Diageo Plc Adr Stock Return On Equity

DEO Stock

USD 120.09 1.99 1.69%

Diageo PLC ADR fundamentals help investors to digest information that contributes to Diageo PLC's financial success or failures. It also enables traders to predict the movement of Diageo Stock. The fundamental analysis module provides a way to measure Diageo PLC's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Diageo PLC stock.

		Last Reported	Projected for Next Year
	Return On Equity	0.49	0.11

As of the 25th of November 2024, Return On Equity is likely to drop to 0.11.

This module does not cover all equities due to inconsistencies in global equity categorizations. Continue to Equity Screeners to view more equity screening tools.

Diageo PLC ADR Company Return On Equity Analysis

Diageo PLC's Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.

Return On Equity

Net Income

Total Equity

More About Return On Equity | All Equity Analysis

Current Diageo PLC Return On Equity

0.35

Most of Diageo PLC's fundamental indicators, such as Return On Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Diageo PLC ADR is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.

Diageo Return On Equity Driver Correlations

Understanding the fundamental principles of building solid financial models for Diageo PLC is extremely important. It helps to project a fair market value of Diageo Stock properly, considering its historical fundamentals such as Return On Equity. Since Diageo PLC's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Diageo PLC's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Diageo PLC's interrelated accounts and indicators.

