Cal-Maine Foods Inc (CALM)
Return on equity (ROE)
| Jun 1, 2024 | Mar 2, 2024 | Dec 2, 2023 | Sep 2, 2023 | Jun 3, 2023 | Feb 25, 2023 | Nov 26, 2022 | Aug 27, 2022 | May 28, 2022 | Feb 26, 2022 | Nov 27, 2021 | Aug 28, 2021 | May 29, 2021 | Feb 27, 2021 | Nov 28, 2020 | Aug 29, 2020 | May 30, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 277,888 | 275,578 | 452,085 | 633,663 | 758,024 | 757,079 | 473,377 | 275,963 | 132,650 | 18,420 | -7,549 | 3,433 | 2,060 | 66,767 | 66,968 | 44,752 | 18,391 | -61,833 | -35,805 | -3,937 |
| Total stockholders’ equity | US$ in thousands | 1,800,150 | 1,723,750 | 1,626,410 | 1,613,340 | 1,611,080 | 1,535,990 | 1,320,960 | 1,188,320 | 1,104,550 | 1,030,330 | 997,448 | 995,567 | 1,012,780 | 1,016,450 | 1,004,710 | 991,945 | 1,009,680 | 947,448 | 933,731 | 941,301 |
| ROE | 15.44% | 15.99% | 27.80% | 39.28% | 47.05% | 49.29% | 35.84% | 23.22% | 12.01% | 1.79% | -0.76% | 0.34% | 0.20% | 6.57% | 6.67% | 4.51% | 1.82% | -6.53% | -3.83% | -0.42% |
June 1, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $277,888K ÷ $1,800,150K
= 15.44%
The return on equity (ROE) of Cal-Maine Foods Inc has exhibited fluctuation over the past few years. The ROE was relatively low in the fiscal year of 2019, reaching as low as -6.53% in November 2019 and -3.83% in August 2019. This indicates that the company's profitability in relation to shareholders' equity was not favorable during this period.
However, there has been a significant improvement in the company's ROE in recent quarters. The ROE increased to 27.80% in December 2023 and further rose to 49.29% in February 2023. This suggests that Cal-Maine Foods Inc has been able to generate higher profits relative to its shareholders' equity during these periods.
The ROE declined slightly to 15.99% in March 2024 and 15.44% in June 2024, but these figures still indicate a healthy return on equity for the company. Overall, the trend in ROE shows improvement and demonstrates the company's ability to effectively utilize shareholders' equity to generate profits. Analysts may view this as a positive indicator of the company's financial performance and management efficiency.