RMDNEUTRAL

RMD Return on Equity (ROE) Analysis

24.3%

Updated 198h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholder investment; at 24.3%, RMD produces $0.243 of profit per dollar of equity.

Sector Performance

76th percentile

RMD

24.3%

Sector Median

13.3%

Sector Avg

16.9%

Prior Period

25.2%(Jul 2026)

↓ Declining

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Deep Analysis

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholder investment; at 24.3%, RMD produces $0.243 of profit per dollar of equity.

This level is well above the sector median of 13.3%, placing RMD in the 75th percentile of sector peers. Trend data are limited: year-over-year change is N/A, and quarter-over-quarter change is -3.6%, with historical values of 24.3% and 25.2% showing a slight decline from the prior quarter. The combination of a high ROE with a small downward move signals a mature, efficient company that may see modest profit-margin pressure ahead, but the absolute level still offers low near-term risk versus peers. This metric supports the overall NEUTRAL verdict: the strong profitability edge is real, yet the shrinking quarter-over-quarter figure does not justify a more bullish outlook.

Frequently Asked Questions

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

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

The closest peers by Return on Equity (ROE) include: LOW (-67.1%), MAR (-69.0%), BMBL (-76.9%), WBA (-82.7%), NIO (-84.0%).

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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.