KEYNEUTRAL

Return on Equity (ROE)

10.0%

Updated 29h ago

Sector Performance

37th percentile

KEY

10.0%

Sector Median

13.8%

Sector Avg

31.4%

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Deep Analysis

Return on Equity (ROE) measures how efficiently a company generates profit from shareholders' equity—a 10.0% ROE means the company earned $0.10 for every $1 of equity.

This falls below the sector median of 13.8%, placing the company at the 37th percentile among peers, indicating below-average profitability relative to its industry. The year-over-year change is N/A and the quarter-over-quarter change is N/A, so no trend data is available to assess direction. With a below-median ROE and no trend information, the risk is that the company may be underperforming its peers without evidence of improvement. This metric supports the overall NEUTRAL verdict, as the current level is weak but not critically low, and the absence of trend leaves the outlook uncertain.

Frequently Asked Questions

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

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 KEY'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.