The ROE Calculator is an essential financial tool designed to help businesses and investors measure a company’s profitability in relation to shareholders’ equity. This powerful calculator simplifies the process of determining how efficiently a company is using shareholders’ investments to generate profits. By analyzing the relationship between net income and shareholders’ equity, users can quickly assess a company’s financial performance and management effectiveness. Financial analysts, investors, and business owners can leverage this tool to make data-driven decisions, compare performance across different time periods, and benchmark against industry standards. Whether you’re evaluating investment opportunities or monitoring your company’s financial health, our ROE Calculator provides accurate results with minimal effort. Start calculating your Return on Equity today to gain valuable insights into your business’s financial performance.
Quickly gauge how much profit each dollar of shareholder equity produces. Enter net income and average equity, click “Calculate,” and the tool returns ROE as a percentage. S&P 500 firms posted a mean ROE of 18.6 % in 2022 (Damodaran, 2023). Use this benchmark to see whether your figure outperforms the market.
Enter net income and average shareholder equity, press “Calculate,” and get ROE in seconds. A 2022 survey found the median S&P 500 ROE at 17.6 % (FactSet, 2023). The higher the percentage, the more profit every dollar of equity generates.
