Sentences with phrase «roa has»

Not exact matches

What would happen to ROA if — instead of this particular CEO — you installed a CEO at random to helm the company?

The same principle applies in reverse, however, making these leveraged buyouts potentially very risky; if the acquired company's ROA is lower than the cost of the debt used to buy it, then the private equity fund's ROE is less than if hadn't used debt.

The debt used in buyouts has a relatively fixed cost, so if a private equity fund's return on assets (ROA) is greater than this cost, the fund's return on equity (ROE) is higher than if it hadn't borrowed money.

As an aside, M. R. Greenberg was known to be adamant about his ROE goal (15 % after - tax on average equity), but he also liked the company to have bulk (high assets — he liked asset - sensitive lines), which is why the ROA slid in the latter part of his tenure.

The first quintile includes the companies that had the lowest ROA and the 5th quintile includes the companies that had the highest ROA.

I also noticed that companies with average, or in this case median ROA, likely outperform stocks that have either higher or lower returns on assets.

The second through fifth quintiles have higher than average annual excess returns but the excess returns do not increase consistently as ROA increases.

This is the same basic math that you'd see if you compare two companies with a 10 % net margin, but Company A turns over its assets twice as fast as company B, then Company A's ROA will be twice as high.

Two competitors with identically low profit margins might have vastly different profitability because one grocer might be producing much higher ROA due to its ability to turn its inventory over faster.

The lowest 20 percent of stocks ranked by ROA are placed in the first quintile and the next 20 percent in the second quintile and so forth until we have five portfolios of stocks.

Joel Greenblatt has described why he used ROC in place of the commonly used financial ratios like ROE (Return on equity) or ROA (Return on assets).

The answer can be seen in the chart above, which shows corporate Japan's RoEs and RoAs over recent decades to have averaged a mere 6.8 % and 3.8 % respectively.

We don't have many games in this genre and there should, as ROA is a great game with a a good selection of game modes and a handful of very unique characters with their own play - styles.

The worn brick walls of London have long offered sanctuary to some of the world's greatest street artists — from Banksy and Ben Eine to ROA, Shepard Fairey, Swoon, and now