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Hortonworks (Hortonworks) ROE % : 0.00% (As of Sep. 2018)


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What is Hortonworks ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Hortonworks's annualized net income for the quarter that ended in Sep. 2018 was $-126.3 Mil. Hortonworks's average Total Stockholders Equity over the quarter that ended in Sep. 2018 was $-2.4 Mil. Therefore, Hortonworks's annualized ROE % for the quarter that ended in Sep. 2018 was N/A%.

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

HDP's ROE % is not ranked *
in the Software industry.
Industry Median: 3.17
* Ranked among companies with meaningful ROE % only.

Hortonworks ROE % Historical Data

The historical data trend for Hortonworks'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.

Hortonworks ROE % Chart

Hortonworks Annual Data
Trend Apr12 Apr13 Dec14 Dec15 Dec16 Dec17
ROE %
Get a 7-Day Free Trial - -294.00 -152.66 -637.56 -

Hortonworks Quarterly Data
Apr12 Apr13 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18
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 - - - -12,864.01 -

Competitive Comparison of Hortonworks's ROE %

For the Software - Infrastructure subindustry, Hortonworks'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.


Hortonworks's ROE % Distribution in the Software Industry

For the Software industry and Technology sector, Hortonworks's ROE % distribution charts can be found below:

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



Hortonworks ROE % Calculation

Hortonworks's annualized ROE % for the fiscal year that ended in Dec. 2017 is calculated as

ROE %=Net Income (A: Dec. 2017 )/( (Total Stockholders Equity (A: Dec. 2016 )+Total Stockholders Equity (A: Dec. 2017 ))/ count )
=-204.507/( (11.362+-65.036)/ 2 )
=-204.507/-26.837
=N/A %

Hortonworks's annualized ROE % for the quarter that ended in Sep. 2018 is calculated as

ROE %=Net Income (Q: Sep. 2018 )/( (Total Stockholders Equity (Q: Jun. 2018 )+Total Stockholders Equity (Q: Sep. 2018 ))/ count )
=-126.296/( (-3.572+-1.14)/ 2 )
=-126.296/-2.356
=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 (Sep. 2018) 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.


Hortonworks  (NAS:HDP) 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: Sep. 2018 )
=Net Income/Total Stockholders Equity
=-126.296/-2.356
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-126.296 / 348.696)*(348.696 / 293.993)*(293.993 / -2.356)
=Net Margin %*Asset Turnover*Equity Multiplier
=-36.22 %*1.1861*N/A
=ROA %*Equity Multiplier
=-42.96 %*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: Sep. 2018 )
=Net Income/Total Stockholders Equity
=-126.296/-2.356
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-126.296 / -124.292) * (-124.292 / -126.92) * (-126.92 / 348.696) * (348.696 / 293.993) * (293.993 / -2.356)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.0161 * 0.9793 * -36.4 % * 1.1861 * N/A
=N/A %

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. 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.


Hortonworks ROE % Related Terms

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


Hortonworks (Hortonworks) Business Description

Traded in Other Exchanges
N/A
Address
Hortonworks Inc is a provider of data management software solutions that allows corporations to harness the power of big data. The firm's Data at Rest solution is an enterprise-scale platform built for interactive, real-time workloads to be executed simultaneously on a single data set. The Data in Motion solution provides customers the ability to ingest any type of data from multiple data sources. These solutions can centrally manage new and existing data types, run multiple applications simultaneously, and provide security, data governance, stability and scalability. The company derives revenue from subscriptions to software offerings and professional fees. A large majority of the firm's revenue is generated in the United States.
Executives
Martin Fink director C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Scott Reasoner officer: See Remarks C/O QUEST SOFTWARE, INC. 5 POLARIS WAY ALISO VIEJO CA 92656
Peter H Fenton director 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025
Scott E Gnau officer: Chief Technology Officer 17095 VIA DEL CAMPO, SAN DIEGO CA 92127
Scott Davidson officer: See Remarks 5470 GREAT AMERICA PARKWAY, SANTA CLARA CA 95054
Robert G Bearden director, officer: President & CEO I2 11701 LUNA ROAD DALLAS TX 75234
Kevin Klausmeyer director 2101 CITYWEST BLVD, HOUSTON TX 77042-2827
Paul J Cormier director C/O RED HAT, INC, 100 EAST DAVIE STREET, RALEIGH NC 27601
Michelangelo Volpi director C/O HORTONWORKS, INC., 3640 W. BAYSHORE RD., PALO ALTO CA 94303
Alexandre Balkanski 10 percent owner 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025
Matt Cohler 10 percent owner 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025
Kevin Harvey 10 percent owner 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025
Bruce Dunlevie 10 percent owner 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025
Steven M Spurlock 10 percent owner 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025
J William Gurley 10 percent owner 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025

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