ROE = (100,000 - 10,000) / (1,000 * 50) = 1.8 ROE is also a factor in stock valuation, in association with other financial ratios. While higher ROE ought intuitively to imply higher stock prices, in
ROE Calculator (Click Here or Scroll Down) The formula for return on equity, sometimes abbreviated as ROE, is a company's net income divided by its average stockholder's equity. The
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