Protagonist Therapeutics Inc (PTGX)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -78,955 | -127,393 | -125,551 | -66,150 | -77,187 |
| Total stockholders’ equity | US$ in thousands | 336,677 | 215,608 | 300,021 | 279,606 | 79,964 |
| ROE | -23.45% | -59.09% | -41.85% | -23.66% | -96.53% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $-78,955K ÷ $336,677K
= -23.45%
Protagonist Therapeutics Inc's return on equity (ROE) has fluctuated significantly over the past five years, with a downward trend overall. The ROE was -23.45% in 2023, an improvement from -59.09% in 2022 and -41.85% in 2021 but still negative. The company's ROE was also negative in 2020 at -23.66% and even more drastically negative in 2019 at -96.53%.
The negative ROE values indicate that the company's net income has not been sufficient to generate a positive return for shareholders based on their equity investment. The declining trend in ROE over the years suggests ongoing challenges in generating profits relative to the shareholders' equity.
It is important for Protagonist Therapeutics Inc to address the underlying factors contributing to the negative ROE and implement strategies to improve profitability and efficiency, as a sustainable and positive ROE is essential for long-term shareholder value creation.
Peer comparison
Dec 31, 2023