ESTCNEUTRAL

ESTC Return on Equity (ROE) Analysis

33.4%

Updated 179h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates for each dollar of shareholders’ equity, and ESTC’s current ROE of 33.4% means it earns about $0.334 for every dollar of equity invested.

Sector Performance

84th percentile

ESTC

33.4%

Sector Median

13.3%

Sector Avg

17.0%

Prior Period

28.8%(Jun 2026)

↑ Improving

📊

Deep Analysis

This is well above the sector median of 13.6%, placing the company at the 84th percentile among its sector peers. The trend data for this metric is not available: both the year-over-year change and the quarter-over-quarter change are listed as N/A, so there is no observed trajectory to judge momentum. A high level with no visible trend suggests the current efficiency may be strong, but whether it is improving or deteriorating remains unknown, which adds uncertainty to the investment case. This combination of an above-median ROE and missing trend data neither raises nor lowers the overall NEUTRAL verdict — it supports the balanced stance by showing current profitability strength while leaving future direction unconfirmed.

Frequently Asked Questions

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

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 ESTC's closest peers by Return on Equity (ROE)?

The closest peers by Return on Equity (ROE) include: EVGO (-34.6%), MAR (-69.0%), BMBL (-76.9%), WBA (-82.7%), NIO (-84.0%).

📚

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.