Decompose ibm roe

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Reference no: EM13139263

In the seven years (since 1994), that Lou Gerstner has reigned over IBM, the company’s earnings per share have increased an average of 27% per year. This remarkable increase in earnings, has not gone unnoticed by the securities markets. Indeed, the company’s market value has grown from less than $30 billion to over $200 billion during this period.

Use the following financial statement data to:

1. Decompose IBM’s ROE and discuss the factors (and trends) that contribute to Big Blue’s profitability

Reference no: EM13139263

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