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Apple Return-on-Tangible-Equity

: 174.85% (As of Dec. 2020)
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Return-on-Tangible-Equity is calculated as Net Income attributable to Common Stockholders divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Apple's annualized net income attributable to common stockholders for the quarter that ended in Dec. 2020 was $115,020 Mil. Apple's average shareholder tangible equity for the quarter that ended in Dec. 2020 was $65,782 Mil. Therefore, Apple's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2020 was 174.85%.

NAS:AAPL' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 32.12   Med: 44.36   Max: 85.97
Current: 85.97
32.12
85.97

During the past 13 years, Apple's highest Return-on-Tangible-Equity was 85.97%. The lowest was 32.12%. And the median was 44.36%.

NAS:AAPL's Return-on-Tangible-Equity is ranked higher than
97% of the 2257 Companies
in the Hardware industry.

( Industry Median: 6.09 vs. NAS:AAPL: 85.97 )

Apple Return-on-Tangible-Equity Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are indicated in the company's associated stock exchange currency.

* Premium members only.

Apple Annual Data
Sep11 Sep12 Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20
Return-on-Tangible-Equity Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 39.73 38.12 49.36 55.92 73.69

Apple Quarterly Data
Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20
Return-on-Tangible-Equity 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 98.82 53.58 59.73 73.67 174.85
Competitive Comparison
* 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.

Apple Return-on-Tangible-Equity Distribution

* The bar in red indicates where Apple's Return-on-Tangible-Equity falls into.


Apple Return-on-Tangible-Equity Calculation

Apple's annualized Return-on-Tangible-Equity for the fiscal year that ended in Sep. 2020 is calculated as

Return-on-Tangible-Equity=Net Income attributable to Common Stockholders/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Sep. 2020 )  (A: Sep. 2019 )(A: Sep. 2020 )
=Net Income attributable to Common Stockholders/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Sep. 2020 )  (A: Sep. 2019 )(A: Sep. 2020 )
=57411/( (90488+65339 )/ 2 )
=57411/77913.5
=73.69 %

Apple's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2020 is calculated as

Return-on-Tangible-Equity=Net Income attributable to Common Stockholders/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2020 )  (Q: Sep. 2020 )(Q: Dec. 2020 )
=Net Income attributable to Common Stockholders/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2020 )  (Q: Sep. 2020 )(Q: Dec. 2020 )
=115020/( (65339+66224)/ 2 )
=115020/65781.5
=174.85 %

* All numbers are in millions except for per share data and ratio. All numbers are indicated in the company's associated stock exchange currency.

In the calculation of annual Return-on-Tangible-Equity, the net income attributable to common stockholders of the last fiscal year and the average total shareholder tangible 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 (Dec. 2020) net income attributable to common stockholders data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

Apple  (NAS:AAPL) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.

Be Aware

Net income attributable to common stockholders is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity 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 Return-on-Tangible-Equitys can be extremely high.

Apple Return-on-Tangible-Equity Related Terms

Apple Return-on-Tangible-Equity Headlines

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