Arm Holdings plc American Depositary Shares (ARM) Return on Equity (ROE)

Price: $125.06
Market Cap: $131.81B
Avg Volume: 5.79M
Country: GB
Industry: Semiconductors
Sector: Technology
Beta: 4.798926
52W Range: $85.61-188.75
Website: Arm Holdings plc American Depositary Shares

Return on Equity (ROE) Summary

Arm Holdings plc American Depositary Shares's ROE measures the return generated on shareholders' equity:

  • Annual: 5.78%
  • Quarterly: 3.93%
  • TTM: 13.78%

What is Return on Equity (ROE)?

Return on Equity measures a company's ability to generate profits from its shareholders' equity. It indicates how effectively the management is using the company’s assets to create profits. A higher ROE generally reflects well on the company’s management and its ability to generate profits without needing as much capital.

Related Metrics

Other important metrics to assess Arm Holdings plc American Depositary Shares's profitability include:

  • ROIC (Return on Invested Capital) - measures how effectively the company uses its invested capital to generate profits:
    • Annual: 2.48%
    • Quarterly: 2.15%
    • TTM: 7.35%
  • ROA (Return on Assets) - measures the return generated on the company's assets:
    • Annual: 3.86%
    • Quarterly: 2.97%
    • TTM: 9.49%
  • Profit Margin - indicates the profitability of the company relative to its revenue:
    • Annual: 9.46%
    • Quarterly: 25.64%
    • TTM: 21.82%

These metrics provide insights into Arm Holdings plc American Depositary Shares's profitability and efficiency in using its capital and assets to generate returns. Comparing these ratios with industry benchmarks can offer a deeper understanding of the company's performance.

Annual ROE

5.78%

Quarterly ROE

3.93%

TTM ROE

13.78%

Arm Holdings plc American Depositary Shares Historical ROE
15.47%15.47%12.38%12.38%9.28%9.28%6.19%6.19%3.09%3.09%0.00%0.00%ROEJul '21Jul '2120222022Jul '22Jul '2220232023Jul '23Jul '2320242024
Historical ROIC
10.58%10.58%8.46%8.46%6.35%6.35%4.23%4.23%2.12%2.12%0.00%0.00%ROICJul '21Jul '2120222022Jul '22Jul '2220232023Jul '23Jul '2320242024
Historical ROA
8.43%8.43%6.75%6.75%5.06%5.06%3.37%3.37%1.69%1.69%0.00%0.00%ROAJul '21Jul '2120222022Jul '22Jul '2220232023Jul '23Jul '2320242024

Arm Holdings plc American Depositary Shares Historical Profitability Metrics

The table below shows various profitability metrics for each year, with the latest data available for the last fiscal year 2024.

Year ROE ROIC ROA Profit Margin
2024 5.78% 2.48% 3.86% 9.46%
2023 12.94% 9.47% 7.63% 19.56%
2022 15.47% 10.58% 8.43% 20.31%
2021 0.00% 0.00% 0.00% 19.14%

Related Metrics

Explore detailed financial metrics and analysis for ARM.