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A (Agilent Technologies) ROE % : 23.79% (As of Oct. 2024)


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What is Agilent Technologies ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Agilent Technologies's annualized net income for the quarter that ended in Oct. 2024 was $1,404 Mil. Agilent Technologies's average Total Stockholders Equity over the quarter that ended in Oct. 2024 was $5,901 Mil. Therefore, Agilent Technologies's annualized ROE % for the quarter that ended in Oct. 2024 was 23.79%.

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

A' s ROE % Range Over the Past 10 Years
Min: 6.72   Med: 18.52   Max: 23.58
Current: 21.45

During the past 13 years, Agilent Technologies's highest ROE % was 23.58%. The lowest was 6.72%. And the median was 18.52%.

A's ROE % is ranked better than
92.86% of 210 companies
in the Medical Diagnostics & Research industry
Industry Median: -6.025 vs A: 21.45

Agilent Technologies ROE % Historical Data

The historical data trend for Agilent Technologies'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.

Agilent Technologies ROE % Chart

Agilent Technologies Annual Data
Trend Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.95 23.58 23.45 22.24 21.95

Agilent Technologies Quarterly Data
Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24
ROE % 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 33.32 23.14 19.87 18.62 23.79

Competitive Comparison of Agilent Technologies's ROE %

For the Diagnostics & Research subindustry, Agilent Technologies'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.


Agilent Technologies's ROE % Distribution in the Medical Diagnostics & Research Industry

For the Medical Diagnostics & Research industry and Healthcare sector, Agilent Technologies's ROE % distribution charts can be found below:

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



Agilent Technologies ROE % Calculation

Agilent Technologies's annualized ROE % for the fiscal year that ended in Oct. 2024 is calculated as

ROE %=Net Income (A: Oct. 2024 )/( (Total Stockholders Equity (A: Oct. 2023 )+Total Stockholders Equity (A: Oct. 2024 ))/ count )
=1289/( (5845+5898)/ 2 )
=1289/5871.5
=21.95 %

Agilent Technologies's annualized ROE % for the quarter that ended in Oct. 2024 is calculated as

ROE %=Net Income (Q: Oct. 2024 )/( (Total Stockholders Equity (Q: Jul. 2024 )+Total Stockholders Equity (Q: Oct. 2024 ))/ count )
=1404/( (5903+5898)/ 2 )
=1404/5900.5
=23.79 %

* 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 (Oct. 2024) net income data. ROE % is displayed in the 30-year financial page.


Agilent Technologies  (NYSE:A) 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: Oct. 2024 )
=Net Income/Total Stockholders Equity
=1404/5900.5
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(1404 / 6804)*(6804 / 11421)*(11421 / 5900.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=20.63 %*0.5957*1.9356
=ROA %*Equity Multiplier
=12.29 %*1.9356
=23.79 %

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: Oct. 2024 )
=Net Income/Total Stockholders Equity
=1404/5900.5
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (1404 / 1604) * (1604 / 1632) * (1632 / 6804) * (6804 / 11421) * (11421 / 5900.5)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8753 * 0.9828 * 23.99 % * 0.5957 * 1.9356
=23.79 %

Note: The net income data used here is four times the quarterly (Oct. 2024) net income data. The Revenue data used here is four times the quarterly (Oct. 2024) 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.


Agilent Technologies ROE % Related Terms

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


Agilent Technologies Business Description

Address
5301 Stevens Creek Boulevard, Santa Clara, CA, USA, 95051
Originally spun out of Hewlett-Packard in 1999, Agilent has evolved into a leading life science and diagnostic firm. Today, Agilent's measurement technologies serve a broad base of customers with its three operating segments: life science and applied tools, cross lab consisting of consumables and services related to life science and applied tools, and diagnostics and genomics. Over half of its sales are generated from the biopharmaceutical, chemical, and advanced materials end markets, which we view as the stickiest end markets, but it also supports clinical lab, environmental, forensics, food, academic, and government-related organizations. The company is geographically diverse, with operations in the US and China representing the largest country concentrations.
Executives
Padraig Mcdonnell officer: Senior Vice President 5301 STEVENS CREEK BLVD, SANTA CLARA CA 95051
Dominique Grau officer: Senior Vice President 5301 STEVENS CREEK BLVD., SANTA CLARA CA 95051
Philip Binns officer: Senior Vice President 5301 STEVENS CREEK BLVD., SANTA CLARA CA 95051
Michael R. Mcmullen officer: CEO and President 5301 STEVENS CREEK BLVD., MS 1A-LC, SANTA CLARA CA 95051
Rodney Gonsalves officer: V.P., Corporate Controller 5301 STEVENS CREEK BLVD., SANTA CLARA CA 95051
Heidi Fields director 5301 STEVENS CREEK BLVD, MS 1A-LC, SANTA CLARA CA 95051
Henrik Ancher-jensen officer: Sr. Vice President 5301 STEVENS CREEK BLVD., SANTA CLARA CA 95051
George A Scangos director C/O EXELIXIS INC, 170 HARBOR WAY, SAN FRANCISCO CA 94083
Otis W Brawley director 5203 BRISTOL INDUSTRIAL WAY, BUFORD GA 30518
Mikael Dolsten director 5 GIRALDA FARMS, MADISON NJ 07940
Mala Anand director C/O COTIVITI HOLDINGS, INC., 115 PERIMETER CENTER PLACE, SUITE 700, ATLANTA GA 30346
Sue H. Rataj director C/O CABOT CORPORATION, TWO SEAPORT LANE, SUITE 1300, BOSTON MA 02210
Dow R Wilson director VARIAN MEDICAL SYSTEMS INC, 3100 HANSEN WAY MAIL STOP E327, PALO ALTO CA 94304
Boon Hwee Koh director C/O AGILENT TECHNOLOGIES, 5301 STEVENS CREEK BLVD, MS 1A-LC, SANTA CLARA CA 95051
Hans Edgar Bishop director 60 WEST 66TH STREET, 26A, NEW YORK NY 10023