LCIDCAUTIOUS

LCID Return on Equity (ROE) Analysis

-126.0%

Updated 131h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholder equity, and LCID's -126.0% means it is losing $1.26 for every $1.00 of equity.

Sector Performance

2th percentile

LCID

-126.0%

Sector Median

13.2%

Sector Avg

16.4%

Prior Period

-97.6%(Jul 2026)

↓ Declining
📊

Deep Analysis

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholder equity, and LCID's -126.0% means it is losing $1.26 for every $1.00 of equity.

This sits far below the sector median of 13.6%, placing LCID in the 2th percentile among peers, so nearly all comparable companies achieve far better returns. The metric's year-over-year change is N/A, but it declined 29.1% quarter-over-quarter, moving from -97.6% to -126.0% over the latest two readings. The combination of an extremely negative level and a worsening short-term trend signals high financial risk, as losses are consuming equity at an accelerating pace. This directly supports the overall CAUTIOUS verdict, since the company's profitability and capital efficiency are deeply negative and deteriorating.

Frequently Asked Questions

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

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.

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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LCID

-126.0%

Sector Median

13.2%

Sector Avg

16.4%

How LCID's Return on Equity (ROE) compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.