Sturm Ruger & Company Inc (RGR)
Return on equity (ROE)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 30,563 | 30,335 | 33,028 | 40,949 | 48,215 | 56,920 | 67,878 | 72,450 | 88,332 | 107,499 | 124,312 | 147,939 | 155,899 | 149,491 | 139,042 | 113,252 | 90,398 | 66,893 | 46,957 | 34,596 |
| Total stockholders’ equity | US$ in thousands | 319,582 | 314,945 | 321,466 | 331,956 | 331,721 | 335,305 | 333,176 | 322,068 | 316,738 | 398,506 | 386,957 | 377,953 | 363,661 | 338,070 | 319,142 | 288,480 | 264,699 | 241,282 | 311,547 | 297,819 |
| ROE | 9.56% | 9.63% | 10.27% | 12.34% | 14.53% | 16.98% | 20.37% | 22.50% | 27.89% | 26.98% | 32.13% | 39.14% | 42.87% | 44.22% | 43.57% | 39.26% | 34.15% | 27.72% | 15.07% | 11.62% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $30,563K ÷ $319,582K
= 9.56%
Sturm Ruger & Company Inc's return on equity (ROE) experienced fluctuations over the period from March 31, 2020, to December 31, 2024. The ROE started at 11.62% in March 2020 and exhibited an upward trend, reaching its peak at 44.22% in September 2021. This substantial increase indicates the company's ability to generate profit from shareholders' equity.
However, the ROE started to decline after September 2021, dropping to 9.56% by December 31, 2024. This declining trend suggests a decrease in the company's efficiency in utilizing shareholders' funds to generate profits. Lower ROE could be attributed to a decrease in net income or an increase in equity due to additional capital investments.
Overall, although Sturm Ruger & Company Inc enjoyed a period of significant ROE growth, it is essential for stakeholders to monitor the decreasing trend post-2021 to assess the company's profitability and efficiency in utilizing shareholder funds to generate returns.
Peer comparison
Dec 31, 2024