GURUFOCUS.COM » STOCK LIST » USA » NAS » Insight Enterprises Inc (NAS:NSIT) » Definitions » ROA %
Switch to:

Insight Enterprises ROA %

: 6.82% (As of Jun. 2022)
View and export this data going back to 1995. Start your Free Trial

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Insight Enterprises's annualized Net Income for the quarter that ended in Jun. 2022 was $357 Mil. Insight Enterprises's average Total Assets over the quarter that ended in Jun. 2022 was $5,227 Mil. Therefore, Insight Enterprises's annualized ROA % for the quarter that ended in Jun. 2022 was 6.82%.

The historical rank and industry rank for Insight Enterprises's ROA % or its related term are showing as below:

NSIT' s ROA % Range Over the Past 10 Years
Min: 3.67   Med: 4.04   Max: 5.99
Current: 5.43

During the past 13 years, Insight Enterprises's highest ROA % was 5.99%. The lowest was 3.67%. And the median was 4.04%.

NSIT's ROA % is ranked better than
59.77% of 2391 companies
in the Hardware industry
Industry Median: 3.84 vs NSIT: 5.43

Insight Enterprises ROA % Historical Data

The historical data trend for Insight Enterprises'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.

Insight Enterprises Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
ROA %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.70 5.99 4.58 4.07 4.87

Insight Enterprises Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.25 4.88 5.45 4.75 6.82

Competitive Comparison

For the Electronics & Computer Distribution subindustry, Insight Enterprises'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.

   

Insight Enterprises ROA % Distribution

For the Hardware industry and Technology sector, Insight Enterprises's ROA % distribution charts can be found below:

* The bar in red indicates where Insight Enterprises's ROA % falls into.



Insight Enterprises ROA % Calculation

Insight Enterprises's annualized ROA % for the fiscal year that ended in Dec. 2021 is calculated as:

ROA %=Net Income (A: Dec. 2021 )/( (Total Assets (A: Dec. 2020 )+Total Assets (A: Dec. 2021 ))/ count )
=219.345/( (4310.732+4689.08)/ 2 )
=219.345/4499.906
=4.87 %

Insight Enterprises's annualized ROA % for the quarter that ended in Jun. 2022 is calculated as:

ROA %=Net Income (Q: Jun. 2022 )/( (Total Assets (Q: Mar. 2022 )+Total Assets (Q: Jun. 2022 ))/ count )
=356.736/( (4849.788+5604.323)/ 2 )
=356.736/5227.0555
=6.82 %

* 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 (Jun. 2022) net income data. ROA % is displayed in the 30-year financial page.


Insight Enterprises  (NAS:NSIT) 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: Jun. 2022 )
=Net Income/Total Assets
=356.736/5227.0555
=(Net Income / Revenue)*(Revenue / Total Assets)
=(356.736 / 10973.508)*(10973.508 / 5227.0555)
=Net Margin %*Asset Turnover
=3.25 %*2.0994
=6.82 %

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


Insight Enterprises ROA % Related Terms

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


Insight Enterprises Business Description

Insight Enterprises logo
Traded in Other Exchanges
Address
6820 South Harl Avenue, Tempe, AZ, USA, 85283
Insight Enterprises Inc is a Fortune 500 global IT provider primarily engaged in helping businesses of all sizes, large enterprises, governments, schools, and health care organizations. The company has three geographic operating segments: North America, EMEA, and APAC. It generates maximum revenue from North America segment. The company provides digital innovation, cloud/data center transformation, connected workforce, and supply chain optimization solutions and services.
Executives
Burger Daniel officer: President INA 6820 S HARL AVENUE TEMPE AZ 85283
Nallapati Sumana officer: Chief Information Officer 6820 S HARL AVENUE TEMPE AZ 85283
Vasin Jennifer M officer: Chief Human Resources Officer 6820 S HARL AVENUE TEMPE AZ 85283
Valueact Capital Management, Llc director, other: See Remarks ONE LETTERMAN DRIVE BUILDING D, 4TH FLOOR SAN FRANCISCO CA 94129
Va Partners I, Llc director, other: See Remarks ONE LETTERMAN DRIVE BUILDING D, 4TH FLOOR SAN FRANCISCO CA 94129
Valueact Holdings Gp, Llc director, other: See Remarks ONE LETTERMAN DRIVE BUILDING D, 4TH FLOOR SAN FRANCISCO CA 94129
Valueact Holdings, L.p. director, other: See Remarks ONE LETTERMAN DRIVE BUILDING D, 4TH FLOOR SAN FRANCISCO CA 94129
Valueact Capital Master Fund, L.p. director, other: See Remarks ONE LETTERMAN DRIVE BUILDING D, 4TH FLOOR SAN FRANCISCO CA 94129
Valueact Capital Management, L.p. director, other: See Remarks ONE LETTERMAN DRIVE BUILDING D, 4TH FLOOR SAN FRANCISCO CA 94129
Valueact Holdings Ii, L.p. director, other: See Remarks ONE LETTERMAN DRIVE BUILDING D, FOURTH FLOOR SAN FRANCISCO CA 94129
Baum Alexander L. director ONE LETTERMAN DRIVE BUILDING D, FOURTH FLOOR SAN FRANCISCO CA 94129
Morgado James A. officer: SVP Finance 6820 S HARL AVENUE TEMPE AZ 85283
Desousa Emma officer: President, EMEA 6820 S HARL AVENUE TEMPE AZ 85283
Mullen Joyce A officer: President, North America 8111 LYNDALE AVENUE SOUTH BLOOMINGTON MN 55420
Shumway Jeffery officer: Chief Information Officer 6820 S HARL AVENUE TEMPE AZ 85283

Insight Enterprises Headlines

Other Sources

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)