Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Danaher Corp. (NYSE:DHR)

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

Beginner level

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

Two-Component Disaggregation of ROE

Danaher Corp., decomposition of ROE (quarterly data)

Microsoft Excel LibreOffice Calc
ROE = ROA × Financial Leverage
Apr 3, 2020 10.53% = 4.74% × 2.22
Dec 31, 2019 9.94% = 4.85% × 2.05
Sep 27, 2019 7.63% = 4.03% × 1.89
Jun 28, 2019 7.69% = 4.64% × 1.66
Mar 29, 2019 7.66% = 4.67% × 1.64
Dec 31, 2018 9.40% = 5.54% × 1.70
Sep 28, 2018 9.98% = 5.79% × 1.72
Jun 29, 2018 9.81% = 5.55% × 1.77
Mar 30, 2018 9.39% = 5.41% × 1.73
Dec 31, 2017 9.45% = 5.34% × 1.77
Sep 29, 2017 9.39% = 5.20% × 1.81
Jun 30, 2017 8.95% = 4.82% × 1.86
Mar 31, 2017 9.68% = 5.09% × 1.90
Dec 31, 2016 11.10% = 5.64% × 1.97
Sep 30, 2016 10.76% = 6.04% × 1.78
Jul 1, 2016 14.00% = 6.81% × 2.06
Apr 1, 2016 14.47% = 7.33% × 1.97
Dec 31, 2015 14.17% = 6.96% × 2.04
Oct 2, 2015 — = — × 2.15
Jul 3, 2015 — = — × 1.53
Apr 3, 2015 — = — × 1.55

Based on: 10-Q (filing date: 2020-05-06), 10-K (filing date: 2020-02-21), 10-Q (filing date: 2019-10-24), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-21), 10-Q (filing date: 2018-10-18), 10-Q (filing date: 2018-07-19), 10-Q (filing date: 2018-04-19), 10-K (filing date: 2018-02-21), 10-Q (filing date: 2017-10-19), 10-Q (filing date: 2017-07-20), 10-Q (filing date: 2017-04-20), 10-K (filing date: 2017-02-22), 10-Q (filing date: 2016-10-20), 10-Q (filing date: 2016-07-25), 10-Q (filing date: 2016-04-21), 10-K (filing date: 2016-02-24), 10-Q (filing date: 2015-10-22), 10-Q (filing date: 2015-07-23), 10-Q (filing date: 2015-04-23).

The primary reason for the increase in return on equity ratio (ROE) over Q1 2020 is the increase in financial leverage ratio.

Three-Component Disaggregation of ROE

Danaher Corp., decomposition of ROE (quarterly data)

Microsoft Excel LibreOffice Calc
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Apr 3, 2020 10.53% = 18.13% × 0.26 × 2.22
Dec 31, 2019 9.94% = 16.80% × 0.29 × 2.05
Sep 27, 2019 7.63% = 12.54% × 0.32 × 1.89
Jun 28, 2019 7.69% = 12.63% × 0.37 × 1.66
Mar 29, 2019 7.66% = 12.45% × 0.38 × 1.64
Dec 31, 2018 9.40% = 13.33% × 0.42 × 1.70
Sep 28, 2018 9.98% = 14.07% × 0.41 × 1.72
Jun 29, 2018 9.81% = 13.84% × 0.40 × 1.77
Mar 30, 2018 9.39% = 13.56% × 0.40 × 1.73
Dec 31, 2017 9.45% = 13.60% × 0.39 × 1.77
Sep 29, 2017 9.39% = 13.36% × 0.39 × 1.81
Jun 30, 2017 8.95% = 12.63% × 0.38 × 1.86
Mar 31, 2017 9.68% = 13.41% × 0.38 × 1.90
Dec 31, 2016 11.10% = 15.13% × 0.37 × 1.97
Sep 30, 2016 10.76% = 13.72% × 0.44 × 1.78
Jul 1, 2016 14.00% = 18.39% × 0.37 × 2.06
Apr 1, 2016 14.47% = 17.92% × 0.41 × 1.97
Dec 31, 2015 14.17% = 16.33% × 0.43 × 2.04
Oct 2, 2015 — = — × — × 2.15
Jul 3, 2015 — = — × — × 1.53
Apr 3, 2015 — = — × — × 1.55

