Stock Analysis on Net
Stock Analysis on Net

Chevron Corp. (NYSE:CVX)

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

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

Chevron Corp., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Dec 31, 2023 13.28% = 8.17% × 1.63
Sep 30, 2023 15.41% = 9.65% × 1.60
Jun 30, 2023 19.05% = 11.98% × 1.59
Mar 31, 2023 22.44% = 13.98% × 1.60
Dec 31, 2022 22.27% = 13.76% × 1.62
Sep 30, 2022 21.53% = 13.15% × 1.64
Jun 30, 2022 18.92% = 11.26% × 1.68
Mar 31, 2022 14.02% = 8.23% × 1.70
Dec 31, 2021 11.24% = 6.52% × 1.72
Sep 30, 2021 7.29% = 4.13% × 1.77
Jun 30, 2021 2.69% = 1.48% × 1.82
Mar 31, 2021 -5.89% = -3.21% × 1.83
Dec 31, 2020 -4.21% = -2.31% × 1.82
Sep 30, 2020 -8.72% = -5.15% × 1.69
Jun 30, 2020 -6.49% = -3.89% × 1.67
Mar 31, 2020 2.69% = 1.64% × 1.64
Dec 31, 2019 2.03% = 1.23% × 1.65
Sep 30, 2019 — = — × 1.65
Jun 30, 2019 — = — × 1.64
Mar 31, 2019 — = — × 1.66

Based on: 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).

The primary reason for the decrease in return on equity ratio (ROE) over Q4 2023 is the decrease in profitability measured by return on assets ratio (ROA).

Three-Component Disaggregation of ROE

Chevron Corp., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Dec 31, 2023 13.28% = 10.85% × 0.75 × 1.63
Sep 30, 2023 15.41% = 12.57% × 0.77 × 1.60
Jun 30, 2023 19.05% = 14.09% × 0.85 × 1.59
Mar 31, 2023 22.44% = 15.41% × 0.91 × 1.60
Dec 31, 2022 22.27% = 15.05% × 0.91 × 1.62
Sep 30, 2022 21.53% = 15.05% × 0.87 × 1.64
Jun 30, 2022 18.92% = 14.09% × 0.80 × 1.68
Mar 31, 2022 14.02% = 11.60% × 0.71 × 1.70
Dec 31, 2021 11.24% = 10.04% × 0.65 × 1.72
Sep 30, 2021 7.29% = 7.36% × 0.56 × 1.77
Jun 30, 2021 2.69% = 3.09% × 0.48 × 1.82
Mar 31, 2021 -5.89% = -8.10% × 0.40 × 1.83
Dec 31, 2020 -4.21% = -5.87% × 0.39 × 1.82
Sep 30, 2020 -8.72% = -11.02% × 0.47 × 1.69
Jun 30, 2020 -6.49% = -7.57% × 0.51 × 1.67
Mar 31, 2020 2.69% = 2.86% × 0.57 × 1.64
Dec 31, 2019 2.03% = 2.09% × 0.59 × 1.65
Sep 30, 2019 — = — × — × 1.65
Jun 30, 2019 — = — × — × 1.64
Mar 31, 2019 — = — × — × 1.66

Based on: 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).

The primary reason for the decrease in return on equity ratio (ROE) over Q4 2023 is the decrease in profitability measured by net profit margin ratio.

Five-Component Disaggregation of ROE

Chevron Corp., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
Dec 31, 2023 13.28% = 0.72 × 0.98 × 15.24% × 0.75 × 1.63
Sep 30, 2023 15.41% = 0.71 × 0.99 × 17.92% × 0.77 × 1.60
Jun 30, 2023 19.05% = 0.72 × 0.99 × 19.80% × 0.85 × 1.59
Mar 31, 2023 22.44% = 0.72 × 0.99 × 21.73% × 0.91 × 1.60
Dec 31, 2022 22.27% = 0.72 × 0.99 × 21.23% × 0.91 × 1.62
Sep 30, 2022 21.53% = 0.73 × 0.99 × 20.81% × 0.87 × 1.64
Jun 30, 2022 18.92% = 0.73 × 0.99 × 19.67% × 0.80 × 1.68
Mar 31, 2022 14.02% = 0.72 × 0.98 × 16.46% × 0.71 × 1.70
Dec 31, 2021 11.24% = 0.72 × 0.97 × 14.32% × 0.65 × 1.72
Sep 30, 2021 7.29% = 0.73 × 0.95 × 10.70% × 0.56 × 1.77
Jun 30, 2021 2.69% = 0.65 × 0.88 × 5.43% × 0.48 × 1.82
Mar 31, 2021 -5.89% = — × — × -9.09% × 0.40 × 1.83
Dec 31, 2020 -4.21% = — × — × -7.13% × 0.39 × 1.82
Sep 30, 2020 -8.72% = — × — × -13.57% × 0.47 × 1.69
Jun 30, 2020 -6.49% = — × — × -8.71% × 0.51 × 1.67
Mar 31, 2020 2.69% = 0.67 × 0.89 × 4.84% × 0.57 × 1.64
Dec 31, 2019 2.03% = 0.52 × 0.88 × 4.59% × 0.59 × 1.65
Sep 30, 2019 — = — × — × — × — × 1.65
Jun 30, 2019 — = — × — × — × — × 1.64
Mar 31, 2019 — = — × — × — × — × 1.66

Based on: 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).

