IDXXNEUTRAL

Return on Equity (ROE)

72.9%

Updated 128h ago

Sector Performance

94th percentile

IDXX

72.9%

Sector Median

13.8%

Sector Avg

31.4%

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Deep Analysis

Return on Equity (ROE) measures how much profit a company generates for each dollar of shareholders' equity; a 72.9% ROE means IDXX generates nearly 73 cents of profit per dollar of equity held.

This figure is far above the sector median of 13.8%, placing IDXX in the 94th percentile among its peers—indicating exceptionally high profitability relative to its sector. The year-over-year change is not available, and the quarter-over-quarter change is also not available, so no trend can be established from those figures. The combination of an extremely high ROE level with no trend data suggests that while current profitability is strong, the lack of historical direction makes it unclear whether this performance is sustainable or improving. This high ROE supports a positive view of the company’s efficiency, but the NEUTRAL verdict likely reflects uncertainty from the missing trend and other factors. Therefore, the metric partially supports the NEUTRAL verdict by confirming strong current returns, but does not provide enough directional evidence to upgrade the assessment.

Frequently Asked Questions

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

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 IDXX'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.