Finance

DuPont Analysis Calculator

Decompose ROE into profitability, efficiency, and leverage using the DuPont framework.

DuPont Formula:
ROE = Net Margin × Asset Turnover × Equity Multiplier
= (Net Income/Revenue) × (Revenue/Assets) × (Assets/Equity)

Understanding DuPont Analysis

DuPont analysis breaks ROE into three drivers so you can identify WHERE returns come from — profits, efficiency, or leverage. This helps compare companies and diagnose performance issues.