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Straight Path Communications (Straight Path Communications) ROE % : 0.00% (As of Oct. 2017)


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What is Straight Path Communications ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Straight Path Communications's annualized net income for the quarter that ended in Oct. 2017 was $-61.31 Mil. Straight Path Communications's average Total Stockholders Equity over the quarter that ended in Oct. 2017 was $-17.54 Mil. Therefore, Straight Path Communications's annualized ROE % for the quarter that ended in Oct. 2017 was N/A%.

The historical rank and industry rank for Straight Path Communications's ROE % or its related term are showing as below:

STRP's ROE % is not ranked *
in the Telecommunication Services industry.
Industry Median: 6.98
* Ranked among companies with meaningful ROE % only.

Straight Path Communications ROE % Historical Data

The historical data trend for Straight Path Communications's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Straight Path Communications ROE % Chart

Straight Path Communications Annual Data
Trend Jul12 Jul13 Jul14 Jul15 Jul16 Jul17
ROE %
Get a 7-Day Free Trial -40.91 13.03 -11.05 -52.54 -

Straight Path Communications Quarterly Data
Jan13 Apr13 Jul13 Oct13 Jan14 Apr14 Jul14 Oct14 Jan15 Apr15 Jul15 Oct15 Jan16 Apr16 Jul16 Oct16 Jan17 Apr17 Jul17 Oct17
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -134.90 - - - -

Competitive Comparison of Straight Path Communications's ROE %

For the Telecom Services subindustry, Straight Path Communications's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Straight Path Communications's ROE % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Straight Path Communications's ROE % distribution charts can be found below:

* The bar in red indicates where Straight Path Communications's ROE % falls into.



Straight Path Communications ROE % Calculation

Straight Path Communications's annualized ROE % for the fiscal year that ended in Jul. 2017 is calculated as

ROE %=Net Income (A: Jul. 2017 )/( (Total Stockholders Equity (A: Jul. 2016 )+Total Stockholders Equity (A: Jul. 2017 ))/ count )
=-44.647/( (13.058+-14.795)/ 2 )
=-44.647/-0.8685
=N/A %

Straight Path Communications's annualized ROE % for the quarter that ended in Oct. 2017 is calculated as

ROE %=Net Income (Q: Oct. 2017 )/( (Total Stockholders Equity (Q: Jul. 2017 )+Total Stockholders Equity (Q: Oct. 2017 ))/ count )
=-61.308/( (-14.795+-20.28)/ 2 )
=-61.308/-17.5375
=N/A %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Oct. 2017) net income data. ROE % is displayed in the 30-year financial page.

* Note that if the average Total Stockholders Equity is zero or negative, then ROE % would be considered meaningless and hence not be calculated.


Straight Path Communications  (AMEX:STRP) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Oct. 2017 )
=Net Income/Total Stockholders Equity
=-61.308/-17.5375
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-61.308 / 0.66)*(0.66 / 10.9735)*(10.9735 / -17.5375)
=Net Margin %*Asset Turnover*Equity Multiplier
=-9289.09 %*0.0601*N/A
=ROA %*Equity Multiplier
=-558.27 %*N/A
=N/A %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Oct. 2017 )
=Net Income/Total Stockholders Equity
=-61.308/-17.5375
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-61.308 / -56.24) * (-56.24 / -52.92) * (-52.92 / 0.66) * (0.66 / 10.9735) * (10.9735 / -17.5375)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.0901 * 1.0627 * -8018.18 % * 0.0601 * N/A
=N/A %

Note: The net income data used here is four times the quarterly (Oct. 2017) net income data. The Revenue data used here is four times the quarterly (Oct. 2017) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Straight Path Communications ROE % Related Terms

Thank you for viewing the detailed overview of Straight Path Communications's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Straight Path Communications (Straight Path Communications) Business Description

Traded in Other Exchanges
N/A
Address
Straight Path Communications Inc provides services to internet service and telecommunications providers. It holds licenses for fixed wireless spectrum in the United States, providing broad geographic coverage. The company has Straight path spectrum and Straight path IP group business segments. Straight path spectrum segment covers holding, leasing and marketing of fixed and mobile wireless spectrum. Straigh path IP group segment consists of holding intellectual property mainly related to communications and licensing and other businesses related to intellectual property. The firm generates majority of its revenues from its Straight path spectrum segment.
Executives
Fred S Zeidman director 109 NORTH POST OAK LANE, SUITE 422, HOUSTON TX 77024
Howard S Jonas 10 percent owner
William F Weld director C/O LEEDS WELD & CO, 660 MADISON AVE 15TH FLOOR, NEW YORK NY 10021
Miller Lloyd I Iii other: Former 10% Owner
Idt Corp 10 percent owner 520 BROAD STREET, NEWARK NJ 07102

Straight Path Communications (Straight Path Communications) Headlines

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