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Bankrate (Bankrate) ROE % : -13.72% (As of Jun. 2017)


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What is Bankrate ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Bankrate's annualized net income for the quarter that ended in Jun. 2017 was $-93.1 Mil. Bankrate's average Total Stockholders Equity over the quarter that ended in Jun. 2017 was $678.7 Mil. Therefore, Bankrate's annualized ROE % for the quarter that ended in Jun. 2017 was -13.72%.

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

RATE's ROE % is not ranked *
in the Interactive Media industry.
Industry Median: -0.03
* Ranked among companies with meaningful ROE % only.

Bankrate ROE % Historical Data

The historical data trend for Bankrate'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.

Bankrate ROE % Chart

Bankrate Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.35 -1.35 0.62 -1.68 -4.71

Bankrate Quarterly Data
Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17
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 -23.24 6.27 -2.41 -3.05 -13.72

Competitive Comparison of Bankrate's ROE %

For the Internet Content & Information subindustry, Bankrate'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.


Bankrate's ROE % Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Bankrate's ROE % distribution charts can be found below:

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



Bankrate ROE % Calculation

Bankrate's annualized ROE % for the fiscal year that ended in Dec. 2016 is calculated as

ROE %=Net Income (A: Dec. 2016 )/( (Total Stockholders Equity (A: Dec. 2015 )+Total Stockholders Equity (A: Dec. 2016 ))/ count )
=-34.134/( (761.195+689.378)/ 2 )
=-34.134/725.2865
=-4.71 %

Bankrate's annualized ROE % for the quarter that ended in Jun. 2017 is calculated as

ROE %=Net Income (Q: Jun. 2017 )/( (Total Stockholders Equity (Q: Mar. 2017 )+Total Stockholders Equity (Q: Jun. 2017 ))/ count )
=-93.144/( (685.435+671.976)/ 2 )
=-93.144/678.7055
=-13.72 %

* 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 (Jun. 2017) net income data. ROE % is displayed in the 30-year financial page.


Bankrate  (NYSE:RATE) 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: Jun. 2017 )
=Net Income/Total Stockholders Equity
=-93.144/678.7055
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-93.144 / 463.696)*(463.696 / 1092.51)*(1092.51 / 678.7055)
=Net Margin %*Asset Turnover*Equity Multiplier
=-20.09 %*0.4244*1.6097
=ROA %*Equity Multiplier
=-8.53 %*1.6097
=-13.72 %

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: Jun. 2017 )
=Net Income/Total Stockholders Equity
=-93.144/678.7055
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-93.144 / -125.54) * (-125.54 / -102.824) * (-102.824 / 463.696) * (463.696 / 1092.51) * (1092.51 / 678.7055)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7419 * 1.2209 * -22.17 % * 0.4244 * 1.6097
=-13.72 %

Note: The net income data used here is four times the quarterly (Jun. 2017) net income data. The Revenue data used here is four times the quarterly (Jun. 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.


Bankrate ROE % Related Terms

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


Bankrate (Bankrate) Business Description

Traded in Other Exchanges
N/A
Address
Bankrate Inc was founded in 1976 and Bankrate, Inc. was incorporated in the State of Delaware in 2011. The Company owns and operates an Internet-based consumer banking, personal finance and senior care online network. Its flagship websites include CreditCards.com, Bankrate.com, and Caring.com which provides information on more than 300 financial and senior care products and services, including credit cards, mortgages, deposits, and other personal finance categories. Additionally, it provide financial applications and information to a network of distribution partners and through national and state publications. It has three reportable segments including Credit cards, Banking, Senior Care and other.
Executives
Steven Barnhart officer: SVP, Chief Financial Officer 1 W. ONWENTSIA ROAD, LAKE FOREST IL 60045
Richard J Pinola director BANKRATE, INC., 11760 US HIGHWAY 1 SUITE 200, NORTH PALM BEACH FL 33408
Michael Joseph Kelly director C/O EYEBLASTER, INC., 135 WEST 18TH STREET, 5TH FLOOR, NEW YORK NY 10011
John F Megrue 10 percent owner C/O APAX PARTNERS, L.P., 601 LEXINGTON AVENUE, 53RD FLOOR, NEW YORK NY 10022
Thomas R Evans director, officer: President, CEO 11760 US HIGHWAY ONE, SUITE 200, NORTH PALM BEACH FL 33408
Apax Partners Europe Managers Ltd 10 percent owner 33 JERMYN STREET, LONDON X0 SW1Y 6DN
Mitch L Truwit director C/O APAX PARTNERS, L.P., 601 LEXINGTON AVENUE, 53RD FLOOR, NEW YORK NY 10022
Christian Robert Stahl director C/O APAX PARTNERS, L.P., 601 LEXINGTON AVENUE, 53RD FLOOR, NEW YORK NY 10022

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