GURUFOCUS.COM » STOCK LIST » Technology » Hardware » Avistar Communications Corp (OTCPK:AVSR) » Definitions » ROE %

Avistar Communications (Avistar Communications) ROE % : 0.00% (As of Mar. 2012)


View and export this data going back to 2000. Start your Free Trial

What is Avistar Communications ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Avistar Communications's annualized net income for the quarter that ended in Mar. 2012 was $-5.77 Mil. Avistar Communications's average Total Stockholders Equity over the quarter that ended in Mar. 2012 was $-13.50 Mil. Therefore, Avistar Communications's annualized ROE % for the quarter that ended in Mar. 2012 was N/A%.

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

AVSR's ROE % is not ranked *
in the Hardware industry.
Industry Median: 4.54
* Ranked among companies with meaningful ROE % only.

Avistar Communications ROE % Historical Data

The historical data trend for Avistar 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.

Avistar Communications ROE % Chart

Avistar Communications Annual Data
Trend Dec02 Dec03 Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - Negative Equity -

Avistar Communications Quarterly Data
Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12
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 - - Negative Equity - -

Competitive Comparison of Avistar Communications's ROE %

For the Communication Equipment subindustry, Avistar 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.


Avistar Communications's ROE % Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Avistar Communications's ROE % distribution charts can be found below:

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



Avistar Communications ROE % Calculation

Avistar Communications's annualized ROE % for the fiscal year that ended in Dec. 2011 is calculated as

ROE %=Net Income (A: Dec. 2011 )/( (Total Stockholders Equity (A: Dec. 2010 )+Total Stockholders Equity (A: Dec. 2011 ))/ count )
=-6.429/( (-7.852+-12.937)/ 2 )
=-6.429/-10.3945
=N/A %

Avistar Communications's annualized ROE % for the quarter that ended in Mar. 2012 is calculated as

ROE %=Net Income (Q: Mar. 2012 )/( (Total Stockholders Equity (Q: Dec. 2011 )+Total Stockholders Equity (Q: Mar. 2012 ))/ count )
=-5.772/( (-12.937+-14.055)/ 2 )
=-5.772/-13.496
=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 (Mar. 2012) 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.


Avistar Communications  (OTCPK:AVSR) 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: Mar. 2012 )
=Net Income/Total Stockholders Equity
=-5.772/-13.496
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-5.772 / 9.984)*(9.984 / 4.211)*(4.211 / -13.496)
=Net Margin %*Asset Turnover*Equity Multiplier
=-57.81 %*2.3709*N/A
=ROA %*Equity Multiplier
=-137.06 %*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: Mar. 2012 )
=Net Income/Total Stockholders Equity
=-5.772/-13.496
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-5.772 / -5.764) * (-5.764 / -5.56) * (-5.56 / 9.984) * (9.984 / 4.211) * (4.211 / -13.496)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.0014 * 1.0367 * -55.69 % * 2.3709 * N/A
=N/A %

Note: The net income data used here is four times the quarterly (Mar. 2012) net income data. The Revenue data used here is four times the quarterly (Mar. 2012) 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.


Avistar Communications ROE % Related Terms

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


Avistar Communications (Avistar Communications) Business Description

Traded in Other Exchanges
N/A
Address
1855 South Grant Street, 4th Floor, San Mateo, CA, USA, 94402
Avistar Communications Corp creates technology that provides the missing critical element in unified communications: bringing people in organizations face-to-face, through enhanced communications for the true collaboration anytime, anyplace. The company's solutions include Bandwidth Management, CEBP, Firewall Traversal and Enterprise Endpoints. Its products include Avistar C3 Communicator, Avistar C3 Conference, Avistar C3 Command, Avistar C3 Call Control and Avistar C3 Media Engine.
Executives
R Stephen Heinrichs director, 10 percent owner 141 CASPIAN COURT, SUNNYVALE CA 94089
Jefferies Financial Group Inc. 10 percent owner 520 MADISON AVENUE, NEW YORK NY 10022
Phlcorp Holding Llc 10 percent owner 529 EAST SOUTH TEMPLE, SALT LAKE CITY UT 84102
Baldwin Enterprises, Inc. 10 percent owner 529 EAST SOUTH TEMPLE, SALT LAKE CITY UT 84102
Robert P Latta director 650 PAGE MILL ROAD, PALO ALTO CA 94304

Avistar Communications (Avistar Communications) Headlines

No Headlines