Based on: 10-Q (filing date: 2020-05-06), 10-K (filing date: 2020-02-21), 10-Q (filing date: 2019-10-24), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-21), 10-Q (filing date: 2018-10-18), 10-Q (filing date: 2018-07-19), 10-Q (filing date: 2018-04-19), 10-K (filing date: 2018-02-21), 10-Q (filing date: 2017-10-19), 10-Q (filing date: 2017-07-20), 10-Q (filing date: 2017-04-20), 10-K (filing date: 2017-02-22), 10-Q (filing date: 2016-10-20), 10-Q (filing date: 2016-07-25), 10-Q (filing date: 2016-04-21), 10-K (filing date: 2016-02-24), 10-Q (filing date: 2015-10-22), 10-Q (filing date: 2015-07-23), 10-Q (filing date: 2015-04-23).

The primary reason for the increase in return on equity ratio (ROE) over Q1 2020 is the increase in financial leverage ratio.

Five-Component Disaggregation of ROE

Danaher Corp., decomposition of ROE (quarterly data)

Microsoft Excel LibreOffice Calc
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
Apr 3, 2020 10.53% = 0.84 × 0.97 × 22.22% × 0.26 × 2.22
Dec 31, 2019 9.94% = 0.78 × 0.97 × 22.28% × 0.29 × 2.05
Sep 27, 2019 7.63% = 0.73 × 0.97 × 17.69% × 0.32 × 1.89
Jun 28, 2019 7.69% = 0.74 × 0.97 × 17.75% × 0.37 × 1.66
Mar 29, 2019 7.66% = 0.73 × 0.96 × 17.72% × 0.38 × 1.64
Dec 31, 2018 9.40% = 0.81 × 0.95 × 17.34% × 0.42 × 1.70
Sep 28, 2018 9.98% = 0.83 × 0.95 × 17.81% × 0.41 × 1.72
Jun 29, 2018 9.81% = 0.82 × 0.95 × 17.73% × 0.40 × 1.77
Mar 30, 2018 9.39% = 0.83 × 0.95 × 17.15% × 0.40 × 1.73
Dec 31, 2017 9.45% = 0.84 × 0.95 × 17.04% × 0.39 × 1.77
Sep 29, 2017 9.39% = 0.89 × 0.95 × 15.88% × 0.39 × 1.81
Jun 30, 2017 8.95% = 0.91 × 0.94 × 14.75% × 0.38 × 1.86
Mar 31, 2017 9.68% = 0.86 × 0.94 × 16.52% × 0.38 × 1.90
Dec 31, 2016 11.10% = 0.85 × 0.94 × 18.93% × 0.37 × 1.97
Sep 30, 2016 10.76% = 0.78 × 0.94 × 18.70% × 0.44 × 1.78
Jul 1, 2016 14.00% = 0.81 × 0.95 × 23.68% × 0.37 × 2.06
Apr 1, 2016 14.47% = 0.82 × 0.96 × 22.66% × 0.41 × 1.97
Dec 31, 2015 14.17% = 0.82 × 0.96 × 20.65% × 0.43 × 2.04
Oct 2, 2015 — = — × — × — × — × 2.15
Jul 3, 2015 — = — × — × — × — × 1.53
Apr 3, 2015 — = — × — × — × — × 1.55

Based on: 10-Q (filing date: 2020-05-06), 10-K (filing date: 2020-02-21), 10-Q (filing date: 2019-10-24), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-21), 10-Q (filing date: 2018-10-18), 10-Q (filing date: 2018-07-19), 10-Q (filing date: 2018-04-19), 10-K (filing date: 2018-02-21), 10-Q (filing date: 2017-10-19), 10-Q (filing date: 2017-07-20), 10-Q (filing date: 2017-04-20), 10-K (filing date: 2017-02-22), 10-Q (filing date: 2016-10-20), 10-Q (filing date: 2016-07-25), 10-Q (filing date: 2016-04-21), 10-K (filing date: 2016-02-24), 10-Q (filing date: 2015-10-22), 10-Q (filing date: 2015-07-23), 10-Q (filing date: 2015-04-23).

