NVIDIA (NVDA) Return on Invested Capital (ROIC)

Price: $141.95
Market Cap: $3.48T
Avg Volume: 272.67M
Country: US
Industry: Semiconductors
Sector: Technology
Beta: 1.657
52W Range: $45.01-152.89
Website: NVIDIA

Return on Invested Capital (ROIC) Summary

NVIDIA's ROIC measures how effectively the company uses its invested capital to generate profits:

  • Annual: 55.07%
  • Quarterly: 25.45%
  • TTM: 82.63%

What is ROIC?

Return on Invested Capital (ROIC) measures how effectively a company uses its capital from debt and equity to generate profits. ROIC is a useful metric for comparing the efficiency of capital allocation between different companies or across time periods within the same company. A higher ROIC indicates a more efficient use of capital.

Related Metrics

Other important metrics to assess NVIDIA's profitability include:

  • ROE (Return on Equity) - measures the return generated on shareholders' equity:
    • Annual: 69.24%
    • Quarterly: 29.30%
    • TTM: 116.71%
  • ROA (Return on Assets) - measures the return generated on the company's assets:
    • Annual: 45.28%
    • Quarterly: 20.11%
    • TTM: 65.69%

These metrics provide insights into NVIDIA'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 ROIC

55.07%

Quarterly ROIC

25.45%

TTM ROIC

82.63%

NVIDIA Historical ROIC
55.07%55.07%44.06%44.06%33.04%33.04%22.03%22.03%11.01%11.01%0.00%0.00%ROIC201620162017201720182018201920192020202020212021202220222023202320242024
Historical ROE
69.24%69.24%55.40%55.40%41.55%41.55%27.70%27.70%13.85%13.85%0.00%0.00%ROE201620162017201720182018201920192020202020212021202220222023202320242024
Historical ROA
45.28%45.28%36.22%36.22%27.17%27.17%18.11%18.11%9.06%9.06%0.00%0.00%ROA201620162017201720182018201920192020202020212021202220222023202320242024

NVIDIA 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 ROIC ROE ROA
2024 55.07% 69.24% 45.28%
2023 13.35% 19.76% 10.61%
2022 25.72% 36.65% 22.07%
2021 18.18% 25.64% 15.05%
2020 18.16% 22.91% 16.15%
2019 35.69% 44.33% 31.15%
2018 32.31% 40.78% 27.11%
2017 19.73% 28.91% 16.93%
2016 10.49% 13.74% 8.33%
2015 10.93% 14.27% 8.76%