HealthStream Inc (HSTM)

Return on equity (ROE)

		Dec 31, 2024	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	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Net income (ttm)	US$ in thousands	20,009	19,710	17,852	17,817	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
Total stockholders’ equity	US$ in thousands	359,355	355,481	349,214	344,854	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
ROE		5.57%	5.54%	5.11%	5.17%	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%

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $20,009K ÷ $359,355K
= 5.57%

HealthStream Inc's return on equity (ROE) has shown a gradual decline from 5.03% in March 2020 to 5.57% in December 2024. Although there were fluctuations in between, the overall trend indicates a decrease in ROE over the period. The company's ROE peaked at 5.57% in December 2024, showing some signs of improvement compared to the low points seen earlier. It is important to note that ROE measures how efficiently the company is generating profits from shareholders' equity, and the downward trend in HealthStream's ROE may raise concerns about its profitability and efficiency in utilizing shareholders' funds. Further analysis and comparisons with industry benchmarks can provide more insights into the company's performance and the factors affecting its ROE.