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Apple ROE %

: 123.93% (As of Jun. 2022)
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ROE % is calculated as Net Income attributable to Common Stockholders (Net Income minus dividends to participating security holders) divided by its average Total Stockholders Equity over a certain period of time. Apple's annualized net income attributable to common stockholders for the quarter that ended in Jun. 2022 was $77,768 Mil. Apple's average Total Stockholders Equity over the quarter that ended in Jun. 2022 was $62,753 Mil. Therefore, Apple's annualized ROE % for the quarter that ended in Jun. 2022 was 123.93%.

The historical rank and industry rank for Apple's ROE % or its related term are showing as below:

AAPL' s ROE % Range Over the Past 10 Years
Min: 30.64   Med: 44.55   Max: 153.37
Current: 153.37

During the past 13 years, Apple's highest ROE % was 153.37%. The lowest was 30.64%. And the median was 44.55%.

AAPL's ROE % is ranked better than
99.78% of 2325 companies
in the Hardware industry
Industry Median: 7.40 vs AAPL: 153.37

Apple ROE % Historical Data

The historical data trend for Apple's ROE % 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.

Apple Annual Data
Trend Sep12 Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21
ROE %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 36.87 49.36 55.92 73.69 147.44

Apple Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
ROE % 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 130.34 129.08 205.18 143.60 123.93

Competitive Comparison

For the Consumer Electronics subindustry, Apple's ROE %, along with its competitors' market caps and ROE % 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.

   

Apple ROE % Distribution

For the Hardware industry and Technology sector, Apple's ROE % distribution charts can be found below:

* The bar in red indicates where Apple's ROE % falls into.



Apple ROE % Calculation

Apple's annualized ROE % for the fiscal year that ended in Sep. 2021 is calculated as

ROE %=Net Income attributable to Common Stockholders (A: Sep. 2021 )/( (Total Stockholders Equity (A: Sep. 2020 )+Total Stockholders Equity (A: Sep. 2021 ))/ count )
=94680/( (65339+63090)/ 2 )
=94680/64214.5
=147.44 %

Apple's annualized ROE % for the quarter that ended in Jun. 2022 is calculated as

ROE %=Net Income attributable to Common Stockholders (Q: Jun. 2022 )/( (Total Stockholders Equity (Q: Mar. 2022 )+Total Stockholders Equity (Q: Jun. 2022 ))/ count )
=77768/( (67399+58107)/ 2 )
=77768/62753
=123.93 %

* 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 ROE %, the net income attributable to common stockholders of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income attributable to common stockholders data used here is four times the quarterly (Jun. 2022) net income attributable to common stockholders data. ROE % is displayed in the 30-year financial page.


Apple  (NAS:AAPL) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %**(Q: Jun. 2022 )
=Net Income/Total Stockholders Equity
=77768/62753
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(77768 / 331836)*(331836 / 343485.5)*(343485.5 / 62753)
=Net Margin %*Asset Turnover*Equity Multiplier
=23.44 %*0.9661*5.4736
=ROA %*Equity Multiplier
=22.65 %*5.4736
=123.93 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %**(Q: Jun. 2022 )
=Net Income/Total Stockholders Equity
=77768/62753
=(Net Income /Pre-Tax Income) * (Pre-Tax Income/Operating Income) * (Operating Income/Revenue) * (Revenue/Total Assets) * (Total Assets/Total Stockholders Equity)
= (77768 / 92264) * (92264 / 92304) * (92304 / 331836) * (331836 / 343485.5) * (343485.5 / 62753)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8429 * 0.9996 * 27.82 % * 0.9661 * 5.4736
=123.93 %

Note: The net income attributable to common stockholders data used here is four times the quarterly (Jun. 2022) net income attributable to common stockholders data. The Revenue data used here is four times the quarterly (Jun. 2022) revenue data. The same rule applies to Pre-Tax Income and Operating Income.

* 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.

** The ROE % used above is for Du Pont Analysis only. It is different from the defined ROE % page on our website, as here it uses Net Income instead of Net Income attributable to Common Stockholders in the calculation.


Be Aware

Net income attributable to common stockholders is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Apple ROE % Related Terms

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


Apple Business Description

Apple logo
Address
One Apple Park Way, Cupertino, CA, USA, 95014
Apple designs a wide variety of consumer electronic devices, including smartphones (iPhone), tablets (iPad), PCs (Mac), smartwatches (Apple Watch), AirPods, and TV boxes (Apple TV), among others. The iPhone makes up the majority of Apple's total revenue. In addition, Apple offers its customers a variety of services such as Apple Music, iCloud, Apple Care, Apple TV+, Apple Arcade, Apple Card, and Apple Pay, among others. Apple's products run internally developed software and semiconductors, and the firm is well known for its integration of hardware, software and services. Apple's products are distributed online as well as through company-owned stores and third-party retailers. The company generates roughly 40% of its revenue from the Americas, with the remainder earned internationally.
Executives
Gorsky Alex director JOHNSON & JOHNSON ONE JOHNSON & JOHNSON PLAZA NEW BRUNSWICK NJ 08933
Lozano Monica C director
O'brien Deirdre officer: Senior Vice President ONE APPLE PARK WAY CUPERTINO CA 95014
Iger Robert A director C/O WALT DISNEY CO 500 S BUENA VISTA STREET BURBANK CA 91521-1062
Jung Andrea director C/O APPLE INC ONE APPLE PARK WAY CUPERTINO CA 95014
Wagner Susan director C/O BLACKROCK, INC. 40 EAST 52ND STREET NEW YORK NY 10022
Bell James A director C/O THE DOW CHEMICAL COMPANY 2211 H.H. DOW WAY MIDLAND MI 48674
Gore Albert Jr director C/O APPLE INC 1 INFINITE LOOP CUPERTINO CA 95014
Sugar Ronald D director 10877 WILSHIRE BLVD. SUITE 1650 LOS ANGELES CA 900274
Adams Katherine L. officer: SVP, General Counsel APPLE INC. 1 INFINITE LOOP CUPERTINO CA 95014
Maestri Luca officer: Senior Vice President, CFO 1 INFINITE LOOP CUPERTINO CA 95014
Ahrendts Angela J officer: Senior Vice President 1 INFINITE LOOP CUPERTINO CA 95014
Williams Jeffrey E officer: COO ONE INFINITE LOOP CUPERTINO CA 95014
Schiller Philip W officer: Senior Vice President C/O APPLE INC ONE INFINITE LOOP CUPERTINO CA 95014
Cue Eduardo H officer: Senior Vice President 1 INFINITE LOOP CUPERTINO CA 95014

Apple Headlines

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