What is ROE❓
What is ROE❓
For this article, we would like to present our knowledge about the so-called ROE. What is this? If you're ready, let's go see it.
👉🏻Get to know ROE
ROE is derived from the word net profit, meaning net profit. and divided by the equity means the equity of the shareholders. When calculating it, it will be part of the financial ratio. If the stock has a roe of not less than 15%, it can be regarded as a stock that can generate high profits without requiring a lot of shareholder equity. Or if it's easy to call That is, a stock that can generate good returns.
👉🏻How to view roe value
- If roe is greater than 0 or positive, that means the company is able to generate returns for shareholders.
- And if the roe is less than 0 or negative, that means the company is in a loss. and unable to generate returns for the shareholders
👉🏻 the value of the roe that is suitable What value must be in
The higher the value of the roe, the better. Because that means that the business can generate a lot of profits or returns to the shareholders.
How are you? Hope this article will be useful for all readers and see you in the next article.
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