The primary reason for the increase in return on equity ratio (ROE) over Q1 2020 is the increase in effect of taxes measured by tax burden ratio.

Two-Component Disaggregation of ROA

Danaher Corp., decomposition of ROA (quarterly data)

Microsoft Excel LibreOffice Calc
ROA = Net Profit Margin × Asset Turnover
Apr 3, 2020 4.74% = 18.13% × 0.26
Dec 31, 2019 4.85% = 16.80% × 0.29
Sep 27, 2019 4.03% = 12.54% × 0.32
Jun 28, 2019 4.64% = 12.63% × 0.37
Mar 29, 2019 4.67% = 12.45% × 0.38
Dec 31, 2018 5.54% = 13.33% × 0.42
Sep 28, 2018 5.79% = 14.07% × 0.41
Jun 29, 2018 5.55% = 13.84% × 0.40
Mar 30, 2018 5.41% = 13.56% × 0.40
Dec 31, 2017 5.34% = 13.60% × 0.39
Sep 29, 2017 5.20% = 13.36% × 0.39
Jun 30, 2017 4.82% = 12.63% × 0.38
Mar 31, 2017 5.09% = 13.41% × 0.38
Dec 31, 2016 5.64% = 15.13% × 0.37
Sep 30, 2016 6.04% = 13.72% × 0.44
Jul 1, 2016 6.81% = 18.39% × 0.37
Apr 1, 2016 7.33% = 17.92% × 0.41
Dec 31, 2015 6.96% = 16.33% × 0.43
Oct 2, 2015 — = — × —
Jul 3, 2015 — = — × —
Apr 3, 2015 — = — × —

Based on: 10-Q (filing date: 2020-05-06), 10-K (filing date: 2020-02-21), 10-Q (filing date: 2019-10-24), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-21), 10-Q (filing date: 2018-10-18), 10-Q (filing date: 2018-07-19), 10-Q (filing date: 2018-04-19), 10-K (filing date: 2018-02-21), 10-Q (filing date: 2017-10-19), 10-Q (filing date: 2017-07-20), 10-Q (filing date: 2017-04-20), 10-K (filing date: 2017-02-22), 10-Q (filing date: 2016-10-20), 10-Q (filing date: 2016-07-25), 10-Q (filing date: 2016-04-21), 10-K (filing date: 2016-02-24), 10-Q (filing date: 2015-10-22), 10-Q (filing date: 2015-07-23), 10-Q (filing date: 2015-04-23).

The primary reason for the decrease in return on assets ratio (ROA) over Q1 2020 is the decrease in asset turnover ratio.

Four-Component Disaggregation of ROA

Danaher Corp., decomposition of ROA (quarterly data)

Microsoft Excel LibreOffice Calc
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
Apr 3, 2020 4.74% = 0.84 × 0.97 × 22.22% × 0.26
Dec 31, 2019 4.85% = 0.78 × 0.97 × 22.28% × 0.29
Sep 27, 2019 4.03% = 0.73 × 0.97 × 17.69% × 0.32
Jun 28, 2019 4.64% = 0.74 × 0.97 × 17.75% × 0.37
Mar 29, 2019 4.67% = 0.73 × 0.96 × 17.72% × 0.38
Dec 31, 2018 5.54% = 0.81 × 0.95 × 17.34% × 0.42
Sep 28, 2018 5.79% = 0.83 × 0.95 × 17.81% × 0.41
Jun 29, 2018 5.55% = 0.82 × 0.95 × 17.73% × 0.40
Mar 30, 2018 5.41% = 0.83 × 0.95 × 17.15% × 0.40
Dec 31, 2017 5.34% = 0.84 × 0.95 × 17.04% × 0.39
Sep 29, 2017 5.20% = 0.89 × 0.95 × 15.88% × 0.39
Jun 30, 2017 4.82% = 0.91 × 0.94 × 14.75% × 0.38
Mar 31, 2017 5.09% = 0.86 × 0.94 × 16.52% × 0.38
Dec 31, 2016 5.64% = 0.85 × 0.94 × 18.93% × 0.37
Sep 30, 2016 6.04% = 0.78 × 0.94 × 18.70% × 0.44
Jul 1, 2016 6.81% = 0.81 × 0.95 × 23.68% × 0.37
Apr 1, 2016 7.33% = 0.82 × 0.96 × 22.66% × 0.41
Dec 31, 2015 6.96% = 0.82 × 0.96 × 20.65% × 0.43
Oct 2, 2015 — = — × — × — × —
Jul 3, 2015 — = — × — × — × —
Apr 3, 2015 — = — × — × — × —

