Stock Analysis on Net

Williams-Sonoma Inc. (NYSE:WSM)

$22.49

This company has been moved to the archive! The financial data has not been updated since May 24, 2024.

Return on Equity (ROE)
since 2005

Microsoft Excel

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Calculation

Williams-Sonoma Inc., ROE, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03), 10-K (reporting date: 2018-01-28), 10-K (reporting date: 2017-01-29), 10-K (reporting date: 2016-01-31), 10-K (reporting date: 2015-02-01), 10-K (reporting date: 2014-02-02), 10-K (reporting date: 2013-02-03), 10-K (reporting date: 2012-01-29), 10-K (reporting date: 2011-01-30), 10-K (reporting date: 2010-01-31), 10-K (reporting date: 2009-02-01), 10-K (reporting date: 2008-02-03), 10-K (reporting date: 2007-01-28), 10-K (reporting date: 2006-01-29), 10-K (reporting date: 2005-01-30).

1 US$ in thousands


Net Earnings
The net earnings exhibit considerable fluctuations over the analyzed period. Initially, earnings remained relatively stable with minor variations from 2005 through 2008, peaking early around 214,866 thousand US dollars in 2006. A significant decline is observed in 2009, dropping sharply to 30,024 thousand US dollars, likely reflecting external economic impacts. Post-2009, net earnings recovered steadily, reaching a peak in 2021 at 680,714 thousand US dollars. The following years show a spike in 2022 with net earnings exceeding one million thousand US dollars, but a moderate decline occurred in 2023 and 2024, though levels remained substantially higher than the earlier decade.
Stockholders’ Equity
Stockholders’ equity demonstrated a general upward trend across the period analyzed. From 957,662 thousand US dollars in 2005, equity gradually increased with minor fluctuations, reaching over two million thousand US dollars by 2024. Noteworthy is a steady increase post-2015, moving from approximately 1.2 million thousand US dollars to over 2.1 million thousand US dollars by the end of the observed timeline. This steady accumulation of equity suggests consistent reinvestment or retained earnings contributing to strengthened financial position.
Return on Equity (ROE)
ROE displayed notable volatility yet maintains an overall upward trajectory. Starting at 19.97% in 2005, ROE dipped significantly in 2009 to a low of 2.62%, aligned with the sharp fall in net earnings during that year. After the dip, ROE increased consistently, exceeding 25% multiple times between 2011 and 2019, with the highest values observed between 2021 and 2023, reaching a peak of 67.68% in 2022. This indicates improved profitability and efficiency in utilizing shareholders’ equity during these years. The decrease to 44.63% in 2024 suggests a correction or normalization after an exceptional period.
Overall Trends and Insights
The data reveals that despite facing downturns, particularly around 2009, financial performance improved significantly in the subsequent years. Net earnings and ROE both demonstrated strong recovery and growth, indicative of operational improvements or favorable market conditions. Continuous growth in stockholders’ equity complements this positive outlook, highlighting a strengthening balance sheet over time. The peak periods between 2020 and 2023 may reflect extraordinary performance possibly linked to external factors or strategic initiatives, though the slight decline in 2024 may suggest the beginning of a stabilization phase following high growth years.

Comparison to Competitors

Williams-Sonoma Inc., ROE, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03), 10-K (reporting date: 2018-01-28), 10-K (reporting date: 2017-01-29), 10-K (reporting date: 2016-01-31), 10-K (reporting date: 2015-02-01), 10-K (reporting date: 2014-02-02), 10-K (reporting date: 2013-02-03), 10-K (reporting date: 2012-01-29), 10-K (reporting date: 2011-01-30), 10-K (reporting date: 2010-01-31), 10-K (reporting date: 2009-02-01), 10-K (reporting date: 2008-02-03), 10-K (reporting date: 2007-01-28), 10-K (reporting date: 2006-01-29), 10-K (reporting date: 2005-01-30).


Comparison to Sector (Consumer Discretionary Distribution & Retail)

Williams-Sonoma Inc., ROE, long-term trends, comparison to sector (consumer discretionary distribution & retail)

Microsoft Excel

Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03), 10-K (reporting date: 2018-01-28), 10-K (reporting date: 2017-01-29), 10-K (reporting date: 2016-01-31), 10-K (reporting date: 2015-02-01), 10-K (reporting date: 2014-02-02), 10-K (reporting date: 2013-02-03), 10-K (reporting date: 2012-01-29), 10-K (reporting date: 2011-01-30), 10-K (reporting date: 2010-01-31), 10-K (reporting date: 2009-02-01), 10-K (reporting date: 2008-02-03), 10-K (reporting date: 2007-01-28), 10-K (reporting date: 2006-01-29), 10-K (reporting date: 2005-01-30).


Comparison to Industry (Consumer Discretionary)