# DuPont Analysis

*Professional & Ethics — Finicade finance glossary*

Breaking return on equity into its drivers — profit margin, asset turnover and leverage — to see why a company's ROE is high or low. It separates genuine efficiency from mere borrowing.

**Also known as:** dupont

**Related terms:** [Return on Equity (ROE)](https://finicade.com/glossary/roe), [Leverage](https://finicade.com/glossary/leverage), [Financial Ratios](https://finicade.com/glossary/financial-ratios)

**Taught in:** Charter Climb — DuPont Decomposition

Source: https://finicade.com/glossary/dupont-analysis