National Beverage Corp (FIZZ)
Return on equity (ROE)
| Apr 27, 2024 | Apr 29, 2023 | Apr 30, 2022 | May 1, 2021 | May 2, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 176,732 | 142,164 | 158,512 | 174,146 | 129,972 |
| Total stockholders’ equity | US$ in thousands | 559,512 | 372,487 | 239,438 | 355,997 | 452,337 |
| ROE | 31.59% | 38.17% | 66.20% | 48.92% | 28.73% |
April 27, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $176,732K ÷ $559,512K
= 31.59%
National Beverage Corp's return on equity (ROE) has shown fluctuations over the past five years. In the latest fiscal year ending on April 27, 2024, the ROE stands at 31.59%, indicating a decrease from the previous year's 38.17%. Despite the decrease, the current ROE is still robust compared to two years ago when it was at 66.20%.
The declining trend in ROE over the past two years may raise concerns regarding the company's ability to generate returns on shareholders' equity. A lower ROE could suggest inefficiencies in the utilization of equity to generate profits. It is important for National Beverage Corp to closely monitor and address the factors contributing to the decrease in ROE to ensure sustainable performance and value creation for shareholders.
Additionally, the company should compare its ROE with industry peers to evaluate its competitive position and identify areas for improvement. Analyzing the components of ROE, such as profit margin, asset turnover, and financial leverage, can provide further insights into the drivers of the company's return on equity performance.
Peer comparison
Apr 27, 2024