GURUFOCUS.COM » STOCK LIST » Industrials » Transportation » Genesee & Wyoming Inc (NYSE:GWR) » Definitions » ROE %

Genesee & Wyoming (Genesee & Wyoming) ROE % : 7.64% (As of Sep. 2019)


View and export this data going back to 1996. Start your Free Trial

What is Genesee & Wyoming ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Genesee & Wyoming's annualized net income for the quarter that ended in Sep. 2019 was $267 Mil. Genesee & Wyoming's average Total Stockholders Equity over the quarter that ended in Sep. 2019 was $3,498 Mil. Therefore, Genesee & Wyoming's annualized ROE % for the quarter that ended in Sep. 2019 was 7.64%.

The historical rank and industry rank for Genesee & Wyoming's ROE % or its related term are showing as below:

GWR' s ROE % Range Over the Past 10 Years
Min: 3.92   Med: 10.73   Max: 15.92
Current: 6.15

During the past 13 years, Genesee & Wyoming's highest ROE % was 15.92%. The lowest was 3.92%. And the median was 10.73%.

GWR's ROE % is not ranked
in the Transportation industry.
Industry Median: 8.46 vs GWR: 6.15

Genesee & Wyoming ROE % Historical Data

The historical data trend for Genesee & Wyoming'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.

Genesee & Wyoming ROE % Chart

Genesee & Wyoming Annual Data
Trend Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.57 9.23 5.21 16.78 6.91

Genesee & Wyoming Quarterly Data
Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19
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 7.82 6.37 4.51 5.93 7.64

Competitive Comparison of Genesee & Wyoming's ROE %

For the Railroads subindustry, Genesee & Wyoming'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.


Genesee & Wyoming's ROE % Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Genesee & Wyoming's ROE % distribution charts can be found below:

* The bar in red indicates where Genesee & Wyoming's ROE % falls into.



Genesee & Wyoming ROE % Calculation

Genesee & Wyoming's annualized ROE % for the fiscal year that ended in Dec. 2018 is calculated as

ROE %=Net Income (A: Dec. 2018 )/( (Total Stockholders Equity (A: Dec. 2017 )+Total Stockholders Equity (A: Dec. 2018 ))/ count )
=244.418/( (3650.466+3421.706)/ 2 )
=244.418/3536.086
=6.91 %

Genesee & Wyoming's annualized ROE % for the quarter that ended in Sep. 2019 is calculated as

ROE %=Net Income (Q: Sep. 2019 )/( (Total Stockholders Equity (Q: Jun. 2019 )+Total Stockholders Equity (Q: Sep. 2019 ))/ count )
=267.168/( (3487.526+3508.859)/ 2 )
=267.168/3498.1925
=7.64 %

* 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 (Sep. 2019) net income data. ROE % is displayed in the 30-year financial page.


Genesee & Wyoming  (NYSE:GWR) 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: Sep. 2019 )
=Net Income/Total Stockholders Equity
=267.168/3498.1925
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(267.168 / 2334.776)*(2334.776 / 8324.284)*(8324.284 / 3498.1925)
=Net Margin %*Asset Turnover*Equity Multiplier
=11.44 %*0.2805*2.3796
=ROA %*Equity Multiplier
=3.21 %*2.3796
=7.64 %

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: Sep. 2019 )
=Net Income/Total Stockholders Equity
=267.168/3498.1925
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (267.168 / 358.984) * (358.984 / 462.704) * (462.704 / 2334.776) * (2334.776 / 8324.284) * (8324.284 / 3498.1925)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7442 * 0.7758 * 19.82 % * 0.2805 * 2.3796
=7.64 %

Note: The net income data used here is four times the quarterly (Sep. 2019) net income data. The Revenue data used here is four times the quarterly (Sep. 2019) 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.


Genesee & Wyoming ROE % Related Terms

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


Genesee & Wyoming (Genesee & Wyoming) Business Description

Traded in Other Exchanges
N/A
Address
20 West Avenue, Darien, CT, USA, 06820
Genesee & Wyoming manages one of the largest portfolios of short-line/regional freight railroads in North America. About 58% of revenue comes from its core North American short-line business, while its rail lines in Australia make up 14%. Roughly 28% comes from its Europe/U.K. division, which includes its European heavy haul and intermodal operations (Freightliner) that were acquired in early 2015.
Executives
Albert J Neupaver director
Hunter C Smith director C/O GENESEE & WYOMING INC., 20 WEST AVENUE, DARIEN CT 06820
Richard Harold Bott director 34 ISLAND DRIVE, RYE NY 10580
J H Pyne director
Oivind Lorentzen director C/O SEACOR SMIT, INC., 460 PARK AVENUE 12TH FLOOR, NEW YORK NY 10022
Mark A Scudder director 411 S. 13TH STREET, SUITE 200, LINCOLN NE 68508
Cynthia Lynn Hostetler director C/O EDGEN MURRAY CORPORATION, 18444 HIGHLAND ROAD, BATON ROUGE LA 70809
Ann N Reese director C/O GENESEE & WYOMING INC., 66 FIELD POINT ROAD, GREENWICH CT 06901
David A Brown officer: Chief Operating Officer GENESEE & WYOMING INC., 66 FIELD POINT ROAD, GREENWICH CT 06830
Hans Michael Norkus director OVERLAND STORAGE, INC., 4820 OVERLAND AVENUE, SAN DIEGO CA 92123
Robert M Melzer director 61 MONMOUTH ST., ., BROOKLINE MA 02446-5605
Tc Group V, L.l.c. 10 percent owner C/O THE CARLYLE GROUP, 1001 PENNSYLVANIA AVE., N.W., SUITE 220S, WASHINGTON DC 20004
Tc Group Cayman Investment Holdings, L.p. 10 percent owner C/O WALKERS CORPORATE SERVICES LIMITED, 190 ELGIN AVENUE, GEORGE TOWN, GRAND CAYMAN E9 KY1-9001
Carlyle Group Inc. 10 percent owner C/O THE CARLYLE GROUP, 1001 PENNSYLVANIA AVENUE, N.W., WASHINGTON DC 20004
Carlyle Holdings Ii L.l.c. 10 percent owner C/O THE CARLYLE GROUP L.P., 1001 PENNSYLVANIA AVENUE, NW, WASHINGTON DC 20004-2505