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Qualcomm (Qualcomm) Return-on-Tangible-Equity

: 108.09% (As of Dec. 2023)
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Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Qualcomm's annualized net income for the quarter that ended in Dec. 2023 was $11,068 Mil. Qualcomm's average shareholder tangible equity for the quarter that ended in Dec. 2023 was $10,240 Mil. Therefore, Qualcomm's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2023 was 108.09%.

The historical rank and industry rank for Qualcomm's Return-on-Tangible-Equity or its related term are showing as below:

QCOM' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -84.57   Med: 25.47   Max: 376.65
Current: 90.74

During the past 13 years, Qualcomm's highest Return-on-Tangible-Equity was 376.65%. The lowest was -84.57%. And the median was 25.47%.

QCOM's Return-on-Tangible-Equity is ranked better than
97.4% of 961 companies
in the Semiconductors industry
Industry Median: 4.98 vs QCOM: 90.74

Qualcomm Return-on-Tangible-Equity Historical Data

The historical data trend for Qualcomm's Return-on-Tangible-Equity 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 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Return-on-Tangible-Equity
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity 376.65 95.45

Qualcomm Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 148.12 98.50 90.99 66.25 108.09

Competitive Comparison

For the Semiconductors subindustry, Qualcomm's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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 Return-on-Tangible-Equity Distribution

For the Semiconductors industry and Technology sector, Qualcomm's Return-on-Tangible-Equity distribution charts can be found below:

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



Qualcomm Return-on-Tangible-Equity Calculation

Qualcomm's annualized Return-on-Tangible-Equity for the fiscal year that ended in Sep. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Sep. 2023 )  (A: Sep. 2022 )(A: Sep. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Sep. 2023 )  (A: Sep. 2022 )(A: Sep. 2023 )
=7232/( (5623+9531 )/ 2 )
=7232/7577
=95.45 %

Qualcomm's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2023 )  (Q: Sep. 2023 )(Q: Dec. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2023 )  (Q: Sep. 2023 )(Q: Dec. 2023 )
=11068/( (9531+10949)/ 2 )
=11068/10240
=108.09 %

* 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 Return-on-Tangible-Equity, the net income 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 data used here is four times the quarterly (Dec. 2023) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Qualcomm  (NAS:QCOM) 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 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.


Qualcomm Return-on-Tangible-Equity Related Terms

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


Qualcomm (Qualcomm) Business Description

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, 4G, and 5G networks. 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, as well as chips into automotive and Internet of Things markets.
Executives
Cristiano R Amon officer: President 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
James J Cathey officer: Chief Commercial Officer 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Alexander H Rogers officer: EVP & President, QTL 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Neil Martin officer: SVP, Finance and CAO 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
James H Thompson officer: EVP, Qualcomm Technologies Inc 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Jeffrey William Henderson director 7000 CARDINAL PLACE, DUBLIN OH 43017
Erin L Polek officer: SVP Corporate Controller & CAO 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Akash J. Palkhiwala officer: SVP & Interim CFO 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Ann C Chaplin officer: General Counsel&Corp Secretary 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Donald J Rosenberg officer: EVP, GC & Corporate Secretary QUALCOMM INCORPORATED, 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Brian Modoff officer: EVP, Strategy and M&A 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Gregory N Johnson director C/O INTUIT INC., 2700 COAST AVENUE, MOUNTAIN VIEW CA 94043
Sylvia Acevedo director 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121
Randt Clark T. Jr. director ONE VALMONT PLAZA, 13815 FIRST NATIONAL BANK PARKWAY, OMAHA NE 68154
Jean-pascal Tricoire director 5775 MOREHOUSE DRIVE, SAN DIEGO CA 92121