Market Cap : 53.28 B | Enterprise Value : 74.55 B | PE Ratio : 16.60 | PB Ratio : 1.44 |
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ROE % is calculated as Net Income attributable to Common Stockholders (Net Income minus dividends to participating security holders) divided by its average Total Stockholders Equity over a certain period of time. MetLife's annualized net income attributable to common stockholders for the quarter that ended in Jun. 2022 was $412 Mil. MetLife's average Total Stockholders Equity over the quarter that ended in Jun. 2022 was $45,533 Mil. Therefore, MetLife's annualized ROE % for the quarter that ended in Jun. 2022 was 0.90%.
The historical rank and industry rank for MetLife's ROE % or its related term are showing as below:
During the past 13 years, MetLife's highest ROE % was 9.62%. The lowest was 1.10%. And the median was 7.42%.
MET's ROE % is ranked worse thanThe historical data trend for MetLife'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.
For the Insurance - Life subindustry, MetLife'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.
For the Insurance industry and Financial Services sector, MetLife's ROE % distribution charts can be found below:
* The bar in red indicates where MetLife's ROE % falls into.
MetLife's annualized ROE % for the fiscal year that ended in Dec. 2021 is calculated as
ROE % | = | Net Income attributable to Common Stockholders (A: Dec. 2021 ) | / | ( (Total Stockholders Equity (A: Dec. 2020 ) | + | Total Stockholders Equity (A: Dec. 2021 )) | / count ) |
= | 6353 | / | ( (74558 | + | 67482) | / 2 ) | |
= | 6353 | / | 71020 | ||||
= | 8.95 % |
MetLife's annualized ROE % for the quarter that ended in Jun. 2022 is calculated as
ROE % | = | Net Income attributable to Common Stockholders (Q: Jun. 2022 ) | / | ( (Total Stockholders Equity (Q: Mar. 2022 ) | + | Total Stockholders Equity (Q: Jun. 2022 )) | / count ) |
= | 412 | / | ( (53965 | + | 37101) | / 2 ) | |
= | 412 | / | 45533 | ||||
= | 0.90 % |
* 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 attributable to common stockholders 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 attributable to common stockholders data used here is four times the quarterly (Jun. 2022) net income attributable to common stockholders data. ROE % is displayed in the 30-year financial page.
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. 2022 ) | ||||
= | Net Income | / | Total Stockholders Equity | ||
= | 528 | / | 45533 | ||
= | (Net Income / Revenue ) | * | (Revenue / Total Assets) | * | (Total Assets / Total Stockholders Equity) |
= | (528 / 62224) | * | (62224 / 693588.5) | * | (693588.5 / 45533) |
= | Net Margin % | * | Asset Turnover | * | Equity Multiplier |
= | 0.85 % | * | 0.0897 | * | 15.2327 |
= | ROA % | * | Equity Multiplier | ||
= | 0.08 % | * | 15.2327 | ||
= | 1.16 % |
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. 2022 ) | ||||||||
= | Net Income | / | Total Stockholders Equity | ||||||
= | 528 | / | 45533 | ||||||
= | (Net Income /Pre-Tax Income) | * | (Pre-Tax Income/Operating Income) | * | (Operating Income/Revenue) | * | (Revenue/Total Assets) | * | (Total Assets/Total Stockholders Equity) |
= | (528 / -8) | * | (-8 / 0) | * | (0 / 62224) | * | (62224 / 693588.5) | * | (693588.5 / 45533) |
= | Tax Burden | * | Interest Burden | * | Operating Margin % | * | Asset Turnover | * | Equity Multiplier |
= | -66 | * | N/A | * | 0 % | * | 0.0897 | * | 15.2327 |
= | 1.16 % |
Note: The net income attributable to common stockholders data used here is four times the quarterly (Jun. 2022) net income attributable to common stockholders data. The Revenue data used here is four times the quarterly (Jun. 2022) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* 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.
** The ROE % used above is for Du Pont Analysis only. It is different from the defined ROE % page on our website, as here it uses Net Income instead of Net Income attributable to Common Stockholders in the calculation.
Net income attributable to common stockholders 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.
Thank you for viewing the detailed overview of MetLife's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.
Harris Carla A | director | 702 SW 8TH STREET BENTONVILLE AR 72716 |
Weinberger Mark A | director | METLIFE, INC. 200 PARK AVENUE NEW YORK NY 10166 |
Kinney Catherine R | director | C/O QTS REALTY TRUST INC. 12851 FOSTER STREET OVERLAND PARK KS 66213 |
Grise Cheryl W | director | NORTHEAST UTILITIES 107 SELDEN STREET BERLIN CT 06037 |
Kennard William E | director | METLIFE, INC. 200 PARK AVENUE NEW YORK NY 10166 |
Morrison Denise M | director | METLIFE 200 PARK AVENUE NEW YORK NY 10166 |
Gutierrez Carlos M | director | 5 GREENWAY PLAZA, STE 110 HOUSTON TX 77046 |
Herzog David L | director | 180 MAIDEN LANE NEW YORK NY 10038 |
Mckenzie Diana | director | METLIFE 200 PARK AVENUE NEW YORK NY 10166 |
Hubbard Robert Glenn | director | 100 BELLEVUE PARKWAY WILMINGTON DE 19809 |
Kelly Edward J Iii | director | CIT GROUP INC ONE CIT DRIVE LIVINGSTON NJ 07039 |
Hassell Gerald L | director | |
Debel Marlene | officer: EVP & Chief Risk Officer | METLIFE, INC. 200 PARK AVENUE NEW YORK NY 10166 |
Tadros Ramy | officer: President, U.S. Business | 200 PARK AVENUE NEW YORK NY 10166 |
Podlogar Susan M | officer: EVP & Chief HR Officer | 200 PARK AVENUE NEW YORK NY 10166 |
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