NTAPNEUTRAL

Return on Equity (ROE)

106.7%

Updated 104h ago

Sector Performance

97th percentile

NTAP

106.7%

Sector Median

13.8%

Sector Avg

31.4%

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Deep Analysis

A Return on Equity (ROE) of 106.7% means that for every dollar of shareholder equity, the company generated $1.067 in net profit over the past year — an exceptionally high efficiency measure.

This far exceeds the sector median of 14.3%, placing the company in the 97th percentile among peers. The year-over-year change is not available, but the quarter-over-quarter increase of +13.0% (from 94.4% to 106.7%) shows the metric is rising. The combination of an extreme level with a positive short-term trend indicates the company is generating outsized returns on equity, which can be a positive signal but may also raise sustainability questions given the magnitude. This strong ROE performance could support a bullish case, but it contradicts the overall NEUTRAL verdict, which likely reflects other offsetting factors not captured by this metric alone.

Frequently Asked Questions

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

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 NTAP'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.