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Forest City Realty Trust (Forest City Realty Trust) ROA % : 21.73% (As of Sep. 2018)


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What is Forest City Realty Trust ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Forest City Realty Trust's annualized Net Income for the quarter that ended in Sep. 2018 was $1,788.69 Mil. Forest City Realty Trust's average Total Assets over the quarter that ended in Sep. 2018 was $8,232.43 Mil. Therefore, Forest City Realty Trust's annualized ROA % for the quarter that ended in Sep. 2018 was 21.73%.

The historical rank and industry rank for Forest City Realty Trust's ROA % or its related term are showing as below:

FCEPP.PFD' s ROA % Range Over the Past 10 Years
Min: -1.74   Med: 0.13   Max: 10.08
Current: 10.08

During the past 13 years, Forest City Realty Trust's highest ROA % was 10.08%. The lowest was -1.74%. And the median was 0.13%.

FCEPP.PFD's ROA % is not ranked
in the REITs industry.
Industry Median: 2.15 vs FCEPP.PFD: 10.08

Forest City Realty Trust ROA % Historical Data

The historical data trend for Forest City Realty Trust's ROA % 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.

Forest City Realty Trust ROA % Chart

Forest City Realty Trust Annual Data
Trend Jan08 Jan09 Jan10 Jan11 Jan12 Jan13 Dec14 Dec15 Dec16 Dec17
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.34 -0.08 5.27 -1.74 2.53

Forest City Realty Trust Quarterly Data
Oct13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18
ROA % 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 0.27 5.09 9.97 3.46 21.73

Competitive Comparison of Forest City Realty Trust's ROA %

For the REIT - Retail subindustry, Forest City Realty Trust's ROA %, along with its competitors' market caps and ROA % 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.


Forest City Realty Trust's ROA % Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Forest City Realty Trust's ROA % distribution charts can be found below:

* The bar in red indicates where Forest City Realty Trust's ROA % falls into.



Forest City Realty Trust ROA % Calculation

Forest City Realty Trust's annualized ROA % for the fiscal year that ended in Dec. 2017 is calculated as:

ROA %=Net Income (A: Dec. 2017 )/( (Total Assets (A: Dec. 2016 )+Total Assets (A: Dec. 2017 ))/ count )
=206.03/( (8228.597+8063.287)/ 2 )
=206.03/8145.942
=2.53 %

Forest City Realty Trust's annualized ROA % for the quarter that ended in Sep. 2018 is calculated as:

ROA %=Net Income (Q: Sep. 2018 )/( (Total Assets (Q: Jun. 2018 )+Total Assets (Q: Sep. 2018 ))/ count )
=1788.692/( (7888.508+8576.346)/ 2 )
=1788.692/8232.427
=21.73 %

* 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 ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Sep. 2018) net income data. ROA % is displayed in the 30-year financial page.


Forest City Realty Trust  (OTCPK:FCEPP.PFD) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: Sep. 2018 )
=Net Income/Total Assets
=1788.692/8232.427
=(Net Income / Revenue)*(Revenue / Total Assets)
=(1788.692 / 872.92)*(872.92 / 8232.427)
=Net Margin %*Asset Turnover
=204.91 %*0.106
=21.73 %

Note: The Net Income data used here is four times the quarterly (Sep. 2018) net income data. The Revenue data used here is four times the quarterly (Sep. 2018) revenue data.

* 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

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


Forest City Realty Trust ROA % Related Terms

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Forest City Realty Trust (Forest City Realty Trust) Business Description

Traded in Other Exchanges
N/A
Address
Forest City Realty Trust Inc is engaged in the ownership, development, management and acquisition of commercial and residential real estate and land throughout the United States. The company's segments include the Commercial Group, Residential Group, Land Development Group and Corporate Activities. It operates mixed-use projects such as residential rental properties, regional malls, specialty/urban retail centers, office and life science buildings and others. In addition, it also engaged in acquiring and sale of both land and developed lots to residential, commercial and industrial clients. Revenue for the group is derived from the source of rental, service and management fees and land sales.
Executives
James A Ratner 10 percent owner, officer: Executive Vice President 50 PUBLIC SQUARE SUITE 1100, CLEVELAND OH 44113
Charles A Ratner director, 10 percent owner, officer: Chairman of the Board 50 PUBLIC SQUARE SUITE 1100, CLEVELAND OH 44113
Scott S Cowen director 7=6823 ST CHARLES AVE, NEW ORLEANS LA 70118
David J Larue director, officer: CEO & President 50 PUBLIC SQUARE SUITE 1100, CLEVELAND OH 44113
Kenneth J Bacon director 5404 WISCONSIN AVENUE, SUITE 410, CHEVY CHASE MD 20815
Arthur F Anton director 29500 SOLON ROAD, SOLON OH 44139
Christine Rose Detrick director 200 CLARENDON STREET, T-9, BOSTON MA 02116
Deborah Ratnersalzberg director, 10 percent owner, officer: Executive Vice President 301 WATER ST SE SUITE 201, WASHINGTON DC 20003
Albert B Ratner director, 10 percent owner, officer: Co-Chairman of the Board 50 PUBLIC SQUARE 1100, CLEVELAND OH 44113