Loading the player...
Return on equity is one of the basic metrics used to evaluate a company's stock. Find out what it can tell you about a stock and learn how to calculate it here.
Related Articles

Forex
Return On Assets (ROA)
Return on assets is one of the basic metrics used to evaluate a company's stock. Find out what it can tell you about a stock and learn how to calculate it here. 
Forex
Working Capital
Working capital is one of the basic metrics used to evaluate a company's financial health. Find out what it can tell you about a stock and learn how to calculate it. 
Markets
What Is Fundamental Analysis?
Fundamental analysis is one of the basic ways to evaluate stocks. Find out what it is and how it can work for you. 
Fundamental Analysis
5 Stock Market Metrics Explained
Learn how to evaluate a company's performance using metrics such as ROE, EPS and P/E ratio. 
Forex
The Debt To Equity Ratio
The debt to equity ratio identifies companies that are highly leveraged and therefore a higher risk for investors. Find out how this ratio is calculated and how you can use it to evaluate a stock. 
Economics
How Return On Equity Can Help You Find Profitable Stocks
It pays to invest in companies that generate profits more efficiently than their rivals. This is where ROE comes in. 
Investing
Calculating The Means
Learn more about the different ways you can calculate your portfolio's average return. 
Forex
The Price To Earnings Ratio Explained
The price to earnings ratio is one of the most important ratios in investing. Find out how it is calculated, how it can be used and what it tells investors about a particular stock. 
Fundamental Analysis
Calculating the Equity Risk Premium
Equity risk premium is the excess expected return of a stock, or the stock market as a whole, over the riskfree rate. 
Fundamental Analysis
How Do Tech Companies Measure ROA And ROE?
The return on Assets (ROA) and return on equity (ROE) are often used metrics to measure the returns generated by a company.