	Total Assets	Total Stockholder Equity	Net Debt	Retained Earnings	Accounts Payable	Short Term Investments	Total Liab	Total Current Assets	Short Term Debt	Intangible Assets	Common Stock	Net Receivables	Current Deferred Revenue	Long Term Debt	Good Will	Property Plant Equipment	Treasury Stock	Long Term Investments	Short Long Term Debt	Net Tangible Assets	Long Term Debt Total	Capital Surpluse	Net Invested Capital	Cash And Equivalents	Net Working Capital	Capital Stock
Total Assets		0.54	0.69	0.65	0.81	0.16	0.97	0.93	0.68	0.88	-0.28	0.56	0.21	0.68	0.7	0.59	0.31	0.65	-0.74	-0.08	0.8	0.51	0.76	0.38	0.77	0.32
Total Stockholder Equity	0.54		0.17	0.55	0.25	0.25	0.34	0.31	0.71	0.73	0.05	0.15	-0.26	-0.12	0.81	0.0	0.3	0.31	-0.57	-0.08	0.02	0.31	0.25	-0.3	0.04	0.31
Net Debt	0.69	0.17		0.86	0.61	0.33	0.73	0.7	0.4	0.53	-0.47	0.45	0.13	0.66	0.3	0.56	0.19	0.7	-0.64	-0.13	0.81	0.79	0.9	0.47	0.84	0.6
Retained Earnings	0.65	0.55	0.86		0.52	0.52	0.59	0.59	0.57	0.61	-0.31	0.39	-0.07	0.3	0.5	0.32	0.42	0.73	-0.77	-0.13	0.58	0.77	0.77	0.25	0.64	0.64
Accounts Payable	0.81	0.25	0.61	0.52		0.18	0.84	0.88	0.36	0.55	-0.35	0.8	0.33	0.63	0.39	0.64	0.36	0.63	-0.63	0.06	0.8	0.31	0.61	0.39	0.79	0.04
Short Term Investments	0.16	0.25	0.33	0.52	0.18		0.14	0.33	0.37	-0.04	0.32	0.02	-0.31	-0.06	-0.04	0.24	0.65	0.25	-0.27	-0.01	0.31	0.4	0.41	0.1	0.31	0.33
Total Liab	0.97	0.34	0.73	0.59	0.84	0.14		0.96	0.57	0.78	-0.31	0.59	0.29	0.8	0.55	0.68	0.26	0.64	-0.67	-0.06	0.9	0.5	0.79	0.5	0.85	0.29
Total Current Assets	0.93	0.31	0.7	0.59	0.88	0.33	0.96		0.58	0.65	-0.15	0.57	0.21	0.73	0.42	0.72	0.43	0.62	-0.64	0.03	0.92	0.51	0.8	0.54	0.89	0.28
Short Term Debt	0.68	0.71	0.4	0.57	0.36	0.37	0.57	0.58		0.69	0.11	0.33	-0.32	0.24	0.63	0.28	0.35	0.25	-0.52	-0.14	0.37	0.49	0.53	0.08	0.39	0.44
Intangible Assets	0.88	0.73	0.53	0.61	0.55	-0.04	0.78	0.65	0.69		-0.36	0.42	0.14	0.39	0.92	0.2	0.22	0.56	-0.77	-0.19	0.49	0.4	0.54	0.15	0.47	0.31
Common Stock	-0.28	0.05	-0.47	-0.31	-0.35	0.32	-0.31	-0.15	0.11	-0.36		-0.47	-0.32	-0.31	-0.31	0.03	0.15	-0.46	0.52	0.12	-0.29	0.07	-0.15	-0.37	-0.36	0.22
Net Receivables	0.56	0.15	0.45	0.39	0.8	0.02	0.59	0.57	0.33	0.42	-0.47		0.07	0.44	0.35	0.37	0.18	0.48	-0.53	-0.02	0.51	0.14	0.28	0.3	0.55	-0.06
Current Deferred Revenue	0.21	-0.26	0.13	-0.07	0.33	-0.31	0.29	0.21	-0.32	0.14	-0.32	0.07		0.31	0.08	0.15	-0.06	0.05	-0.1	0.03	0.29	-0.12	0.06	0.19	0.16	-0.2
Long Term Debt	0.68	-0.12	0.66	0.3	0.63	-0.06	0.8	0.73	0.24	0.39	-0.31	0.44	0.31		0.07	0.86	-0.23	0.41	-0.23	0.11	0.81	0.47	0.71	0.49	0.75	0.29
Good Will	0.7	0.81	0.3	0.5	0.39	-0.04	0.55	0.42	0.63	0.92	-0.31	0.35	0.08	0.07		-0.07	0.28	0.41	-0.7	-0.36	0.21	0.18	0.27	-0.07	0.2	0.13
Property Plant Equipment	0.59	0.0	0.56	0.32	0.64	0.24	0.68	0.72	0.28	0.2	0.03	0.37	0.15	0.86	-0.07		-0.12	0.29	-0.11	0.27	0.71	0.53	0.72	0.24	0.65	0.35
Treasury Stock	0.31	0.3	0.19	0.42	0.36	0.65	0.26	0.43	0.35	0.22	0.15	0.18	-0.06	-0.23	0.28	-0.12		0.43	-0.53	-0.19	0.36	0.08	0.26	0.29	0.39	-0.03
Long Term Investments	0.65	0.31	0.7	0.73	0.63	0.25	0.64	0.62	0.25	0.56	-0.46	0.48	0.05	0.41	0.41	0.29	0.43		-0.75	-0.04	0.68	0.42	0.62	0.4	0.71	0.25
Short Long Term Debt	-0.74	-0.57	-0.64	-0.77	-0.63	-0.27	-0.67	-0.64	-0.52	-0.77	0.52	-0.53	-0.1	-0.23	-0.7	-0.11	-0.53	-0.75		-0.01	-0.58	-0.33	-0.54	-0.4	-0.64	-0.16
Net Tangible Assets	-0.08	-0.08	-0.13	-0.13	0.06	-0.01	-0.06	0.03	-0.14	-0.19	0.12	-0.02	0.03	0.11	-0.36	0.27	-0.19	-0.04	-0.01		-0.03	-0.04	-0.03	-0.02	-0.01	-0.04
Long Term Debt Total	0.8	0.02	0.81	0.58	0.8	0.31	0.9	0.92	0.37	0.49	-0.29	0.51	0.29	0.81	0.21	0.71	0.36	0.68	-0.58	-0.03		0.53	0.86	0.69	0.97	0.28
Capital Surpluse	0.51	0.31	0.79	0.77	0.31	0.4	0.5	0.51	0.49	0.4	0.07	0.14	-0.12	0.47	0.18	0.53	0.08	0.42	-0.33	-0.04	0.53		0.82	0.15	0.53	0.95
Net Invested Capital	0.76	0.25	0.9	0.77	0.61	0.41	0.79	0.8	0.53	0.54	-0.15	0.28	0.06	0.71	0.27	0.72	0.26	0.62	-0.54	-0.03	0.86	0.82		0.39	0.84	0.64
Cash And Equivalents	0.38	-0.3	0.47	0.25	0.39	0.1	0.5	0.54	0.08	0.15	-0.37	0.3	0.19	0.49	-0.07	0.24	0.29	0.4	-0.4	-0.02	0.69	0.15	0.39		0.75	-0.01
Net Working Capital	0.77	0.04	0.84	0.64	0.79	0.31	0.85	0.89	0.39	0.47	-0.36	0.55	0.16	0.75	0.2	0.65	0.39	0.71	-0.64	-0.01	0.97	0.53	0.84	0.75		0.28
Capital Stock	0.32	0.31	0.6	0.64	0.04	0.33	0.29	0.28	0.44	0.31	0.22	-0.06	-0.2	0.29	0.13	0.35	-0.03	0.25	-0.16	-0.04	0.28	0.95	0.64	-0.01	0.28

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Diageo Return On Equity Historical Pattern

Today, most investors in Diageo PLC Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Diageo PLC's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's return on equity growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Diageo PLC return on equity as a starting point in their analysis.

