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RealPage (RealPage) ROE % : 3.26% (As of Dec. 2020)


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What is RealPage ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. RealPage's annualized net income for the quarter that ended in Dec. 2020 was $52 Mil. RealPage's average Total Stockholders Equity over the quarter that ended in Dec. 2020 was $1,602 Mil. Therefore, RealPage's annualized ROE % for the quarter that ended in Dec. 2020 was 3.26%.

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

RP's ROE % is not ranked *
in the Software industry.
Industry Median: 3.17
* Ranked among companies with meaningful ROE % only.

RealPage ROE % Historical Data

The historical data trend for RealPage'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.

RealPage ROE % Chart

RealPage Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.68 0.09 4.44 5.21 3.32

RealPage Quarterly Data
Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20
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 6.95 1.90 3.29 4.15 3.26

Competitive Comparison of RealPage's ROE %

For the Software - Application subindustry, RealPage'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.


RealPage's ROE % Distribution in the Software Industry

For the Software industry and Technology sector, RealPage's ROE % distribution charts can be found below:

* The bar in red indicates where RealPage's ROE % falls into.



RealPage ROE % Calculation

RealPage's annualized ROE % for the fiscal year that ended in Dec. 2020 is calculated as

ROE %=Net Income (A: Dec. 2020 )/( (Total Stockholders Equity (A: Dec. 2019 )+Total Stockholders Equity (A: Dec. 2020 ))/ count )
=46.314/( (1172.926+1615.343)/ 2 )
=46.314/1394.1345
=3.32 %

RealPage's annualized ROE % for the quarter that ended in Dec. 2020 is calculated as

ROE %=Net Income (Q: Dec. 2020 )/( (Total Stockholders Equity (Q: Sep. 2020 )+Total Stockholders Equity (Q: Dec. 2020 ))/ count )
=52.268/( (1588.114+1615.343)/ 2 )
=52.268/1601.7285
=3.26 %

* 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 (Dec. 2020) net income data. ROE % is displayed in the 30-year financial page.


RealPage  (NAS:RP) 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: Dec. 2020 )
=Net Income/Total Stockholders Equity
=52.268/1601.7285
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(52.268 / 1192.22)*(1192.22 / 3472.4445)*(3472.4445 / 1601.7285)
=Net Margin %*Asset Turnover*Equity Multiplier
=4.38 %*0.3433*2.1679
=ROA %*Equity Multiplier
=1.5 %*2.1679
=3.26 %

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: Dec. 2020 )
=Net Income/Total Stockholders Equity
=52.268/1601.7285
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (52.268 / 58.672) * (58.672 / 109.584) * (109.584 / 1192.22) * (1192.22 / 3472.4445) * (3472.4445 / 1601.7285)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8909 * 0.5354 * 9.19 % * 0.3433 * 2.1679
=3.26 %

Note: The net income data used here is four times the quarterly (Dec. 2020) net income data. The Revenue data used here is four times the quarterly (Dec. 2020) 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.


RealPage ROE % Related Terms

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


RealPage (RealPage) Business Description

Traded in Other Exchanges
N/A
Address
2201 Lakeside Boulevard, Richardson, TX, USA, 75082-4305
RealPage Inc is a provider of on-demand software and software-enabled solutions for the rental housing industry. Its customers include single family, multifamily, and vacation rental units, and large property management companies. Its solutions include marketing, pricing, leasing, accounting, purchasing, and other property operation capabilities. The RealPage platform hosts applications that enable property owners and managers to improve pricing methodologies, improve collections, and integrate business processes. The company derives revenue from on-demand and on-premises software solutions and professional services. All of the firm's revenue is generated in the United States.
Executives
Ashley Chaffin Glover officer: President 4000 INTERNATIONAL PARKWAY, CARROLLTON TX 75007
Berkeley Alfred R Iii director 9605 SCRANTON ROAD STE 240, SAN DIEGO CA 92121
Michael Britti officer: EVP,M&A and Emerging Markets 2201 LAKESIDE BLVD. RICHARDSON TX 75082
Brian Shelton officer: SVP, Chief Accounting Officer 2201 LAKESIDE BLVD. RICHARDSON TX 75082
David G Monk officer: EVP, CLO and Secretary 4000 INTERNATIONAL PARKWAY CARROLLTON TX 75007
Kurt E Twining officer: SVP, Chief People Officer C/O FREESCALE SEMICONDUCTOR, INC. 6501 WILLIAM CANNON DRIVE WEST AUSTIN TX 78735
Stephen T Winn director, 10 percent owner, officer: Chairman & CEO
Barry Russell Carter officer: SVP, Chief Information Officer 2201 LAKESIDE BLVD. RICHARDSON TX 75082
Ernst Thomas C Jr officer: EVP, CFO and Treasurer 2201 LAKESIDE BLVD., RICHARDSON TX 75082
Jeffrey T Leeds director 660 MADISON AVE 15TH FL, NEW YORK NY 10021
Scott S Ingraham director
Jason A Wright director 4000 INTERNATIONAL PARKWAY, CARROLLTON TX 75007
Charles Kane director 289 TURNPIKE RD, WESTBORO MA 01581
Peter Gyenes director 50 WASHINGTON ST, WESBOROUGH MA 012581
Dana Sue Jones director 704 LAKE CARILLON LANE, SOUTHLAKE TX 76092