HealthStream Inc (HSTM)

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	15,213	13,072	12,871	11,821	12,091	9,255	7,089	6,447	5,845	7,155	8,289	9,290	14,091	16,851	17,929	16,888	15,770	14,877	14,201	14,345
Total stockholders’ equity	US$ in thousands	340,752	342,246	340,619	336,039	334,064	330,282	326,732	322,572	339,019	342,198	340,379	336,805	334,062	336,265	339,424	335,416	338,168	333,893	329,671	325,141
ROE		4.46%	3.82%	3.78%	3.52%	3.62%	2.80%	2.17%	2.00%	1.72%	2.09%	2.44%	2.76%	4.22%	5.01%	5.28%	5.03%	4.66%	4.46%	4.31%	4.41%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $15,213K ÷ $340,752K
= 4.46%

Healthstream Inc's return on equity (ROE) has shown a consistent increase over the past eight quarters, with Q4 2023 reporting the highest ROE of 4.46%. This upward trend indicates an improvement in the company's ability to generate profits from shareholders' equity. The steady growth in ROE suggests that Healthstream Inc is effectively utilizing its shareholders' investment to generate returns. It is crucial for investors and stakeholders to monitor this metric as it reflects the company's efficiency in generating profits relative to its equity base. Overall, the increasing trend in ROE for Healthstream Inc reflects positively on its financial performance and management's ability to create value for shareholders.