PARACAUTIOUS

PARA Return on Equity (ROE) Analysis

-315.9%

Updated 129h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates for each dollar of shareholder equity; a -493.8% ROE means PARA is losing nearly five times its equity base, indicating severe financial distress.

Sector Performance

1th percentile

PARA

-315.9%

Sector Median

13.3%

Sector Avg

16.9%

Prior Period

-493.8%(Aug 2026)

↑ Improving

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Deep Analysis

This sits far below the sector median of 13.5%, and at the 0th percentile among peers, meaning essentially every comparable company delivers better shareholder returns. The trend is not assessable: year-over-year change is N/A, quarter-over-quarter change is N/A, and the last 8 quarters provide no historical values for direction. A deeply negative ROE combined with no trend data implies that current capital is being destroyed at an extreme pace, creating high risk of further equity erosion or potential insolvency. This metric directly contradicts any expectation of stability and supports the overall CAUTIOUS verdict, signaling that investors should treat PARA as a high-risk holding.

Frequently Asked Questions

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

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 PARA's closest peers by Return on Equity (ROE)?

The closest peers by Return on Equity (ROE) include: MSTR (-63.6%), LOW (-67.1%), MAR (-69.0%), BMBL (-76.9%), WBA (-82.7%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

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.