Upbound Group Inc. (UPBD)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 123,478 | -5,179 | 12,357 | 134,940 | 208,115 |
| Total stockholders’ equity | US$ in thousands | 628,984 | 560,372 | 525,146 | 513,276 | 592,080 |
| ROE | 19.63% | -0.92% | 2.35% | 26.29% | 35.15% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $123,478K ÷ $628,984K
= 19.63%
The return on equity (ROE) of Upbound Group Inc. has shown fluctuating trends over the past five years. In December 2020, the ROE stood at 35.15%, reflecting a strong performance in generating profits relative to shareholders' equity. However, by December 2022, the ROE had decreased significantly to 2.35%, indicating a decline in the company's ability to generate returns on equity.
By December 2023, the ROE turned negative at -0.92%, suggesting that the company experienced a loss relative to shareholders' equity during that period. This negative ROE may raise concerns about the company's financial health and operational efficiency.
Subsequently, in December 2024, the ROE improved to 19.63%, signaling a partial recovery in the company's ability to generate profits relative to shareholders' equity, though it remained below the levels seen in 2020.
Overall, Upbound Group Inc.'s ROE performance has been volatile, highlighting the importance of monitoring and analyzing factors that influence profitability and shareholder value creation in order to assess the company's financial strength and sustainability.
Peer comparison
Dec 31, 2024