Flagship explainer

What drives PEGASYSTEMS INC.’s return on equity?

ROE is five filed business factors multiplied together.

DuPont return on equity factor treeReturn on equity branches into tax burden, interest burden, operating margin, asset turnover, and the equity multiplier.Return on equity57%Tax burden140%net income ÷ pretax incomeInterest burden107%pretax ÷ operating incomeOperating margin15%operating income ÷ revenueAsset turnover1.03×revenue ÷ average assetsEquity multiplier2.48×average assets ÷ average equityAs of 2025-12-31 · 1 SEC filing sourceBuy Like Buffett · buylikebuffett.com
DuPont source inputs
InputValueFiscal yearSource
$393MFY2025
Income before tax$281MFY2025
Operating income$263MFY2025
$1.7BFY2025
Ending assets$1.6BFY2025
Beginning assets$1.8BFY2024
$787MFY2025
$585MFY2024
Source: · event Dec 31, 2025 · retrieved Jul 26, 2026 · annual-row source set
Embed this chart

View the full PEGASYSTEMS INC. analysis at Buy Like Buffett

PEGA dupont explainer — Buy Like Buffett · Buy Like Buffett