Nu Skin Enterprises Inc (NUS)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 8,595 | 104,778 | 147,266 | 191,355 | 173,553 |
| Total stockholders’ equity | US$ in thousands | 821,968 | 897,296 | 912,772 | 894,271 | 875,289 |
| ROE | 1.05% | 11.68% | 16.13% | 21.40% | 19.83% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $8,595K ÷ $821,968K
= 1.05%
Nu Skin Enterprises, Inc.'s return on equity (ROE) has shown a declining trend over the past five years. The ROE was notably higher in 2020 at 21.40%, but has been gradually decreasing since then. As of December 31, 2023, the ROE has decreased significantly to 1.05%. This decline may indicate lower profitability relative to the shareholder's equity, which could be concerning for investors as it reflects a decrease in the company's ability to generate earnings from its equity base. Further analysis of the company's financial performance and operational efficiency is recommended to understand the factors contributing to this decline in ROE.
Peer comparison
Dec 31, 2023