ETRNEUTRAL

Return on Equity (ROE)

10.8%

Updated 29h ago

Sector Performance

40th percentile

ETR

10.8%

Sector Median

13.8%

Sector Avg

31.4%

📊

Deep Analysis

A company's Return on Equity (ROE) measures how effectively it generates profit from shareholders' money — in this case, for every dollar of equity, ETR earned 10.8 cents.

This 10.8% sits below the sector median of 13.8%, placing it at the 40th percentile among peers, meaning 60% of competitors have higher ROE. Trend data is not available: the year-over-year change is N/A, the quarter-over-quarter change is N/A, and no historical values beyond the current 10.8% were provided. Because only a single ROE figure exists, there is no trend to assess, so the investment risk or opportunity hinges entirely on this static level. A below-median ROE without any trend history suggests limited insight into whether performance is improving or deteriorating, adding uncertainty rather than clear risk or opportunity. This single below-average ROE point does not directly conflict with the overall NEUTRAL verdict, but it leans negative compared to peers, which would typically warrant caution without supporting data.

Frequently Asked Questions

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

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

The closest peers by Return on Equity (ROE) include: MRNA (-36.6%), FICO (-37.3%), XRAY (-37.7%), VRSN (-38.3%), MSCI (-45.3%).

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.