- DuPont Analysis is a fundamental performance analysis framework originally popularized by DuPont Corporation.
- The formula was developed in 1914 by F. Donaldson Brown, an employee of DuPont Corporation.
- DuPont analysis is a useful method used to decompose various return on equity factors.
- An investor can use such analysis tools to compare the operating performance of two similar firms.
- Managers can use DuPont analysis to identify strengths and weaknesses that need to be addressed.