Tandem Diabetes Care Inc (TNDM)
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 | -96,025 | -126,782 | -136,492 | -141,453 | -222,611 | -208,461 | -224,470 | -203,751 | -94,593 | -67,933 | -13,169 | 5,895 | 15,566 | 21,758 | 6,556 | -24,559 | -34,382 | -48,730 | -42,223 | -16,628 |
| Total stockholders’ equity | US$ in thousands | 263,098 | 237,710 | 233,875 | 243,064 | 313,632 | 314,000 | 329,234 | 338,753 | 439,947 | 421,822 | 449,584 | 437,382 | 433,112 | 389,654 | 346,085 | 313,414 | 366,305 | 326,544 | 267,704 | 207,176 |
| ROE | -36.50% | -53.33% | -58.36% | -58.20% | -70.98% | -66.39% | -68.18% | -60.15% | -21.50% | -16.10% | -2.93% | 1.35% | 3.59% | 5.58% | 1.89% | -7.84% | -9.39% | -14.92% | -15.77% | -8.03% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $-96,025K ÷ $263,098K
= -36.50%
Tandem Diabetes Care Inc's return on equity (ROE) has exhibited significant fluctuations over the period from March 31, 2020, to December 31, 2024. The ROE started in negative territory, indicating that the company's net income was insufficient to generate a positive return for shareholders' equity.
Between June 2021 and December 2021, the ROE turned positive, with values ranging around 1.89% to 5.58%. This period might suggest improved efficiency in utilizing shareholders' equity to generate profits.
However, from March 2023 onwards, the ROE deteriorated sharply, plunging into deep negative percentages, indicating that the profitability of the company relative to its equity base worsened significantly during this time.
The downward trend in ROE from 2023 to 2024 could be a concerning sign for investors, suggesting potential issues with the company's profitability and operational efficiency. It is crucial for stakeholders to closely monitor Tandem Diabetes Care Inc's financial performance and assess the factors contributing to the declining ROE to make informed investment decisions.
Peer comparison
Dec 31, 2024