Based on: 10-Q (filing date: 2020-05-06), 10-K (filing date: 2020-02-21), 10-Q (filing date: 2019-10-24), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-21), 10-Q (filing date: 2018-10-18), 10-Q (filing date: 2018-07-19), 10-Q (filing date: 2018-04-19), 10-K (filing date: 2018-02-21), 10-Q (filing date: 2017-10-19), 10-Q (filing date: 2017-07-20), 10-Q (filing date: 2017-04-20), 10-K (filing date: 2017-02-22), 10-Q (filing date: 2016-10-20), 10-Q (filing date: 2016-07-25), 10-Q (filing date: 2016-04-21), 10-K (filing date: 2016-02-24), 10-Q (filing date: 2015-10-22), 10-Q (filing date: 2015-07-23), 10-Q (filing date: 2015-04-23).

The primary reason for the decrease in return on assets ratio (ROA) over Q1 2020 is the decrease in efficiency measured by asset turnover ratio.

Disaggregation of Net Profit Margin

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

Microsoft Excel LibreOffice Calc
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
Apr 3, 2020 18.13% = 0.84 × 0.97 × 22.22%
Dec 31, 2019 16.80% = 0.78 × 0.97 × 22.28%
Sep 27, 2019 12.54% = 0.73 × 0.97 × 17.69%
Jun 28, 2019 12.63% = 0.74 × 0.97 × 17.75%
Mar 29, 2019 12.45% = 0.73 × 0.96 × 17.72%
Dec 31, 2018 13.33% = 0.81 × 0.95 × 17.34%
Sep 28, 2018 14.07% = 0.83 × 0.95 × 17.81%
Jun 29, 2018 13.84% = 0.82 × 0.95 × 17.73%
Mar 30, 2018 13.56% = 0.83 × 0.95 × 17.15%
Dec 31, 2017 13.60% = 0.84 × 0.95 × 17.04%
Sep 29, 2017 13.36% = 0.89 × 0.95 × 15.88%
Jun 30, 2017 12.63% = 0.91 × 0.94 × 14.75%
Mar 31, 2017 13.41% = 0.86 × 0.94 × 16.52%
Dec 31, 2016 15.13% = 0.85 × 0.94 × 18.93%
Sep 30, 2016 13.72% = 0.78 × 0.94 × 18.70%
Jul 1, 2016 18.39% = 0.81 × 0.95 × 23.68%
Apr 1, 2016 17.92% = 0.82 × 0.96 × 22.66%
Dec 31, 2015 16.33% = 0.82 × 0.96 × 20.65%
Oct 2, 2015 — = — × — × —
Jul 3, 2015 — = — × — × —
Apr 3, 2015 — = — × — × —

Based on: 10-Q (filing date: 2020-05-06), 10-K (filing date: 2020-02-21), 10-Q (filing date: 2019-10-24), 10-Q (filing date: 2019-07-18), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-02-21), 10-Q (filing date: 2018-10-18), 10-Q (filing date: 2018-07-19), 10-Q (filing date: 2018-04-19), 10-K (filing date: 2018-02-21), 10-Q (filing date: 2017-10-19), 10-Q (filing date: 2017-07-20), 10-Q (filing date: 2017-04-20), 10-K (filing date: 2017-02-22), 10-Q (filing date: 2016-10-20), 10-Q (filing date: 2016-07-25), 10-Q (filing date: 2016-04-21), 10-K (filing date: 2016-02-24), 10-Q (filing date: 2015-10-22), 10-Q (filing date: 2015-07-23), 10-Q (filing date: 2015-04-23).

The primary reason for the increase in net profit margin ratio over Q1 2020 is the increase in effect of taxes measured by tax burden ratio.