Return on Equity (ROE)

Avery Dennison’s Return on Equity (ROE) of 30.9% means that for every dollar of shareholders’ equity, the company generated about 31 cents in profit over the trailing twelve months – a measure of how efficiently it uses invested capital to produce earnings.

This figure places it well above the industrials sector median of 13.5%, ranking in the 75th percentile among sector peers, indicating strong relative profitability. However, the trend data is not available: the year-over-year change is listed as N/A, the quarter-over-quarter change is N/A, and the historical values consist only of the current 30.9% figure, so no directional insight can be drawn. The combination of a high ROE level with an unknown trend means the current performance looks favorable on a standalone basis, but without movement data the opportunity or risk from momentum cannot be assessed. This metric supports the overall NEUTRAL verdict directly: while the high ROE suggests efficient capital use, the lack of trend information prevents a more bullish or bearish tilt, leaving the rating balanced.

Frequently Asked Questions

Closest Sector Peers