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Juniper Networks (Juniper Networks) ROE %

: 11.27% (As of Dec. 2023)
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ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Juniper Networks's annualized net income for the quarter that ended in Dec. 2023 was $497 Mil. Juniper Networks's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $4,412 Mil. Therefore, Juniper Networks's annualized ROE % for the quarter that ended in Dec. 2023 was 11.27%.

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

JNPR' s ROE % Range Over the Past 10 Years
Min: -5.47   Med: 7.12   Max: 13.35
Current: 7.02

During the past 13 years, Juniper Networks's highest ROE % was 13.35%. The lowest was -5.47%. And the median was 7.12%.

JNPR's ROE % is ranked better than
59.63% of 2410 companies
in the Hardware industry
Industry Median: 4.72 vs JNPR: 7.02

Juniper Networks ROE % Historical Data

The historical data trend for Juniper Networks'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.

Juniper Networks Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.31 5.63 5.70 10.71 6.92

Juniper Networks Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 16.38 7.67 2.22 7.01 11.27

Competitive Comparison

For the Communication Equipment subindustry, Juniper Networks'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.


Juniper Networks ROE % Distribution

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

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



Juniper Networks ROE % Calculation

Juniper Networks's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=310.2/( (4475.1+4492.7)/ 2 )
=310.2/4483.9
=6.92 %

Juniper Networks's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %=Net Income (Q: Dec. 2023 )/( (Total Stockholders Equity (Q: Sep. 2023 )+Total Stockholders Equity (Q: Dec. 2023 ))/ count )
=497.2/( (4331.2+4492.7)/ 2 )
=497.2/4411.95
=11.27 %

* 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 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 data used here is four times the quarterly (Dec. 2023) net income data. ROE % is displayed in the 30-year financial page.


Juniper Networks  (NYSE:JNPR) 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: Dec. 2023 )
=Net Income/Total Stockholders Equity
=497.2/4411.95
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(497.2 / 5459.2)*(5459.2 / 9461.65)*(9461.65 / 4411.95)
=Net Margin %*Asset Turnover*Equity Multiplier
=9.11 %*0.577*2.1446
=ROA %*Equity Multiplier
=5.26 %*2.1446
=11.27 %

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: Dec. 2023 )
=Net Income/Total Stockholders Equity
=497.2/4411.95
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (497.2 / 470.4) * (470.4 / 580.8) * (580.8 / 5459.2) * (5459.2 / 9461.65) * (9461.65 / 4411.95)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.057 * 0.8099 * 10.64 % * 0.577 * 2.1446
=11.27 %

Note: The net income data used here is four times the quarterly (Dec. 2023) net income data. The Revenue data used here is four times the quarterly (Dec. 2023) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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

Net Income 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.


Juniper Networks ROE % Related Terms

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


Juniper Networks (Juniper Networks) Business Description

Traded in Other Exchanges
Address
1133 Innovation Way, Sunnyvale, CA, USA, 94089
Juniper Networks Inc is engaged in designing, developing, and selling products and services for high-performance networks to enable customers to build scalable, reliable, secure, and cost-effective networks for their businesses, while achieving agility and improved operating efficiency through automation. The company's high-performance network and service offerings include routing, switching, Wi-Fi, network security, artificial intelligence (AI) or AI-enabled enterprise networking operations (AIOps), and software-defined networking (SDN) technologies. In addition to the company's products, the company offers its customers a variety of services, including maintenance and support, professional services, Software-as-a-Service ("SaaS"), and education and training programs.
Executives
Robert Mobassaly officer: SVP General Counsel 1133 INNOVATION WAY, SUNNYVALE CA 94089
Rami Rahim officer: EVP Platform Systems Division 1194 N. MATHILDA AVE., SUNNYVALE CA 94089
Anne Delsanto director 1133 INNOVATION WAY, SUNNYVALE CA 94089
Kenneth Bradley Miller officer: EVP & CFO 1133 INNOVATION WAY, SUNNYVALE CA 94086
Kevin A Denuccio director 300 HOLGER WAY, SAN JOSE CA 95134
Dolce James A Jr director C/O JUNIPER NETWORKS, 140 CASPIAN COURT, SUNNYVALE CA 94089
Kaddaras Christopher Nicholas Jr officer: EVP Chief Revenue Officer C/O NUTANIX, INC., 1740 TECHNOLOGY DR., STE 150, SAN JOSE CA 95110
Scott Kriens director C/O JUNIPER NETWORKS INC, 1194 N MATHILDA AVE, SUNNYVALE CA 94089
Steven Fernandez director 1133 INNOVATION WAY, SUNNYVALE CA 94089
Manoj Leelanivas officer: EVP Chief Product Officer 1133 INNOVATION WAY, SUNNYVALE CA 94089
Marcus Jewell officer: EVP Chief Revenue Officer 1133 INNOVATION WAY, SUNNYVALE CA 94089
William Stensrud director 13491 SUMMIT CIRCLE, POWAY CA 92064
Thomas A Austin officer: Vice President & 1133 INNOVATION WAY, SUNNYVALE CA 94089
Brian Martin officer: SVP General Counsel Secty 160 RIO ROBLES, SAN JOSE CA 95134
Bikash Koley officer: EVP CTO 1133 INNOVATION DRIVE, SUNNYVALE CA 94116