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Qualcomm ROE %

: 101.58% (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. Qualcomm's annualized net income attributable to common stockholders for the quarter that ended in Jun. 2022 was $14,920 Mil. Qualcomm's average Total Stockholders Equity over the quarter that ended in Jun. 2022 was $14,688 Mil. Therefore, Qualcomm's annualized ROE % for the quarter that ended in Jun. 2022 was 101.58%.

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

QCOM' s ROE % Range Over the Past 10 Years
Min: -31.46   Med: 19.95   Max: 153.46
Current: 109.3

During the past 13 years, Qualcomm's highest ROE % was 153.46%. The lowest was -31.46%. And the median was 19.95%.

QCOM's ROE % is ranked better than
99.55% of 898 companies
in the Semiconductors industry
Industry Median: 11.24 vs QCOM: 109.30

Qualcomm ROE % Historical Data

The historical data trend for Qualcomm'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.

Qualcomm 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 7.82 -31.46 153.46 94.63 112.85

Qualcomm 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 103.94 123.48 127.76 95.18 101.58

Competitive Comparison

For the Semiconductors subindustry, Qualcomm'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.

   

Qualcomm ROE % Distribution

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

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



Qualcomm ROE % Calculation

Qualcomm'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 )
=9043/( (6077+9950)/ 2 )
=9043/8013.5
=112.85 %

Qualcomm'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 )
=14920/( (13328+16048)/ 2 )
=14920/14688
=101.58 %

* 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.


Qualcomm  (NAS:QCOM) 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
=14920/14688
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(14920 / 43744)*(43744 / 45661)*(45661 / 14688)
=Net Margin %*Asset Turnover*Equity Multiplier
=34.11 %*0.958*3.1087
=ROA %*Equity Multiplier
=32.68 %*3.1087
=101.58 %

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
=14920/14688
=(Net Income /Pre-Tax Income) * (Pre-Tax Income/Operating Income) * (Operating Income/Revenue) * (Revenue/Total Assets) * (Total Assets/Total Stockholders Equity)
= (14920 / 16956) * (16956 / 13652) * (13652 / 43744) * (43744 / 45661) * (45661 / 14688)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8799 * 1.242 * 31.21 % * 0.958 * 3.1087
=101.58 %

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.


Qualcomm ROE % Related Terms

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


Qualcomm Business Description

Qualcomm logo
Address
5775 Morehouse Drive, San Diego, CA, USA, 92121-1714
Qualcomm develops and licenses wireless technology and designs chips for smartphones. The company's key patents revolve around CDMA and OFDMA technologies, which are standards in wireless communications that are the backbone of all 3G and 4G networks. The firm is a leader in 5G network technology as well. Qualcomm's IP is licensed by virtually all wireless device makers. The firm is also the world's largest wireless chip vendor, supplying nearly every premier handset maker with leading-edge processors. Qualcomm also sells RF-front end modules into smartphones and chips into automotive and Internet of Things markets.
Executives
Cathey James J officer: Chief Commercial Officer 5775 MOREHOUSE DRIVE SAN DIEGO CA 92121
Chaplin Ann C officer: General Counsel&Corp Secretary 5775 MOREHOUSE DRIVE SAN DIEGO CA 92121
Acevedo Sylvia director 5775 MOREHOUSE DRIVE SAN DIEGO CA 92121
Johnson Gregory N director C/O INTUIT INC. 2700 COAST AVENUE MOUNTAIN VIEW CA 94043
Tricoire Jean-pascal director 5775 MOREHOUSE DRIVE SAN DIEGO CA 92121
Miller Jamie S director GENERAL ELECTRIC COMPANY 5 NECCO STREET BOSTON MA 02210
Ace Heather S officer: EVP, Human Resources 3721 VALLEY CENTRE DR SUITE 500 SAN DIEGO CA 92130
Palkhiwala Akash J. officer: SVP & Interim CFO 5775 MOREHOUSE DRIVE SAN DIEGO CA 92121
Wise David officer: Interim CFO 5775 MOREHOUSE DRIVE SAN DIEGO CA 92121
Polek Erin L officer: SVP Corporate Controller & CAO 5775 MOREHOUSE DRIVE SAN DIEGO CA 92121
Anstice Martin B director 4650 CUSHING PARKWAY FREMONT CA 94538
Rosenfeld Irene B director 999 VANDERBILT BEACH ROAD SUITE 601 NAPLES FL 34108
Mollenkopf Steven M director, officer: Chief Executive Officer 5775 MOREHOUSE DRIVE SAN DIEGO CA 92121
Smit Neil director C/O AMERICA ONLINE LATIN AMERICA, INC. 6600 N. ANDREWS AVE., SUITE 400 FT. LAUDERDALE FL 33309
Fields Mark director FORD MOTOR COMPANY ONE AMERICAN ROAD DEARBORN MI 48126

Qualcomm Headlines

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