GWRE Return on Equity (ROE) Analysis
Updated 761h 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 11.9% means GWRE earns $0.119 for every $1 of owner-invested capital.
Sector Performance
45th percentileGWRE
11.9%
Sector Median
13.2%
Sector Avg
16.4%
Deep Analysis
Return on equity (ROE) measures how much profit a company generates from each dollar of shareholders’ equity, so 11.9% means GWRE earns $0.119 for every $1 of owner-invested capital.
That trails the sector median of 13.4%, placing GWRE in the 44th percentile among peers, meaning 56% of comparable companies have higher ROE. Trend information is unavailable: both the year-over-year change and quarter-over-quarter change are marked N/A, and no historical values beyond the current 11.9% are provided. The level is modestly below the sector norm, but the missing trend data removes any signal about whether this is improving or deteriorating. Without a trajectory, the main takeaway is that GWRE’s profitability is slightly weaker than average, which is a mild drag on investment appeal but not a clear red flag. This metric supports the overall NEUTRAL verdict, as ROE neither strongly validates the stock nor raises a direct concern, and the absence of trend data leaves the outlook unresolved.
Frequently Asked Questions
What does the Return on Equity (ROE) tell investors about GWRE?
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.
Learn More About Return on Equity (ROE)
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.
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11.9%
Sector Median
13.2%
Sector Avg
16.4%
How GWRE's Return on Equity (ROE) compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.