GPNNEUTRAL

GPN Return on Equity (ROE) Analysis

2.4%

Updated 417h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholders' equity, so a 2.4% return is quite low.

Sector Performance

19th percentile

GPN

2.4%

Sector Median

13.3%

Sector Avg

16.9%

Prior Period

2.9%(Jul 2026)

↓ Declining

📊

Deep Analysis

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholders' equity, so a 2.4% return is quite low.

This sits far below the sector median of 13.4%, placing the stock in the 17th percentile among its peers, meaning most competitors generate far higher returns. The year-over-year change is not available, but the quarter-over-quarter change is -17.2%, showing a sharp recent decline from the prior value of 2.9%. The combination of a low ROE and a falling trend points to weaker profitability and potentially higher investment risk, as the company is becoming less efficient at converting equity into earnings. This aligns with the overall NEUTRAL verdict, as the weak and deteriorating ROE does not support a bullish case, but also does not alone justify an outright sell. The metric therefore supports the neutral stance rather than contradicting it.

Frequently Asked Questions

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

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 GPN'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%).

📚

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.