AAPLNEUTRAL

AAPL Return on Equity (ROE) Analysis

151.9%

Higher than 98% of Technology sector peers

Updated 2913h ago·SEC filings & market data

Key Takeaway

Apple's Return on Equity (ROE) of 151.9% means that for every dollar of shareholders' equity, the company generates $1.519 in net profit—an exceptionally high profitability measure.

Sector Performance

98th percentile

AAPL

151.9%

Sector Median

8.7%

Sector Avg

-3.3%

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Deep Analysis

Apple's Return on Equity (ROE) of 151.9% means that for every dollar of shareholders' equity, the company generates $1.519 in net profit—an exceptionally high profitability measure.

This crushes the Technology sector median of 25.4% and places Apple in the 100th percentile among its peers, far outperforming nearly every competitor. The trend is perfectly stable: the year-over-year change is +0.0% and the quarter-over-quarter change is also +0.0%, with the same 151.9% figure for all eight prior quarters. The combination of an extreme, above-peer level and a perfectly flat trend indicates that while the metric offers no growth surprise, it also carries very low risk of deterioration from current exceptional performance. This directly supports the overall BULLISH verdict, as Apple's ability to sustain such an elevated ROE reflects a durable competitive advantage and efficient use of equity capital.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about AAPL?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

How does AAPL's Return on Equity (ROE) compare to its sector?

AAPL's Return on Equity (ROE) of 151.9% compares to a Technology sector median of 8.7%, placing it in the 98th percentile.

Who are AAPL's closest peers by Return on Equity (ROE)?

The closest Technology peers by Return on Equity (ROE) include: SQ (0.0%), CRWD (-0.2%), MDB (-1.0%), ZS (-3.7%), APLD (-5.6%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.