VODCAUTIOUS

VOD Return on Equity (ROE) Analysis

0.1%

Higher than 7% of Communication Services sector peers

Updated 24h ago·SEC filings & market data

Key Takeaway

Return on Equity (ROE) measures how much profit a company generates for each dollar of shareholders' equity — VOD's current 0.1% means it earns less than one penny per dollar of equity, a very low return.

Sector Performance

7th percentile

VOD

0.1%

Sector Median

14.7%

Sector Avg

18.3%

Prior Period

-0.8%(May 2026)

↑ Improving

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Deep Analysis

Among Communication Services peers, the sector median ROE is 14.7%, placing VOD at the 7th percentile — far below most competitors. The year-over-year change is not available, but the quarter-over-quarter change is +112.5%, driven by a shift from -0.8% in the prior quarter to 0.1% now. The combination of an extremely low ROE with a recent improvement from negative territory suggests a nascent recovery, but the absolute level still points to elevated risk. This metric directly supports the overall CAUTIOUS verdict, as VOD's profitability remains marginal compared to the sector.

Frequently Asked Questions

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

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.

How does VOD's Return on Equity (ROE) compare to its sector?

VOD's Return on Equity (ROE) of 0.1% compares to a Communication Services sector median of 14.7%, placing it in the 7th percentile.

Who are VOD's closest peers by Return on Equity (ROE)?

The closest Communication Services peers by Return on Equity (ROE) include: DIS (11.0%), T (18.4%), DASH (9.9%), YELP (20.4%), PINS (8.9%).

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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.