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Duck Creek Technologies ROA %

: -2.82% (As of May. 2022)
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ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Duck Creek Technologies's annualized Net Income for the quarter that ended in May. 2022 was $-23.1 Mil. Duck Creek Technologies's average Total Assets over the quarter that ended in May. 2022 was $817.3 Mil. Therefore, Duck Creek Technologies's annualized ROA % for the quarter that ended in May. 2022 was -2.82%.

The historical rank and industry rank for Duck Creek Technologies's ROA % or its related term are showing as below:

DCT' s ROA % Range Over the Past 10 Years
Min: -4.51   Med: -2.84   Max: -1.39
Current: -1.39

During the past 5 years, Duck Creek Technologies's highest ROA % was -1.39%. The lowest was -4.51%. And the median was -2.84%.

DCT's ROA % is ranked worse than
58.18% of 2719 companies
in the Software industry
Industry Median: 1.29 vs DCT: -1.39

Duck Creek Technologies ROA % Historical Data

The historical data trend for Duck Creek Technologies's ROA % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Duck Creek Technologies Annual Data
Trend Aug17 Aug18 Aug19 Aug20 Aug21
ROA %
- -1.74 -3.69 -4.51 -1.99

Duck Creek Technologies Quarterly Data
Aug17 Aug18 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22
ROA % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -0.17 -2.64 0.33 -0.43 -2.82

Competitive Comparison

For the Software - Application subindustry, Duck Creek Technologies's ROA %, along with its competitors' market caps and ROA % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Duck Creek Technologies ROA % Distribution

For the Software industry and Technology sector, Duck Creek Technologies's ROA % distribution charts can be found below:

* The bar in red indicates where Duck Creek Technologies's ROA % falls into.



Duck Creek Technologies ROA % Calculation

Duck Creek Technologies's annualized ROA % for the fiscal year that ended in Aug. 2021 is calculated as:

ROA %=Net Income (A: Aug. 2021 )/( (Total Assets (A: Aug. 2020 )+Total Assets (A: Aug. 2021 ))/ count )
=-16.931/( (861.1+844.133)/ 2 )
=-16.931/852.6165
=-1.99 %

Duck Creek Technologies's annualized ROA % for the quarter that ended in May. 2022 is calculated as:

ROA %=Net Income (Q: May. 2022 )/( (Total Assets (Q: Feb. 2022 )+Total Assets (Q: May. 2022 ))/ count )
=-23.056/( (817.973+816.698)/ 2 )
=-23.056/817.3355
=-2.82 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (May. 2022) net income data. ROA % is displayed in the 30-year financial page.


Duck Creek Technologies  (NAS:DCT) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: May. 2022 )
=Net Income/Total Assets
=-23.056/817.3355
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-23.056 / 289.456)*(289.456 / 817.3355)
=Net Margin %*Asset Turnover
=-7.97 %*0.3541
=-2.82 %

Note: The Net Income data used here is four times the quarterly (May. 2022) net income data. The Revenue data used here is four times the quarterly (May. 2022) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


Duck Creek Technologies ROA % Related Terms

Thank you for viewing the detailed overview of Duck Creek Technologies's ROA % provided by GuruFocus.com. Please click on the following links to see related term pages.


Duck Creek Technologies Business Description

Duck Creek Technologies logo
Traded in Other Exchanges
N/A
Address
22 Boston Wharf Road, Floor 10, Boston, MA, USA, 02210
Duck Creek Technologies Inc is a technology company. The company is one of the leading SaaS provider of core systems for the P&C insurance industry. The product portfolio includes distribution management, reinsurance management, digital management, and other services. Geographically, it derives a majority of revenue from the United States.
Executives
Keeney Jessica Kate officer: Chief Product Officer C/O DUCK CREEK TECHNOLOGIES, INC. 22 BOSTON WHARF ROAD BOSTON MA 02210
Rhodes Kevin R officer: Chief Financial Officer 20 HARVARD MILLS SQUARE WAKEFIELD MA 01880
Bloom William A director ONE TOWER SQUARE HARTFORD CT 06183
Winter Jeffrey Howard officer: Chief Marketing Officer C/O DUCK CREEK TECHNOLOGIES, INC. 22 BOSTON WHARF ROAD, FLOOR 10 BOSTON MA 02210
Vaidyanathan Nageswaran officer: Chief Technology Officer C/O DUCK CREEK TECHNOLOGIES INC. 22 BOSTON WHARF ROAD, FLOOR 10 BOSTON MA 02210
Townsend Courtney officer: Chief People Officer C/O DUCK CREEK TECHNOLOGIES, INC. 22 BOSTON WHARF ROAD BOSTON MA 02210
Dodd Julie director C/O DUCK CREEK TECHNOLOGIES, INC. 22 BOSTON WHARF ROAD, FLOOR 10 BOSTON MA 02210
Foster Matthew R. officer: Chief Operating Officer C/O DUCK CREEK TECHNOLOGIES, INC. 22 BOSTON WHARF ROAD, FLOOR 10 BOSTON MA 02210
Disco (guernsey) Gp Co. Ltd director BOX 656, EAST WING, TRAFALGAR COURT LES BANQUES, ST PETER PORT Y7 GY1 3PP
Nicoll Stuart director C/O ACCENTURE, 161 N. CLARK STREET CHICAGO IL 60601
Fitzgerald Scott officer: Chief Marketing Officer C/O DUCK CREEK TECHNOLOGIES, INC. 22 BOSTON WHARF ROAD, FLOOR 10 BOSTON MA 02210
Dey Anirban officer: Chief Product & Technology Ofc C/O DUCK CREEK TECHNOLOGIES, INC. 22 BOSTON WHARF ROAD, FLOOR 10 BOSTON MA 02210
Jackowski Michael A. director, officer: Chief Executive Officer C/O DUCK CREEK TECHNOLOGIES, INC. 22 BOSTON WHARF ROAD, FLOOR 10 BOSTON MA 02210
Van Biert Eugene Jr. officer: Chief Revenue Officer C/O DUCK CREEK TECHNOLOGIES, INC. 22 BOSTON WHARF ROAD, FLOOR 10 BOSTON MA 02210
Wilson George Larry director C/O DUCK CREEK TECHNOLOGIES, INC. 22 BOSTON WHARF ROAD, FLOOR 10 BOSTON MA 02210

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