National HealthCare Corporation (NHC)
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 | 66,798 | 44,745 | 31,928 | 18,850 | 22,445 | 31,880 | 30,961 | 132,641 | 138,590 | 150,352 | 166,549 | 89,990 | 41,871 | 28,091 | 34,703 | 20,090 | 68,211 | 72,593 | 74,274 | 83,024 |
| Total stockholders’ equity | US$ in thousands | 908,752 | 885,171 | 883,922 | 877,102 | 874,276 | 877,311 | 897,915 | 905,319 | 903,004 | 895,677 | 906,841 | 807,064 | 795,177 | 773,960 | 768,052 | 742,562 | 778,593 | 771,570 | 759,152 | 749,574 |
| ROE | 7.35% | 5.05% | 3.61% | 2.15% | 2.57% | 3.63% | 3.45% | 14.65% | 15.35% | 16.79% | 18.37% | 11.15% | 5.27% | 3.63% | 4.52% | 2.71% | 8.76% | 9.41% | 9.78% | 11.08% |
December 31, 2023 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $66,798K ÷ $908,752K
= 7.35%
The Return on Equity (ROE) for National Healthcare Corp. has fluctuated over the past eight quarters. In Q1 2022, the ROE was notably high at 14.65%, indicating that the company was generating a strong return for its shareholders relative to its equity. However, in subsequent quarters, the ROE decreased significantly, reaching a low of 2.15% in Q1 2023.
The downward trend in ROE from Q1 2022 to Q1 2023 suggests a potential decline in the company's profitability or efficiency in generating returns on shareholder equity. It is essential for National Healthcare Corp. to investigate the reasons behind this decline and take necessary actions to improve its ROE in the future.
Overall, the inconsistent performance of ROE over the past quarters highlights the importance of closely monitoring and analyzing this ratio to assess the company's financial health and efficiency in utilizing shareholder equity.
Peer comparison
Dec 31, 2023