return on equity

American  

noun

Accounting.

1. the amount of profit computed by dividing net income before taxes less preferred dividends by the value of stockholders' equity, usually expressed as a percentage. ROE

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Example Sentences

See Examples For:

return on equity

On an adjusted basis, return on equity widened to 14%.

From The Wall Street Journal ● Aug. 25, 2026

At current interest rates, a long-term return on equity in the mid-teens percentage range is attainable, the U.S. bank writes.

From The Wall Street Journal ● Aug. 14, 2026

Management is guiding for stable-to-improving return on equity, driven by a stronger focus on higher-return businesses, while maintaining cost discipline with a cost-to-income ratio in the low- to mid-40%, the analyst notes.

From The Wall Street Journal ● Jul. 9, 2026

Simply put, American companies have a higher return on assets, and a higher return on equity, than companies in Europe, Japan or China, Cembalest said.

From MarketWatch ● Jun. 28, 2026

Small-cap stocks generated return on equity of less than 1% over the trailing 12 months through the first quarter of 2026, compared with about 20% for large-cap stocks, according to Sagal.

From MarketWatch ● May 28, 2026