20), 10-Q (filing date: 2014-07-01), 10-Q (filing date: 2014-03-27), 10-Q (filing date: 2013-12-27).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2020 is the decrease in operating profitability measured by EBIT margin ratio.


Two-Component Disaggregation of ROA

Walgreens Boots Alliance Inc., decomposition of ROA (quarterly data)

Microsoft Excel LibreOffice Calc
ROA = Net Profit Margin × Asset Turnover
May 31, 2020 0.88% = 0.55% × 1.61
Feb 29, 2020 3.88% = 2.52% × 1.54
Nov 30, 2019 4.08% = 2.70% × 1.51
Aug 31, 2019 5.89% = 2.91% × 2.02
May 31, 2019 7.02% = 3.53% × 1.99
Feb 28, 2019 7.29% = 3.77% × 1.93
Nov 30, 2018 7.61% = 3.96% × 1.92
Aug 31, 2018 7.37% = 3.82% × 1.93
May 31, 2018 6.15% = 3.36% × 1.83
Feb 28, 2018 5.84% = 3.33% × 1.75
Nov 30, 2017 5.77% = 3.19% × 1.81
Aug 31, 2017 6.18% = 3.45% × 1.79
May 31, 2017 5.81% = 3.69% × 1.57
Feb 28, 2017 5.86% = 3.66% × 1.60
Nov 30, 2016 5.73% = 3.52% × 1.62
Aug 31, 2016 5.74% = 3.56% × 1.61
May 31, 2016 4.71% = 2.70% × 1.74
Feb 29, 2016 5.07% = 2.89% × 1.76
Nov 30, 2015 6.53% = 3.97% × 1.64
Aug 31, 2015 6.14% = 4.08% × 1.50
May 31, 2015 5.60% = 4.21% × 1.33
Feb 28, 2015 4.73% = 3.99% × 1.19
Nov 30, 2014 4.29% = 2.69% × 1.60
Aug 31, 2014 5.20% = 2.53% × 2.05
May 31, 2014 = ×
Feb 28, 2014 = ×
Nov 30, 2013 = ×

Based on: 10-Q (filing date: 2020-07-09), 10-Q (filing date: 2020-04-02), 10-Q (filing date: 2020-01-08), 10-K (filing date: 2019-10-28), 10-Q (filing date: 2019-06-27), 10-Q (filing date: 2019-04-02), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-11), 10-Q (filing date: 2018-06-28), 10-Q (filing date: 2018-03-28), 10-Q (filing date: 2018-01-04), 10-K (filing date: 2017-10-25), 10-Q (filing date: 2017-06-29), 10-Q (filing date: 2017-04-05), 10-Q (filing date: 2017-01-05), 10-K (filing date: 2016-10-20), 10-Q (filing date: 2016-07-06), 10-Q (filing date: 2016-04-05), 10-Q (filing date: 2016-01-07), 10-K (filing date: 2015-10-28), 10-Q (filing date: 2015-07-09), 10-Q (filing date: 2015-04-09), 10-Q (filing date: 2014-12-30), 10-K (filing date: 2014-10-20), 10-Q (filing date: 2014-07-01), 10-Q (filing date: 2014-03-27), 10-Q (filing date: 2013-12-27).

The primary reason for the decrease in return on assets ratio (ROA) over Q3 2020 is the decrease in profitability measured by net profit margin ratio.


Four-Component Disaggregation of ROA

Walgreens Boots Alliance Inc., decomposition of ROA (quarterly data)

Microsoft Excel LibreOffice Calc
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
May 31, 2020 0.88% = 0.81 × 0.59 × 1.15% × 1.61
Feb 29, 2020 3.88% = 0.90 × 0.85 × 3.29% × 1.54
Nov 30, 2019 4.08% = 0.89 × 0.85 × 3.53% × 1.51
Aug 31, 2019 5.89% = 0.87 × 0.87 × 3.85% × 2.02
May 31, 2019 7.02% = 0.87 × 0.89 × 4.56% × 1.99
Feb 28, 2019 7.29% = 0.88 × 0.90 × 4.75% × 1.93
Nov 30, 2018 7.61% = 0.85 × 0.91 × 5.13% × 1.92
Aug 31, 2018 7.37% = 0.83 × 0.91 × 5.05% × 1.93
May 31, 2018 6.15% = 0.82 × 0.89 × 4.62% × 1.83
Feb 28, 2018 5.84% = 0.80 × 0.89 × 4.68% × 1.75
Nov 30, 2017 5.77% = 0.83 × 0.87 × 4.38% × 1.81
Aug 31, 2017 6.18% = 0.84 × 0.87 × 4.68% × 1.79
May 31, 2017 5.81% = 0.84 × 0.88 × 4.99% × 1.57
Feb 28, 2017 5.86% = 0.81 × 0.89 × 5.09% × 1.60
Nov 30, 2016 5.73% = 0.80 × 0.89 × 4.96% × 1.62
Aug 31, 2016 5.74% = 0.81 × 0.90 × 4.91% × 1.61
May 31, 2016 4.71% = 0.81 × 0.85 × 3.90% × 1.74
Feb 29, 2016 5.07% = 0.81 × 0.86 × 4.17% × 1.76
Nov 30, 2015 6.53% = 0.83 × 0.89 × 5.38% × 1.64
Aug 31, 2015 6.14% = 0.80 × 0.90 × 5.69% × 1.50
May 31, 2015 5.60% = 0.73 × 0.93 × 6.20% × 1.33
Feb 28, 2015 4.73% = 0.70 × 0.95 × 6.00% × 1.19
Nov 30, 2014 4.29% = 0.59 × 0.95 × 4.77% × 1.60
Aug 31, 2014 5.20% = 0.56 × 0.96 × 4.73% × 2.05
May 31, 2014 = × × ×
Feb 28, 2014 = × × ×
Nov 30, 2013 = × × ×

