Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.
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- Income Statement
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- Analysis of Liquidity Ratios
- Analysis of Solvency Ratios
- Analysis of Long-term (Investment) Activity Ratios
- Common Stock Valuation Ratios
- Enterprise Value to FCFF (EV/FCFF)
- Price to FCFE (P/FCFE)
- Operating Profit Margin since 2005
- Current Ratio since 2005
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Two-Component Disaggregation of ROE
ROE | = | ROA | × | Financial Leverage | |
---|---|---|---|---|---|
Feb 3, 2023 | = | × | |||
Jan 28, 2022 | = | × | |||
Jan 29, 2021 | = | × | |||
Jan 31, 2020 | = | × | |||
Feb 1, 2019 | = | × | |||
Feb 2, 2018 | = | × |
Based on: 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01), 10-K (reporting date: 2018-02-02).
Three-Component Disaggregation of ROE
ROE | = | Net Profit Margin | × | Asset Turnover | × | Financial Leverage | |
---|---|---|---|---|---|---|---|
Feb 3, 2023 | = | × | × | ||||
Jan 28, 2022 | = | × | × | ||||
Jan 29, 2021 | = | × | × | ||||
Jan 31, 2020 | = | × | × | ||||
Feb 1, 2019 | = | × | × | ||||
Feb 2, 2018 | = | × | × |
Based on: 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01), 10-K (reporting date: 2018-02-02).
Five-Component Disaggregation of ROE
Based on: 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01), 10-K (reporting date: 2018-02-02).
Two-Component Disaggregation of ROA
ROA | = | Net Profit Margin | × | Asset Turnover | |
---|---|---|---|---|---|
Feb 3, 2023 | = | × | |||
Jan 28, 2022 | = | × | |||
Jan 29, 2021 | = | × | |||
Jan 31, 2020 | = | × | |||
Feb 1, 2019 | = | × | |||
Feb 2, 2018 | = | × |
Based on: 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01), 10-K (reporting date: 2018-02-02).
The primary reason for the decrease in return on assets ratio (ROA) over 2023 year is the decrease in profitability measured by net profit margin ratio.
Four-Component Disaggregation of ROA
ROA | = | Tax Burden | × | Interest Burden | × | EBIT Margin | × | Asset Turnover | |
---|---|---|---|---|---|---|---|---|---|
Feb 3, 2023 | = | × | × | × | |||||
Jan 28, 2022 | = | × | × | × | |||||
Jan 29, 2021 | = | × | × | × | |||||
Jan 31, 2020 | = | × | × | × | |||||
Feb 1, 2019 | = | × | × | × | |||||
Feb 2, 2018 | = | × | × | × |
Based on: 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01), 10-K (reporting date: 2018-02-02).
The primary reason for the decrease in return on assets ratio (ROA) over 2023 year is the decrease in operating profitability measured by EBIT margin ratio.
Disaggregation of Net Profit Margin
Net Profit Margin | = | Tax Burden | × | Interest Burden | × | EBIT Margin | |
---|---|---|---|---|---|---|---|
Feb 3, 2023 | = | × | × | ||||
Jan 28, 2022 | = | × | × | ||||
Jan 29, 2021 | = | × | × | ||||
Jan 31, 2020 | = | × | × | ||||
Feb 1, 2019 | = | × | × | ||||
Feb 2, 2018 | = | × | × |
Based on: 10-K (reporting date: 2023-02-03), 10-K (reporting date: 2022-01-28), 10-K (reporting date: 2021-01-29), 10-K (reporting date: 2020-01-31), 10-K (reporting date: 2019-02-01), 10-K (reporting date: 2018-02-02).
The primary reason for the decrease in net profit margin ratio over 2023 year is the decrease in operating profitability measured by EBIT margin ratio.