SWKSCAUTIOUS

SWKS Return on Equity (ROE) Analysis

5.1%

Updated 57h ago·SEC filings & market data

Key Takeaway

Return on Equity (ROE) shows how much profit a company earns for each dollar of shareholder equity—so at 5.1%, SWKS generates $5.10 of profit per $100 of equity.

Sector Performance

23th percentile

SWKS

5.1%

Sector Median

13.3%

Sector Avg

16.9%

Prior Period

6.2%(Jul 2026)

↓ Declining

📊

Deep Analysis

Return on Equity (ROE) shows how much profit a company earns for each dollar of shareholder equity—so at 5.1%, SWKS generates $5.10 of profit per $100 of equity.

That compares poorly with the sector median of 13.5%, placing SWKS at the 22nd percentile among peers, meaning most competitors earn higher returns. The trend is largely unclear: year-over-year change is N/A, and quarter-over-quarter change is -17.7%, indicating a recent decline in profitability relative to equity. A low ROE combined with a QoQ drop signals weaker efficiency and could point to rising investment risk or missed opportunities versus the sector. This metric directly contradicts a bullish stance and supports the overall CAUTIOUS verdict on the stock.

Frequently Asked Questions

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

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 SWKS'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%).

📚

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.