The return on equity and its more expansive variant, the return on invested capital, measure what a company is making on the capital it has invested in business, and is a measure of business quality.
Many investors are still learning about the various metrics that can be useful when analysing a stock. This article is for those who would like to learn about Return On Equity (ROE). We'll use ROE to ...
Return on equity measures net income, or profit, as a percentage of stockholders' equity. A higher ROE means a business generates more profit per dollar of equity. Operating leverage measures how much ...
While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. We'll use ROE to ...
Many REITs talk about Weighted Average Cost of Capital, or WACC. We look at three of them, from the Net Lease sector. While WACC is of some use empirically, it is Return On Equity that matters more.
Forbes contributors publish independent expert analyses and insights. #1 stock picker for 51 straight months on SumZero. AI is my edge. Last week, I highlighted how P/E ratios are meaningless, and ...
One of the best investments we can make is in our own knowledge and skill set. With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business.
One of the best investments we can make is in our own knowledge and skill set. With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business.
ROI measures investment growth efficiency, calculated as Profit/Cost. Using ROI, investors compare asset performance to optimize financial strategies. Unlike ROI, IRR and ROE include factors like cash ...