Investors seeking to analyze how executive management is performing and how much a company is earning relative to book value turn to a profitability ratio known as return on equity. From an ...

Return on equity, or ROE ... Next, move over to the balance sheet to calculate shareholders' equity, which is total assets minus total liabilities. Then all you need to do is divide net income ...

To calculate ROE, divide a company's net ... but it uses total assets in the denominator whereas ROE uses shareholders' equity. Return on invested capital (ROIC) also measures profitability ...

Shareholders do expect a return, however ... The most common method used to calculate cost of equity is the capital asset pricing model or CAPM. This involves finding the premium on company ...

Many investors are still learning about the various metrics that can be useful when analysing a stock. This article ...

You can calculate the debt-to-equity ratio by dividing shareholders' equity by total ... a firm that uses its leverage to capitalize on a high-return project will likely outperform one that ...

Another term for book value of equity is shareholders' equity. In the table below, return on assets is compiled for Tesla (Nasdaq: TSLA), Ford Motor (NYSE: F), and General Motors (NYSE ...