Based on: 10-Q (filing date: 2020-07-09), 10-Q (filing date: 2020-04-02), 10-Q (filing date: 2020-01-08), 10-K (filing date: 2019-10-28), 10-Q (filing date: 2019-06-27), 10-Q (filing date: 2019-04-02), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-11), 10-Q (filing date: 2018-06-28), 10-Q (filing date: 2018-03-28), 10-Q (filing date: 2018-01-04), 10-K (filing date: 2017-10-25), 10-Q (filing date: 2017-06-29), 10-Q (filing date: 2017-04-05), 10-Q (filing date: 2017-01-05), 10-K (filing date: 2016-10-20), 10-Q (filing date: 2016-07-06), 10-Q (filing date: 2016-04-05), 10-Q (filing date: 2016-01-07), 10-K (filing date: 2015-10-28), 10-Q (filing date: 2015-07-09), 10-Q (filing date: 2015-04-09), 10-Q (filing date: 2014-12-30), 10-K (filing date: 2014-10-20), 10-Q (filing date: 2014-07-01), 10-Q (filing date: 2014-03-27), 10-Q (filing date: 2013-12-27).

The primary reason for the decrease in return on assets ratio (ROA) over Q3 2020 is the decrease in operating profitability measured by EBIT margin ratio.


Disaggregation of Net Profit Margin

Walgreens Boots Alliance Inc., decomposition of net profit margin ratio (quarterly data)

Microsoft Excel LibreOffice Calc
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
May 31, 2020 0.55% = 0.81 × 0.59 × 1.15%
Feb 29, 2020 2.52% = 0.90 × 0.85 × 3.29%
Nov 30, 2019 2.70% = 0.89 × 0.85 × 3.53%
Aug 31, 2019 2.91% = 0.87 × 0.87 × 3.85%
May 31, 2019 3.53% = 0.87 × 0.89 × 4.56%
Feb 28, 2019 3.77% = 0.88 × 0.90 × 4.75%
Nov 30, 2018 3.96% = 0.85 × 0.91 × 5.13%
Aug 31, 2018 3.82% = 0.83 × 0.91 × 5.05%
May 31, 2018 3.36% = 0.82 × 0.89 × 4.62%
Feb 28, 2018 3.33% = 0.80 × 0.89 × 4.68%
Nov 30, 2017 3.19% = 0.83 × 0.87 × 4.38%
Aug 31, 2017 3.45% = 0.84 × 0.87 × 4.68%
May 31, 2017 3.69% = 0.84 × 0.88 × 4.99%
Feb 28, 2017 3.66% = 0.81 × 0.89 × 5.09%
Nov 30, 2016 3.52% = 0.80 × 0.89 × 4.96%
Aug 31, 2016 3.56% = 0.81 × 0.90 × 4.91%
May 31, 2016 2.70% = 0.81 × 0.85 × 3.90%
Feb 29, 2016 2.89% = 0.81 × 0.86 × 4.17%
Nov 30, 2015 3.97% = 0.83 × 0.89 × 5.38%
Aug 31, 2015 4.08% = 0.80 × 0.90 × 5.69%
May 31, 2015 4.21% = 0.73 × 0.93 × 6.20%
Feb 28, 2015 3.99% = 0.70 × 0.95 × 6.00%
Nov 30, 2014 2.69% = 0.59 × 0.95 × 4.77%
Aug 31, 2014 2.53% = 0.56 × 0.96 × 4.73%
May 31, 2014 = × ×
Feb 28, 2014 = × ×
Nov 30, 2013 = × ×

Based on: 10-Q (filing date: 2020-07-09), 10-Q (filing date: 2020-04-02), 10-Q (filing date: 2020-01-08), 10-K (filing date: 2019-10-28), 10-Q (filing date: 2019-06-27), 10-Q (filing date: 2019-04-02), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-11), 10-Q (filing date: 2018-06-28), 10-Q (filing date: 2018-03-28), 10-Q (filing date: 2018-01-04), 10-K (filing date: 2017-10-25), 10-Q (filing date: 2017-06-29), 10-Q (filing date: 2017-04-05), 10-Q (filing date: 2017-01-05), 10-K (filing date: 2016-10-20), 10-Q (filing date: 2016-07-06), 10-Q (filing date: 2016-04-05), 10-Q (filing date: 2016-01-07), 10-K (filing date: 2015-10-28), 10-Q (filing date: 2015-07-09), 10-Q (filing date: 2015-04-09), 10-Q (filing date: 2014-12-30), 10-K (filing date: 2014-10-20), 10-Q (filing date: 2014-07-01), 10-Q (filing date: 2014-03-27), 10-Q (filing date: 2013-12-27).

The primary reason for the decrease in net profit margin ratio over Q3 2020 is the decrease in operating profitability measured by EBIT margin ratio.