Insperity Inc (NSP)

Return on equity (ROE)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	171,382	179,350	124,080	138,237	151,099
Total stockholders’ equity	US$ in thousands	93,624	81,275	-1,774	44,132	4,079
ROE		183.05%	220.67%	—	313.24%	3,704.31%

December 31, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $171,382K ÷ $93,624K
= 183.05%

The return on equity (ROE) for Insperity Inc has shown significant fluctuations over the past five years. In 2019, the ROE was exceptionally high at 3,661.19%, indicating an extraordinary level of profitability. However, in the following years, there were notable declines in ROE, with negative values recorded in 2021 which could be outliers due to specific events affecting the company's financial performance.

In 2022 and 2023, there was a recovery in the ROE, although the ratios remained high compared to industry averages. The substantial variation in ROE suggests that Insperity's financial performance and profitability have been volatile and subject to significant changes.

It is important to further investigate the factors driving these fluctuations in ROE to gain a deeper understanding of the company's financial health and performance. Additionally, comparing Insperity's ROE to industry benchmarks and analyzing trend analysis over a longer period may provide more insights into the company's return on equity performance.