Return on equity refers to the profitability returned in direct relation to shareholder investments.
![](https://media.sailthru.com/53q/1k2/5/h/5afdc887e2c1f.gif) | Return on Equity (ROE) | Return on equity (ROE) is the amount of net income returned as a percentage of shareholders' equity. Return on equity (also known as "return on net worth" [RONW]) measures a corporation's profitability by revealing how much profit a company generates with the money shareholders have invested. | Breaking it Down: | ROE is useful in comparing the profitability of a company to that of other firms in... | Read More » | Related to "Return on Equity (ROE)" | | | ![Sign Up](https://media.sailthru.com/53o/1k3/2/k/5c6d8487878e7.jpg) | | | CONNECT WITH INVESTOPEDIA | | | | | |
No comments:
Post a Comment