Marathon Digital Holdings Inc (MARA)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 261,173 | -694,022 | -37,096 | -10,448 | -3,517 |
| Total stockholders’ equity | US$ in thousands | 1,615,920 | 385,941 | 682,100 | 311,745 | 3,648 |
| ROE | 16.16% | -179.83% | -5.44% | -3.35% | -96.41% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $261,173K ÷ $1,615,920K
= 16.16%
Over the past five years, Marathon Digital Holdings Inc's return on equity (ROE) has varied significantly. In 2019, the company experienced a notably low ROE of -96.41%, indicating that the company's net income did not adequately generate returns for its shareholders' equity. This was followed by improvements in 2020 and 2021, with ROE values of -3.35% and -5.44%, respectively.
However, in 2022, the company's ROE swung into negative territory again, with a significant decline to -179.83%. This substantial decrease may suggest challenges in generating profits relative to the equity invested by shareholders during that year.
The most recent data for 2023 shows a positive ROE of 16.16%, reflecting a return to profitability and a more favorable performance in utilizing equity to generate earnings for shareholders. Moving forward, investors and stakeholders may want to monitor Marathon Digital Holdings Inc's future ROE trends to assess the company's ability to effectively utilize equity and generate sustainable returns.
Peer comparison
Dec 31, 2023