Stock Analysis on Net
Stock Analysis on Net

Marathon Oil Corp. (NYSE:MRO)

This company has been moved to the archive! The financial data has not been updated since August 4, 2022.

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

Microsoft Excel

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

Two-Component Disaggregation of ROE

Marathon Oil Corp., decomposition of ROE

Microsoft Excel
ROE = ROA × Financial Leverage
Dec 31, 2021 8.85% = 5.57% × 1.59
Dec 31, 2020 -13.74% = -8.08% × 1.70
Dec 31, 2019 3.95% = 2.37% × 1.67
Dec 31, 2018 9.04% = 5.14% × 1.76
Dec 31, 2017 -48.88% = -26.00% × 1.88

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Three-Component Disaggregation of ROE

Marathon Oil Corp., decomposition of ROE

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Dec 31, 2021 8.85% = 16.89% × 0.33 × 1.59
Dec 31, 2020 -13.74% = -46.85% × 0.17 × 1.70
Dec 31, 2019 3.95% = 9.48% × 0.25 × 1.67
Dec 31, 2018 9.04% = 18.57% × 0.28 × 1.76
Dec 31, 2017 -48.88% = -130.87% × 0.20 × 1.88

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Five-Component Disaggregation of ROE

Marathon Oil Corp., decomposition of ROE

Microsoft Excel
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
Dec 31, 2021 8.85% = 0.94 × 0.80 × 22.51% × 0.33 × 1.59
Dec 31, 2020 -13.74% = — × — × -38.30% × 0.17 × 1.70
Dec 31, 2019 3.95% = 1.22 × 0.58 × 13.27% × 0.25 × 1.67
Dec 31, 2018 9.04% = 0.77 × 0.84 × 28.92% × 0.28 × 1.76
Dec 31, 2017 -48.88% = — × — × -113.65% × 0.20 × 1.88

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Two-Component Disaggregation of ROA

Marathon Oil Corp., decomposition of ROA

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Dec 31, 2021 5.57% = 16.89% × 0.33
Dec 31, 2020 -8.08% = -46.85% × 0.17
Dec 31, 2019 2.37% = 9.48% × 0.25
Dec 31, 2018 5.14% = 18.57% × 0.28
Dec 31, 2017 -26.00% = -130.87% × 0.20

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Four-Component Disaggregation of ROA

Marathon Oil Corp., decomposition of ROA

Microsoft Excel
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
Dec 31, 2021 5.57% = 0.94 × 0.80 × 22.51% × 0.33
Dec 31, 2020 -8.08% = — × — × -38.30% × 0.17
Dec 31, 2019 2.37% = 1.22 × 0.58 × 13.27% × 0.25
Dec 31, 2018 5.14% = 0.77 × 0.84 × 28.92% × 0.28
Dec 31, 2017 -26.00% = — × — × -113.65% × 0.20

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Disaggregation of Net Profit Margin

Marathon Oil Corp., decomposition of net profit margin ratio

Microsoft Excel
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
Dec 31, 2021 16.89% = 0.94 × 0.80 × 22.51%
Dec 31, 2020 -46.85% = — × — × -38.30%
Dec 31, 2019 9.48% = 1.22 × 0.58 × 13.27%
Dec 31, 2018 18.57% = 0.77 × 0.84 × 28.92%
Dec 31, 2017 -130.87% = — × — × -113.65%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).