ECLNEUTRAL

ECL Return on Equity (ROE) Analysis

22.0%

Updated 489h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates for each dollar of shareholder investment; ECL's current 22.0% means it earns $0.22 per dollar of equity.

Sector Performance

71th percentile

ECL

22.0%

Sector Median

13.3%

Sector Avg

16.9%

Prior Period

22.4%(Jul 2026)

↓ Declining

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Deep Analysis

Return on equity (ROE) measures how much profit a company generates for each dollar of shareholder investment; ECL's current 22.0% means it earns $0.22 per dollar of equity.

This sits well above the sector median of 13.6%, placing ECL in the 70th percentile among its peers. The year-over-year change is N/A, while the quarter-over-quarter change is -1.8%, with historical values showing 22.0% most recently, down from 22.4% before. The high ROE signals strong capital efficiency, but the small quarterly decline hints at a slight softening in momentum. That combination of a high level with a negative quarterly shift supports the overall NEUTRAL verdict directly.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about ECL?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

Who are ECL's closest peers by Return on Equity (ROE)?

The closest peers by Return on Equity (ROE) include: LOW (-67.1%), MAR (-69.0%), BMBL (-76.9%), WBA (-82.7%), NIO (-84.0%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.