GURUFOCUS.COM » STOCK LIST » Financial Services » Insurance » Enstar Group Ltd (NAS:ESGR) » Definitions » ROE %

Enstar Group (Enstar Group) ROE %

: 46.72% (As of Dec. 2023)
View and export this data going back to 1997. Start your Free Trial

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Enstar Group's annualized net income for the quarter that ended in Dec. 2023 was $2,432 Mil. Enstar Group's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $5,206 Mil. Therefore, Enstar Group's annualized ROE % for the quarter that ended in Dec. 2023 was 46.72%.

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

ESGR' s ROE % Range Over the Past 10 Years
Min: -15.4   Med: 10.23   Max: 30.55
Current: 22.2

During the past 13 years, Enstar Group's highest ROE % was 30.55%. The lowest was -15.40%. And the median was 10.23%.

ESGR's ROE % is ranked better than
85.77% of 485 companies
in the Insurance industry
Industry Median: 9.67 vs ESGR: 22.20

Enstar Group ROE % Historical Data

The historical data trend for Enstar Group'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.

Enstar Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 21.45 30.55 8.28 -15.40 21.28

Enstar Group Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
ROE % 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 Premium Member Only Premium Member Only Premium Member Only 20.90 35.16 2.45 3.84 46.72

Competitive Comparison

For the Insurance - Diversified subindustry, Enstar Group'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.


Enstar Group ROE % Distribution

For the Insurance industry and Financial Services sector, Enstar Group's ROE % distribution charts can be found below:

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



Enstar Group ROE % Calculation

Enstar Group's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=1118/( (4974+5535)/ 2 )
=1118/5254.5
=21.28 %

Enstar Group's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %=Net Income (Q: Dec. 2023 )/( (Total Stockholders Equity (Q: Sep. 2023 )+Total Stockholders Equity (Q: Dec. 2023 ))/ count )
=2432/( (4877+5535)/ 2 )
=2432/5206
=46.72 %

* 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 (Dec. 2023) net income data. ROE % is displayed in the 30-year financial page.


Enstar Group  (NAS:ESGR) 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. 2023 )
=Net Income/Total Stockholders Equity
=2432/5206
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(2432 / 1848)*(1848 / 20972)*(20972 / 5206)
=Net Margin %*Asset Turnover*Equity Multiplier
=131.6 %*0.0881*4.0284
=ROA %*Equity Multiplier
=11.59 %*4.0284
=46.72 %

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: Dec. 2023 )
=Net Income/Total Stockholders Equity
=2432/5206
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / EBIT) * (EBIT / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (2432 / 1520) * (1520 / 1604) * (1604 / 1848) * (1848 / 20972) * (20972 / 5206)
= Tax Burden * Interest Burden * EBIT Margin % * Asset Turnover * Equity Multiplier
= 1.6 * 0.9476 * 86.8 % * 0.0881 * 4.0284
=46.72 %

Note: The net income data used here is four times the quarterly (Dec. 2023) net income data. The Revenue data used here is four times the quarterly (Dec. 2023) 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.


Enstar Group ROE % Related Terms

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


Enstar Group (Enstar Group) Business Description

Traded in Other Exchanges
Address
22 Queen Street, Windsor Place, 3rd Floor, Hamilton, BMU, HM JX
Enstar Group Ltd is a (re)insurance group that offers capital release solutions through its network of group companies. It seeks to create value by managing (re)insurance companies and portfolios of (re)insurance and other liability business in run-off and striving to generate an attractive risk-adjusted return from its investment portfolio. Its operations through four reportable segments: Run-off, Assumed Life, Investments, and Legacy Underwriting.
Executives
Silvester Dominic Francis Michael director, 10 percent owner, officer: Chief Executive Officer C/O CASTLEWOOD HOLDINGS LIMITED, PO BOX HM 2267, WINDSOR PL., 18 QUEEN ST, HAMILTON D0 HM JX
Stone Point Capital Llc director 20 HORSENECK LANE, GREENWICH CT 06830
Poul Albaek Winslow director ONE QUEEN STREET EAST, SUITE 2500, TORONTO A6 M5C 2W5
Girish Ramanathan officer: Chief Accounting Officer C/O 22 QUEEN STREET, WINDSOR PLACE, 3RD FLOOR, HAMILTON D0 HM 11
Obaidat Nazar Al officer: Chief Investment Officer C/O 22 QUEEN STREET, WINDSOR PLACE, 3RD FLOOR, HAMILTON D0 HM 11
Stone Point Gp Ltd. director C/O CITCO TRUSTEES (CAYMAN) LIMITED, 89 NEXUS WAY, CAMANA BAY, GRAND CAYMAN E9 KY1-1205
Laurence Plumb officer: Chief of Business Operations C/O QUEEN STREET, WINDSOR PLACE, 3RD FLOOR, HAMILTON D0 HM 11
Seema Thaper officer: Chief Risk Officer C/O QUEEN STREET, WINDSOR PLACE, 3RD FLOOR, HAMILTON D0 HM 11
David Kang-wen Ni officer: Chief Strategy Officer C/O 22 QUEEN STREET, WINDSOR PLACE, 3RD FLOOR, HAMILTON D0 HM 11
Matthew Kirk officer: Group Treasurer C/O 22 QUEEN STREET, WINDSOR PLACE, 3RD FLOOR, HAMILTON D0 HM 11
Sharon Anne Beesley director WINDSOR PLACE 3RD FLOOR, 22 QUEEN STREET, HAMILTON D0 HM 11
Robert J Campbell director
Michael P Murphy officer: Chief Accounting Officer ONE PARK PLACE, SUITE 600, DUBLIN CA 94568
Zachary Wolf officer: Chief Financial Officer 411 FIFTH AVE. 5TH FLOOR, NEW YORK NY 10016
Kathleen Carbone officer: Chief Accounting Officer 1271 AVE OF THE AMERICAS, NEW YORK NY 10020-1304

Enstar Group (Enstar Group) Headlines

From GuruFocus

Enstar Completes Loss Portfolio Transfer Agreement With Aspen

By GuruFocusNews GuruFocusNews 06-09-2022

Enstar Group Limited Announces Quarterly Preference Share Dividends

By sperokesalga sperokesalga 05-05-2023

Enstar Completes Loss Portfolio Transfer Agreement With Aspen

By GuruFocusNews GuruFocusNews 06-19-2022

Enstar Announces President Paul O'Shea's Planned Retirement in 2023

By GuruFocusNews GuruFocusNews 07-06-2022

Enstar Group Limited Announces Quarterly Preference Share Dividends

By GuruFocusNews GuruFocusNews 06-15-2022

Enstar Group Limited Announces Quarterly Preference Share Dividends

By GlobeNewswire GlobeNewswire 05-05-2023