GLNEUTRAL

Return on Equity (ROE)

20.5%

Updated 104h ago

Sector Performance

68th percentile

20.5%

Sector Median

13.8%

Sector Avg

31.4%

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Deep Analysis

A Return on Equity (ROE) of 20.5% means the company generates $0.205 in profit for every dollar of shareholders’ equity — a measure of how efficiently it uses invested capital.

This current ROE stands well above the sector median of 13.8%, placing the company in the 68th percentile among its sector peers, indicating above-average profitability relative to competitors. The trend direction is not available because only one historical data point has been provided; both year-over-year and quarter-over-quarter changes are listed as N/A, so no trajectory can be assessed. The combination of a strong ROE level with an absence of trend data suggests a neutral risk profile: the current performance is favorable, but without a change direction, investors cannot evaluate momentum or stability. This metric supports the overall NEUTRAL verdict, as the high ROE is a positive signal, yet the lack of trend information prevents a more definitive bullish or bearish conclusion.

Frequently Asked Questions

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

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 GL'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.