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Claros Mortgage Trust (Claros Mortgage Trust) ROE %

: 5.92% (As of Dec. 2023)
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ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Claros Mortgage Trust's annualized net income for the quarter that ended in Dec. 2023 was $136.2 Mil. Claros Mortgage Trust's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $2,298.3 Mil. Therefore, Claros Mortgage Trust's annualized ROE % for the quarter that ended in Dec. 2023 was 5.92%.

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

CMTG' s ROE % Range Over the Past 10 Years
Min: 0.25   Med: 6.62   Max: 7.92
Current: 0.25

During the past 5 years, Claros Mortgage Trust's highest ROE % was 7.92%. The lowest was 0.25%. And the median was 6.62%.

CMTG's ROE % is ranked worse than
70.13% of 800 companies
in the REITs industry
Industry Median: 4.305 vs CMTG: 0.25

Claros Mortgage Trust ROE % Historical Data

The historical data trend for Claros Mortgage 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.

Claros Mortgage Trust Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
6.68 7.92 6.62 4.46 0.25

Claros Mortgage Trust Quarterly Data
Dec19 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 -3.63 5.99 0.70 -11.74 5.92

Competitive Comparison

For the REIT - Mortgage subindustry, Claros Mortgage 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.


Claros Mortgage Trust ROE % Distribution

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

* The bar in red indicates where Claros Mortgage Trust's ROE % falls into.



Claros Mortgage Trust ROE % Calculation

Claros Mortgage Trust'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 )
=6.027/( (2456.471+2299.9)/ 2 )
=6.027/2378.1855
=0.25 %

Claros Mortgage Trust'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 )
=136.172/( (2296.669+2299.9)/ 2 )
=136.172/2298.2845
=5.92 %

* 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.


Claros Mortgage Trust  (NYSE:CMTG) 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
=136.172/2298.2845
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(136.172 / 258.124)*(258.124 / 8058.8955)*(8058.8955 / 2298.2845)
=Net Margin %*Asset Turnover*Equity Multiplier
=52.75 %*0.032*3.5065
=ROA %*Equity Multiplier
=1.69 %*3.5065
=5.92 %

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
=136.172/2298.2845
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (136.172 / 136.172) * (136.172 / 258.124) * (258.124 / 8058.8955) * (8058.8955 / 2298.2845)
= Tax Burden * Pretax Margin % * Asset Turnover * Equity Multiplier
= 1 * 52.75 % * 0.032 * 3.5065
=5.92 %

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.


Claros Mortgage Trust ROE % Related Terms

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


Claros Mortgage Trust (Claros Mortgage Trust) Business Description

Traded in Other Exchanges
N/A
Address
C/o Mack Real Estate Credit Strategies, L.P., 60 Columbus Circle, 20th Floor, New York, NY, USA, 10023
Claros Mortgage Trust Inc is a real estate investment trust. The company is focused primarily on originating senior and subordinate loans on transitional commercial real estate assets located in major markets across the U.S.
Executives
Steven Leonard Richman director C/O MACK REAL ESTATE CREDIT STRATEGIES, 60 COLUMBUS CIRCLE, 20TH FLOOR, NEW YORK NY 10023
W Edward Walter director
Jeffrey D Siegel officer: See Remarks C/O MACK REAL ESTATE CREDIT STRATEGIES, 60 COLUMBUS CIRCLE, 20TH FLOOR, NEW YORK NY 10023
Jai Agarwal officer: Chief Financial Officer 601 LEXINGTON AVE, 26TH FLOOR, NEW YORK NY 10022
Richard Mack director, officer: See Remarks 60 COLOMBUS CIRCLE, 20TH FLOOR, NEW YORK NY 10023
Mary Haggerty director 13190 SW 68TH PARKWAY, SUITE 110, TIGARD OR 97223
Mike Mcgillis director, officer: See Remarks C/O MACK REAL ESTATE CREDIT STRATEGIES, 60 COLUMBUS CIRCLE, 20TH FLOOR, NEW YORK NY 10023
Pamela Liebman director C/O MACK REAL ESTATE CREDIT STRATEGIES, 60 COLUMBUS CIRCLE, 20TH FLOOR, NEW YORK NY 10023
Vincent Tese director 245 PARK AVE, 19TH FL., NEW YORK NY 10167
Andrew Mark Silberstein director C/O MACK REAL ESTATE CREDIT STRATEGIES, 60 COLUMBUS CIRCLE, 20TH FLOOR, NEW YORK NY 10023
Koch Industries Inc 10 percent owner 4111 EAST 37TH STREET NORTH, WICHITA KS 67220
Koch Holdings, Llc 10 percent owner 4111 EAST 37TH STREET NORTH, WICHITA KS 67220
Beaverhead Capital, Llc 10 percent owner 4111 E. 37TH STREET NORTH, WICHITA KS 67220
Derrick D Cephas director 690 LEE ROAD, WAYNE PA 19087
Priyanka Garg officer: See Remarks C/O MACK REAL ESTATE CREDIT STRATEGIES, 60 COLUMBUS CIRCLE, 20TH FLOOR, NEW YORK NY 10023

Claros Mortgage Trust (Claros Mortgage Trust) Headlines