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Xylem (XYL) Return-on-Tangible-Equity : 153.36% (As of Sep. 2024)


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What is Xylem Return-on-Tangible-Equity?

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. Xylem's annualized net income for the quarter that ended in Sep. 2024 was $868 Mil. Xylem's average shareholder tangible equity for the quarter that ended in Sep. 2024 was $566 Mil. Therefore, Xylem's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2024 was 153.36%.

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

XYL' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 359   Med: 982.04   Max: 1182.46
Current: 359

During the past 13 years, Xylem's highest Return-on-Tangible-Equity was 1,182.46%. The lowest was 359.00%. And the median was 982.04%.

XYL's Return-on-Tangible-Equity is ranked better than
97.23% of 2920 companies
in the Industrial Products industry
Industry Median: 7.06 vs XYL: 359.00

Xylem Return-on-Tangible-Equity Historical Data

The historical data trend for Xylem'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.

Xylem Return-on-Tangible-Equity Chart

Xylem Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity

Xylem Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Return-on-Tangible-Equity Get a 7-Day Free Trial 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 Negative Tangible Equity Negative Tangible Equity 434.04 224.93 153.36

Competitive Comparison of Xylem's Return-on-Tangible-Equity

For the Specialty Industrial Machinery subindustry, Xylem'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.


Xylem's Return-on-Tangible-Equity Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Xylem's Return-on-Tangible-Equity distribution charts can be found below:

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



Xylem Return-on-Tangible-Equity Calculation

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

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2023 )  (A: Dec. 2022 )(A: Dec. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2023 )  (A: Dec. 2022 )(A: Dec. 2023 )
=609/( (-155+50 )/ 2 )
=609/-52.5
=Negative Tangible Equity %

Xylem's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Sep. 2024 )  (Q: Jun. 2024 )(Q: Sep. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Sep. 2024 )  (Q: Jun. 2024 )(Q: Sep. 2024 )
=868/( (458+674)/ 2 )
=868/566
=153.36 %

* 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 (Sep. 2024) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Xylem  (NYSE:XYL) 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.


Xylem Return-on-Tangible-Equity Related Terms

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


Xylem Business Description

Traded in Other Exchanges
Address
300 Water Street SE, Washington, DC, USA, 20003
Xylem is a global leader in water technology and offers a wide range of solutions, including the transport, treatment, testing, and efficient use of water for customers in the utility, industrial, commercial, and residential sectors. Xylem was spun off from ITT in 2011. Based in Rye Brook, New York, Xylem has a presence in over 150 countries and employs 16,200. The company generated $7.4 billion in revenue in 2023.
Executives
Lila Tretikov director 149 NEW MONTGOMERY STREET, FLOOR 6, SAN FRANCISCO CA 94105
Victoria D Harker director 4300 WILSON BOULEVARD, ARLINGTON VA 22203
Geri-michelle Mcshane officer: Chief Accounting Officer C/O XYLEM INC., 1 INTERNATIONAL DRIVE, RYE BROOK NY 10573
Rodney Aulick officer: SVP & President, IS&S EVOQUA WATER TECHNOLOGIES CORP., 210 SIXTH AVENUE, PITTSBURGH PA 15222
Franz Cerwinka officer: SVP and President, Emerging Ma XYLEM INC., 1 INTERNATIONAL DRIVE, RYE BROOK NY 10573
Jeanne Beliveau-dunn director C/O XYLEM INC., 1 INTERNATIONAL DRIVE, RYE BROOK NY 10573
Claudia S Toussaint officer: SVP, GC & Corporate Secretary 5454 W 110TH STREET, OVERLAND PARK KS 66211
William K Grogan officer: SVP & Chief Financial Officer 3100 SANDERS ROAD, SUITE 301, NORTHBROOK IL 60062
Patrick Decker director, officer: President & CEO 9 ROSZEL ROAD, PRINCETON NJ 08540
Lisa Glatch director EVOQUA WATER TECHNOLOGIES CORP., 210 SIXTH AVENUE, PITTSBURGH PA 15222
Lynn C Swann director C/O AMERICAN HOMES 4 RENT, 23975 PARK SORRENTO, SUITE 300, CALABASAS CA 91302
Earl Ray Ellis director ONE LIBERTY PLAZA, 7TH FLOOR, NEW YORK NY 10006
Hayati Yarkadas officer: Senior Vice President C/O TRINSEO S.A., 1000 CHESTERBROOK BOULEVARD, SUITE 300, BERWYN PA 19312
Michael J. Mcgann officer: Senior Vice President 301 WATER STREET, SUITE 200, WASHINGTON DC 20003
Matthew Francis Pine officer: Senior Vice President XYLEM INC., 1 INTERNATIONAL DRIVE, RYE BROOK NY 10573