National Vision Holdings Inc (EYE)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -28,499 | -65,901 | 42,122 | 128,244 | 36,277 |
| Total stockholders’ equity | US$ in thousands | 816,333 | 829,418 | 901,113 | 925,980 | 906,502 |
| ROE | -3.49% | -7.95% | 4.67% | 13.85% | 4.00% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $-28,499K ÷ $816,333K
= -3.49%
National Vision Holdings Inc's return on equity (ROE) has shown varying trends over the past five years.
Starting at 4.00% on December 31, 2020, the ROE increased significantly to 13.85% by the end of 2021, indicating an improvement in the company's ability to generate profit from shareholder equity. However, in the following years, the ROE fluctuated, with figures of 4.67% on December 31, 2022, and then dropping to -7.95% on December 31, 2023, and further declining to -3.49% by the end of 2024.
The decreasing trend in ROE from 2023 to 2024 suggests that the company may be facing challenges in efficiently utilizing shareholder equity to generate profits. It is essential for National Vision Holdings Inc to investigate the factors contributing to the decline in ROE and take appropriate actions to improve profitability and shareholder returns in the future.
Peer comparison
Dec 31, 2024