Diageo PLC Return On Equity

Timeline

For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.

Competition

Predict Diageo PLC

Return On Equity Over Time

Diageo Total Stockholder Equity

Total Stockholder Equity

7.15 Billion

At this time, Diageo PLC's Total Stockholder Equity is very stable compared to the past year.

Based on the latest financial disclosure, Diageo PLC ADR has a Return On Equity of 0.3504. This is 86.73% lower than that of the Beverages sector and significantly higher than that of the Consumer Staples industry. The return on equity for all United States stocks is notably lower than that of the firm.

Diageo Return On Equity Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Diageo PLC's direct or indirect competition against its Return On Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Diageo PLC could also be used in its relative valuation, which is a method of valuing Diageo PLC by comparing valuation metrics of similar companies.

Diageo PLC is currently under evaluation in return on equity category among its peers.

Diageo PLC ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Diageo PLC's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Diageo PLC's managers, analysts, and investors.

Environmental

Governance

Social

Diageo Fundamentals

	Return On Equity	0.35
	Return On Asset	0.083
	Profit Margin	0.19 %
	Operating Margin	0.27 %
	Current Valuation	87.77 B
	Shares Outstanding	555.53 M
	Shares Owned By Institutions	10.65 %
	Number Of Shares Shorted	643.56 K
	Price To Earning	69.32 X
	Price To Book	6.65 X
	Price To Sales	3.29 X
	Revenue	20.27 B
	Gross Profit	10.21 B
	EBITDA	6.5 B
	Net Income	4.17 B
	Cash And Equivalents	1.44 B
	Cash Per Share	4.25 X
	Total Debt	21.5 B
	Debt To Equity	1.76 %
	Current Ratio	1.53 X
	Book Value Per Share	4.52 X
	Cash Flow From Operations	4.11 B
	Short Ratio	1.20 X
	Earnings Per Share	6.92 X
	Price To Earnings To Growth	2.00 X
	Target Price	132.71
	Number Of Employees	30.09 K
	Beta	0.39
	Market Capitalization	66.71 B
	Total Asset	45.47 B
	Retained Earnings	9.78 B
	Working Capital	5.26 B
	Current Asset	8.85 B
	Current Liabilities	6.19 B
	Annual Yield	0.03 %
	Five Year Return	2.24 %
	Net Asset	45.47 B
	Last Dividend Paid	1.03

About Diageo PLC Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Diageo PLC ADR's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Diageo PLC using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Diageo PLC ADR based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.

Please read more on our fundamental analysis page.

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

0.89	MO	Altria Group	Pair Corr
0.77	LQR	LQR House Common	Pair Corr
0.66	LVMUY	LVMH Moet Hennessy	Pair Corr
0.5	LW	Lamb Weston Holdings	Pair Corr
0.43	NAPA	Duckhorn Portfolio	Pair Corr

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 Correlation Correlation 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:

How To Invest In Diageo

Details

Is Diageo Stock a good investment?

Details

What is Diageo PLC's Net Worth?

Details

Largest Distillers & Vintners Companies

View

Largest Beverages - Wineries & Distilleries Companies

View

Check out Diageo PLC Piotroski F Score and Diageo PLC Altman Z Score analysis.

You can also try the Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.

Is Distillers & Vintners space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Diageo PLC. If investors know Diageo will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Diageo PLC listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.

Quarterly Earnings Growth

(0.03)

Dividend Share

1.035

Earnings Share

6.92

Revenue Per Share

2.0142

Quarterly Revenue Growth

(0.01)

The market value of Diageo PLC ADR is measured differently than its book value, which is the value of Diageo that is recorded on the company's balance sheet. Investors also form their own opinion of Diageo PLC's value that differs from its market value or its book value, called intrinsic value, which is Diageo PLC's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Diageo PLC's market value can be influenced by many factors that don't directly affect Diageo PLC's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Diageo PLC's value and its price as these two are different measures arrived at by different means. Investors typically determine if Diageo PLC is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Diageo PLC's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions

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Diageo Plc Adr Stock Return On Equity

Diageo PLC ADR Company Return On Equity Analysis

Return On Equity

Net Income

Total Equity

Current Diageo PLC Return On Equity

Diageo Return On Equity Driver Correlations

Diageo Return On Equity Historical Pattern

Diageo Total Stockholder Equity

Total Stockholder Equity

7.15 Billion

Diageo Return On Equity Peer Comparison

Diageo PLC ESG Sustainability

Diageo Fundamentals

About Diageo PLC Fundamental Analysis

Pair Trading with Diageo PLC

Moving against Diageo Stock

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