CEVA Inc (CEVA)

Return on equity (ROE)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	-11,878	-13,707	-31,054	-26,359	-23,183	-21,245	892	2,330	396	-2,847	-3,419	-4,824	-2,379	48	1,562	1,140	28	-731	1,037	459
Total stockholders’ equity	US$ in thousands	264,341	256,700	258,584	259,870	258,871	252,297	273,715	278,079	276,732	269,742	265,016	261,649	260,889	256,571	252,381	249,272	251,157	249,360	244,645	245,312
ROE		-4.49%	-5.34%	-12.01%	-10.14%	-8.96%	-8.42%	0.33%	0.84%	0.14%	-1.06%	-1.29%	-1.84%	-0.91%	0.02%	0.62%	0.46%	0.01%	-0.29%	0.42%	0.19%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $-11,878K ÷ $264,341K
= -4.49%

ROE Analysis for Ceva Inc.:

Ceva Inc.'s return on equity (ROE) has shown a declining trend over the past eight quarters. The ROE has been negative in the most recent quarters, with Q2 2023 and Q3 2023 recording particularly low figures of -12.01% and -5.34%, respectively. This indicates that the company is not effectively utilizing shareholder equity to generate profits.

In comparison, the ROE was slightly positive in Q1 2022 and Q2 2022, but still relatively low at 0.84% and 0.33%, respectively. The positive ROEs in these quarters suggest that the company was able to generate some profits using shareholder equity, albeit at a minimal level.

Overall, the declining trend in ROE indicates that Ceva Inc. may be facing challenges in efficiently generating returns for its shareholders. Further analysis of the company's financial performance and operations is recommended to identify the root causes of the low ROE and to develop strategies to improve shareholder value in the future.