Alpha Metallurgical Resources Inc (AMR)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 721,956 | 1,448,540 | 288,790 | -446,899 | -316,319 |
| Total stockholders’ equity | US$ in thousands | 1,573,930 | 1,429,760 | 546,909 | 200,102 | 696,122 |
| ROE | 45.87% | 101.31% | 52.80% | -223.34% | -45.44% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $721,956K ÷ $1,573,930K
= 45.87%
Alpha Metallurgical Resources Inc's return on equity (ROE) has fluctuated significantly over the past four years. In 2023, the ROE stood at 45.87%, exhibiting a noticeable decrease from the prior year's figure of 101.31%. However, compared to 2021 when the ROE was 52.80%, the recent performance improved. Notably, in 2020, the company reported a negative ROE of -223.34%, indicating substantial financial distress or inefficiency during that period.
The substantial changes in ROE suggest variability in the company's ability to generate profits relative to shareholders' equity over the years. The sharp decline in ROE from 2022 to 2023 may raise concerns about the company's profitability and overall operational efficiency. It is imperative for stakeholders to analyze the factors contributing to these fluctuations in ROE to assess the company's financial health comprehensively.
Peer comparison
Dec 31, 2023