The primary reason for the decrease in return on equity ratio (ROE) over Q4 2023 is the decrease in operating profitability measured by EBIT margin ratio.

Two-Component Disaggregation of ROA

Chevron Corp., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Dec 31, 2023 8.17% = 10.85% × 0.75
Sep 30, 2023 9.65% = 12.57% × 0.77
Jun 30, 2023 11.98% = 14.09% × 0.85
Mar 31, 2023 13.98% = 15.41% × 0.91
Dec 31, 2022 13.76% = 15.05% × 0.91
Sep 30, 2022 13.15% = 15.05% × 0.87
Jun 30, 2022 11.26% = 14.09% × 0.80
Mar 31, 2022 8.23% = 11.60% × 0.71
Dec 31, 2021 6.52% = 10.04% × 0.65
Sep 30, 2021 4.13% = 7.36% × 0.56
Jun 30, 2021 1.48% = 3.09% × 0.48
Mar 31, 2021 -3.21% = -8.10% × 0.40
Dec 31, 2020 -2.31% = -5.87% × 0.39
Sep 30, 2020 -5.15% = -11.02% × 0.47
Jun 30, 2020 -3.89% = -7.57% × 0.51
Mar 31, 2020 1.64% = 2.86% × 0.57
Dec 31, 2019 1.23% = 2.09% × 0.59
Sep 30, 2019 — = — × —
Jun 30, 2019 — = — × —
Mar 31, 2019 — = — × —

Based on: 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).

The primary reason for the decrease in return on assets ratio (ROA) over Q4 2023 is the decrease in profitability measured by net profit margin ratio.

Four-Component Disaggregation of ROA

Chevron Corp., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
Dec 31, 2023 8.17% = 0.72 × 0.98 × 15.24% × 0.75
Sep 30, 2023 9.65% = 0.71 × 0.99 × 17.92% × 0.77
Jun 30, 2023 11.98% = 0.72 × 0.99 × 19.80% × 0.85
Mar 31, 2023 13.98% = 0.72 × 0.99 × 21.73% × 0.91
Dec 31, 2022 13.76% = 0.72 × 0.99 × 21.23% × 0.91
Sep 30, 2022 13.15% = 0.73 × 0.99 × 20.81% × 0.87
Jun 30, 2022 11.26% = 0.73 × 0.99 × 19.67% × 0.80
Mar 31, 2022 8.23% = 0.72 × 0.98 × 16.46% × 0.71
Dec 31, 2021 6.52% = 0.72 × 0.97 × 14.32% × 0.65
Sep 30, 2021 4.13% = 0.73 × 0.95 × 10.70% × 0.56
Jun 30, 2021 1.48% = 0.65 × 0.88 × 5.43% × 0.48
Mar 31, 2021 -3.21% = — × — × -9.09% × 0.40
Dec 31, 2020 -2.31% = — × — × -7.13% × 0.39
Sep 30, 2020 -5.15% = — × — × -13.57% × 0.47
Jun 30, 2020 -3.89% = — × — × -8.71% × 0.51
Mar 31, 2020 1.64% = 0.67 × 0.89 × 4.84% × 0.57
Dec 31, 2019 1.23% = 0.52 × 0.88 × 4.59% × 0.59
Sep 30, 2019 — = — × — × — × —
Jun 30, 2019 — = — × — × — × —
Mar 31, 2019 — = — × — × — × —

Based on: 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).

The primary reason for the decrease in return on assets ratio (ROA) over Q4 2023 is the decrease in operating profitability measured by EBIT margin ratio.

Disaggregation of Net Profit Margin

Chevron Corp., decomposition of net profit margin ratio (quarterly data)

Microsoft Excel
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
Dec 31, 2023 10.85% = 0.72 × 0.98 × 15.24%
Sep 30, 2023 12.57% = 0.71 × 0.99 × 17.92%
Jun 30, 2023 14.09% = 0.72 × 0.99 × 19.80%
Mar 31, 2023 15.41% = 0.72 × 0.99 × 21.73%
Dec 31, 2022 15.05% = 0.72 × 0.99 × 21.23%
Sep 30, 2022 15.05% = 0.73 × 0.99 × 20.81%
Jun 30, 2022 14.09% = 0.73 × 0.99 × 19.67%
Mar 31, 2022 11.60% = 0.72 × 0.98 × 16.46%
Dec 31, 2021 10.04% = 0.72 × 0.97 × 14.32%
Sep 30, 2021 7.36% = 0.73 × 0.95 × 10.70%
Jun 30, 2021 3.09% = 0.65 × 0.88 × 5.43%
Mar 31, 2021 -8.10% = — × — × -9.09%
Dec 31, 2020 -5.87% = — × — × -7.13%
Sep 30, 2020 -11.02% = — × — × -13.57%
Jun 30, 2020 -7.57% = — × — × -8.71%
Mar 31, 2020 2.86% = 0.67 × 0.89 × 4.84%
Dec 31, 2019 2.09% = 0.52 × 0.88 × 4.59%
Sep 30, 2019 — = — × — × —
Jun 30, 2019 — = — × — × —
Mar 31, 2019 — = — × — × —

Based on: 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).

The primary reason for the decrease in net profit margin ratio over Q4 2023 is the decrease in operating profitability measured by EBIT margin ratio.