Diageo Operating Income from 2010 to 2026

DEO Stock  USD 100.81  1.73  1.75%   
Diageo PLC Operating Income yearly trend continues to be very stable with very little volatility. Operating Income is likely to drop to about 3.2 B. Operating Income is earnings before interest and taxes (EBIT), representing the amount of profit Diageo PLC ADR generates from its operations. View All Fundamentals
 
Operating Income  
First Reported
1998-09-30
Previous Quarter
3.2 B
Current Value
2.2 B
Quarterly Volatility
1.8 B
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
Check Diageo PLC financial statements over time to gain insight into future company performance. You can evaluate financial statements to find patterns among Diageo PLC's main balance sheet or income statement drivers, such as Depreciation And Amortization of 2.1 B, Interest Expense of 1.3 B or Total Revenue of 13.2 B, as well as many indicators such as Price To Sales Ratio of 2.82, Dividend Yield of 0.0532 or PTB Ratio of 5.15. Diageo financial statements analysis is a perfect complement when working with Diageo PLC Valuation or Volatility modules.
  
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Check out the analysis of Diageo PLC Correlation against competitors.
Evaluating Diageo PLC's Operating Income across multiple reporting periods reveals the company's ability to sustain growth and manage resources effectively. This longitudinal analysis highlights inflection points, cyclical patterns, and structural changes that short-term snapshots might miss, offering deeper insight into Diageo PLC ADR's fundamental strength.

Latest Diageo PLC's Operating Income Growth Pattern

Below is the plot of the Operating Income of Diageo PLC ADR over the last few years. Operating Income is the amount of profit realized from Diageo PLC ADR operations after accounting for operating expenses such as cost of goods sold (COGS), wages and depreciation. Operating income takes the gross income and subtracts other operating expenses and then removes depreciation. Operating Income of Diageo PLC ADR is typically a synonym for earnings before interest and taxes (EBIT) and is also commonly referred to as operating profit or recurring profit. It is earnings before interest and taxes (EBIT), representing the amount of profit a company generates from its operations. Diageo PLC's Operating Income historical data analysis aims to capture in quantitative terms the overall pattern of either growth or decline in Diageo PLC's overall financial position and show how it may be relating to other accounts over time.
Operating Income10 Years Trend
Slightly volatile
   Operating Income   
       Timeline  

Diageo Operating Income Regression Statistics

Arithmetic Mean3,756,976,572
Geometric Mean3,623,032,076
Coefficient Of Variation27.90
Mean Deviation797,340,067
Median3,559,000,000
Standard Deviation1,048,096,846
Sample Variance1098507T
Range4B
R-Value0.71
Mean Square Error578385.3T
R-Squared0.51
Significance0
Slope147,697,460
Total Sum of Squares17576112T

Diageo Operating Income History

20263.2 B
2025B
20244.3 B
2023B
20225.5 B
20214.4 B
20203.7 B

Other Fundumenentals of Diageo PLC ADR

Diageo PLC Operating Income component correlations

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About Diageo PLC Financial Statements

Diageo PLC investors utilize fundamental indicators, such as Operating Income, to predict how Diageo Stock might perform in the future. Analyzing these trends over time helps investors make informed market timing decisions. For further insights, please visit our fundamental analysis page.
Last ReportedProjected for Next Year
Operating IncomeB3.2 B

Pair Trading with Diageo PLC

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Diageo PLC position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Diageo PLC will appreciate offsetting losses from the drop in the long position's value.

Moving against Diageo Stock

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The ability to find closely correlated positions to Diageo PLC could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Diageo PLC when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Diageo PLC - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Diageo PLC ADR to buy it.
The correlation of Diageo PLC is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Diageo PLC moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Diageo PLC ADR moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Diageo PLC can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching
When determining whether Diageo PLC ADR offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Diageo PLC's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Diageo Plc Adr Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Diageo Plc Adr Stock:
Check out the analysis of Diageo PLC Correlation against competitors.
You can also try the Insider Screener module to find insiders across different sectors to evaluate their impact on performance.
Will Distillers & Vintners sector continue expanding? Could Diageo diversify its offerings? Factors like these will boost the valuation of Diageo PLC. Projected growth potential of Diageo fundamentally drives upward valuation adjustments. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Diageo PLC data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Quarterly Earnings Growth
(0.75)
Dividend Share
1.035
Earnings Share
4.23
Revenue Per Share
2.0226
Quarterly Revenue Growth
0.004
Investors evaluate Diageo PLC ADR using market value (trading price) and book value (balance sheet equity), each telling a different story. Calculating Diageo PLC's intrinsic value - the estimated true worth - helps identify when the stock trades at a discount or premium to fair value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. External factors like market trends, sector rotation, and investor psychology can cause Diageo PLC's market price to deviate significantly from intrinsic value.
It's important to distinguish between Diageo PLC's intrinsic value and market price, which are calculated using different methodologies. Investment decisions regarding Diageo PLC should consider multiple factors including financial performance, growth metrics, competitive position, and professional analysis. Conversely, Diageo PLC's market price signifies the transaction level at which participants voluntarily complete trades.