Dream Finders Homes Inc (DFH)

Return on equity (ROE)

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Net income (ttm)	US$ in thousands	308,038	313,484	301,305	295,900	280,282	273,826	267,686	262,313	233,284	182,778	148,727	121,132
Total stockholders’ equity	US$ in thousands	1,115,070	1,047,490	968,709	924,584	986,072	919,479	850,475	800,693	716,372	647,155	595,792	556,383	499,904	329,403	300,200
ROE		27.62%	29.93%	31.10%	32.00%	28.42%	29.78%	31.47%	32.76%	32.56%	28.24%	24.96%	21.77%

September 30, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $308,038K ÷ $1,115,070K
= 27.62%

Dream Finders Homes Inc's return on equity (ROE) has shown a general trend of fluctuation over the past few quarters. The ROE decreased from 27.62% in September 2024 to 21.77% in December 2021, which was followed by a steady increase to 32.00% in March 2024.

Looking at the latest ROE of 27.62% in September 2024, it indicates that for every dollar of shareholders' equity invested in the company, Dream Finders Homes Inc generated a return of 27.62 cents. This suggests efficient utilization of equity capital to generate profits for shareholders.

The company experienced a peak ROE of 32.76% in December 2022, showing a strong performance in generating profits relative to shareholders' equity. Overall, Dream Finders Homes Inc's ROE performance has been positive and indicates management's ability to generate returns for shareholders, though some fluctuations have been observed. Further analysis of the company's profitability, asset management, and financial leverage ratios could provide additional insight into the factors influencing its ROE.