Cogent Communications Group Inc (CCOI)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -204,074 | 1,273,440 | 5,146 | 48,185 | 6,216 |
| Total stockholders’ equity | US$ in thousands | 222,848 | 609,556 | -518,632 | -373,098 | -293,166 |
| ROE | -91.58% | 208.91% | — | — | — |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $-204,074K ÷ $222,848K
= -91.58%
The return on equity (ROE) for Cogent Communications Group Inc shows substantial fluctuation over the years based on the provided data. As of December 31, 2020, 2021, and 2022, the ROE figures are not available, indicating a lack of data or potentially unstable performance during these periods.
However, the ROE sharply rose to an impressive 208.91% as of December 31, 2023, reflecting a significant increase in profitability relative to the company's equity base. This spike suggests that the company effectively generated profits from shareholders' equity, indicating strong financial performance.
In contrast, by December 31, 2024, the ROE plummeted to -91.58%, signifying a substantial reversal in profitability and efficiency in utilizing shareholders' equity. This sharp decline raises concerns about the company's ability to generate returns for its equity investors and efficiently manage its resources.
Overall, the fluctuating ROE trends indicate volatility in the company's financial performance and underline the importance of further analysis to assess the factors driving these drastic shifts in profitability ratios.
Peer comparison
Dec 31, 2024