Fundamentals · APD

DuPont (ROE Decomposition) for APD

AI-generated plain-English read of dupont (roe decomposition) for APD. Updated daily.

ROE is declining (-8.7%) across multiple legs — profitability, asset efficiency, and leverage are all moving against the company. Broad deterioration like this is harder to reverse than a single-leg problem.

What will probably happen

ROE has been falling — without a reversal in the weakest leg, the next period will likely show further pressure.
Profitability is the weakest link — deteriorating margins with no signs of recovery. This is the leg most likely to disappoint next quarter.

What to do

If you HOLD this stock: ROE is declining — reassess whether the original investment thesis still holds. If the weakest leg doesn't reverse in the next one or two quarters, that's a signal to trim.
If you are EVALUATING this stock: ROE is declining — wait for one quarter of stabilization before entering. Deteriorating DuPont trends often have a lag; buying into a falling knife adds more risk than the valuation discount typically compensates for.
If you trade OPTIONS: No sharp DuPont signal either way. Premium is fairly priced for a fundamentals-stable story — wait for a clearer inflection in one of the legs before positioning directionally.

37 periods with all three DuPont legs populated — trend reads are reliable.

Technical details

Technical analysis

ROE: -8.7% — deteriorating
Sector context: not provided
Periods analysed: 37
Primary ROE driver: Balanced
Profitability (net margin): -45.6% — deteriorating, worrying
Asset efficiency (turnover): 0.08× — stable, healthy
Leverage (equity multiplier): 2.44× — stable, healthy

Key levels

Key price and metric levels
Level	Value
latest em	2.437
latest roe	-0.087
latest margin	-0.456
latest turnover	0.078
em high threshold	4
em critical threshold	5

Caveats

ROE is negative — the decomposition is directionally informative but interpret absolute magnitudes with care.