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Chesapeake Lodging Trust (Chesapeake Lodging Trust) ROE % : 7.07% (As of Jun. 2019)


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What is Chesapeake Lodging Trust ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Chesapeake Lodging Trust's annualized net income for the quarter that ended in Jun. 2019 was $72.96 Mil. Chesapeake Lodging Trust's average Total Stockholders Equity over the quarter that ended in Jun. 2019 was $1,032.68 Mil. Therefore, Chesapeake Lodging Trust's annualized ROE % for the quarter that ended in Jun. 2019 was 7.07%.

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

CHSPPRACL.PFD' s ROE % Range Over the Past 10 Years
Min: -0.25   Med: 5   Max: 9.18
Current: 8.85

During the past 9 years, Chesapeake Lodging Trust's highest ROE % was 9.18%. The lowest was -0.25%. And the median was 5.00%.

CHSPPRACL.PFD's ROE % is not ranked
in the REITs industry.
Industry Median: 4.195 vs CHSPPRACL.PFD: 8.85

Chesapeake Lodging Trust ROE % Historical Data

The historical data trend for Chesapeake Lodging Trust'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.

Chesapeake Lodging Trust ROE % Chart

Chesapeake Lodging Trust Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18
ROE %
Get a 7-Day Free Trial Premium Member Only 6.01 5.89 6.40 6.82 9.22

Chesapeake Lodging Trust Quarterly Data
Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19
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 9.19 20.26 4.98 3.16 7.07

Competitive Comparison of Chesapeake Lodging Trust's ROE %

For the REIT - Hotel & Motel subindustry, Chesapeake Lodging Trust'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.


Chesapeake Lodging Trust's ROE % Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Chesapeake Lodging Trust's ROE % distribution charts can be found below:

* The bar in red indicates where Chesapeake Lodging Trust's ROE % falls into.



Chesapeake Lodging Trust ROE % Calculation

Chesapeake Lodging Trust's annualized ROE % for the fiscal year that ended in Dec. 2018 is calculated as

ROE %=Net Income (A: Dec. 2018 )/( (Total Stockholders Equity (A: Dec. 2017 )+Total Stockholders Equity (A: Dec. 2018 ))/ count )
=96.966/( (1048.428+1053.978)/ 2 )
=96.966/1051.203
=9.22 %

Chesapeake Lodging Trust's annualized ROE % for the quarter that ended in Jun. 2019 is calculated as

ROE %=Net Income (Q: Jun. 2019 )/( (Total Stockholders Equity (Q: Mar. 2019 )+Total Stockholders Equity (Q: Jun. 2019 ))/ count )
=72.964/( (1036.578+1028.791)/ 2 )
=72.964/1032.6845
=7.07 %

* 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 (Jun. 2019) net income data. ROE % is displayed in the 30-year financial page.


Chesapeake Lodging Trust  (NYSE:CHSPPRACL.PFD) 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: Jun. 2019 )
=Net Income/Total Stockholders Equity
=72.964/1032.6845
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(72.964 / 635.908)*(635.908 / 1951.424)*(1951.424 / 1032.6845)
=Net Margin %*Asset Turnover*Equity Multiplier
=11.47 %*0.3259*1.8897
=ROA %*Equity Multiplier
=3.74 %*1.8897
=7.07 %

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. 2019 )
=Net Income/Total Stockholders Equity
=72.964/1032.6845
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (72.964 / 83.808) * (83.808 / 132.628) * (132.628 / 635.908) * (635.908 / 1951.424) * (1951.424 / 1032.6845)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8706 * 0.6319 * 20.86 % * 0.3259 * 1.8897
=7.07 %

Note: The net income data used here is four times the quarterly (Jun. 2019) net income data. The Revenue data used here is four times the quarterly (Jun. 2019) 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.


Chesapeake Lodging Trust ROE % Related Terms

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


Chesapeake Lodging Trust (Chesapeake Lodging Trust) Business Description

Traded in Other Exchanges
N/A
Address
4300 Wilson Boulevard, Suite 625, Arlington, VA, USA, 22203
Chesapeake Lodging Trust is a real estate investment trust that invests in upper-upscale hotels in business and convention markets and, selectively, premium select-service hotels in urban settings and other locations in the United States. The company operates through its hotel ownership segment. The firm's operations include management agreements, which includes partnering with third parties to manage its hotels; franchise agreements; and TRS lease agreements, which are intercompany agreements between Chesapeake's property-owning subsidiaries and its TRS lessees. The company's revenue streams include room, food and beverage, and other, of which the room segment contributes the vast majority of total revenue.
Executives
Angelique G. Brunner director C/O CHESAPEAKE LODGING TRUST, 4300 WILSON BOULEVARD, SUITE 625, ARLINGTON VA 22203
Geoffrey Hulme 10 percent owner C/O PORTER ORLIN LLC, 666 FIFTH AVENUE, 34TH FLOOR, NEW YORK NY 10103
A Alex Porter 10 percent owner C/O PORTER ORLIN LLC, 666 FIFTH AVENUE, 34TH FLOOR, NEW YORK NY 10103
Paul E Orlin 10 percent owner C/O PORTER ORLIN LLC, 666 FIFTH AVENUE, 34TH FLOOR, NEW YORK NY 10103
Jonathan W Friedland 10 percent owner C/O PORTER ORLIN LLC, 666 FIFTH AVENUE, 34TH FLOOR, NEW YORK NY 10103
Porter Orlin Llc 10 percent owner 666 FIFTH AVENUE, SUITE 3403, NEW YORK NY 10103
Graham J. Wootten officer: SVP, CAO & Secretary C/O CHESAPEAKE LODGING TRUST, 1997 ANNAPOLIS EXCHANGE PARKWAY, ANNAPOLIS MD 21401
Thomas D Eckert director 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
John W Hill director 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
Jeffrey D Nuechterlein director 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
George F Mckenzie director 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
James L Francis director, officer: President & CEO 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
Douglas W Vicari director, officer: EVP, CFO, Treasurer & Sec 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
Thomas A Natelli director 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401
D Rick Adams officer: SVP and CIO 1997 ANNAPOLIS EXCHANGE PARKWAY, SUITE 410, ANNAPOLIS MD 21401

Chesapeake Lodging Trust (Chesapeake Lodging Trust) Headlines

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