Constellation Energy Corp (CEG)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Net income | US$ in thousands | 1,623,000 | -160,000 | -205,000 |
| Total stockholders’ equity | US$ in thousands | 10,925,000 | 11,018,000 | 11,219,000 |
| ROE | 14.86% | -1.45% | -1.83% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $1,623,000K ÷ $10,925,000K
= 14.86%
Constellation Energy Corporation's return on equity (ROE) has exhibited significant fluctuations over the past four years. The ROE was notably low in 2022 and 2021, recording negative values of -1.45% and -1.83%, respectively. This indicates that the company's net income was insufficient to generate a positive return for shareholders during those years. However, there was an improvement in 2020, with an ROE of 4.75%.
In 2023, Constellation Energy Corporation's ROE increased to 14.86%, reflecting a substantial improvement compared to the previous years. This suggests that the company was able to effectively utilize shareholder equity to generate profit. Overall, the fluctuating trend in ROE indicates varying levels of profitability and efficiency in utilizing shareholder funds over the analyzed period. Further analysis of the company's financial performance and operational strategies would be necessary to identify the factors driving these fluctuations and evaluate the sustainability of the recent improvement in ROE.
Peer comparison
Dec 31, 2023