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SPX FLOW (SPX FLOW) ROE % : 5.31% (As of Dec. 2021)


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What is SPX FLOW ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. SPX FLOW's annualized net income for the quarter that ended in Dec. 2021 was $55 Mil. SPX FLOW's average Total Stockholders Equity over the quarter that ended in Dec. 2021 was $1,039 Mil. Therefore, SPX FLOW's annualized ROE % for the quarter that ended in Dec. 2021 was 5.31%.

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

FLOW' s ROE % Range Over the Past 10 Years
Min: -38.19   Med: 5.5   Max: 6.46
Current: 6.4

During the past 10 years, SPX FLOW's highest ROE % was 6.46%. The lowest was -38.19%. And the median was 5.50%.

FLOW's ROE % is not ranked
in the Industrial Products industry.
Industry Median: 7.1 vs FLOW: 6.40

SPX FLOW ROE % Historical Data

The historical data trend for SPX FLOW'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.

SPX FLOW ROE % Chart

SPX FLOW Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.51 4.64 -10.48 0.61 6.36

SPX FLOW Quarterly Data
Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21
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 9.38 7.10 4.17 9.03 5.31

Competitive Comparison of SPX FLOW's ROE %

For the Specialty Industrial Machinery subindustry, SPX FLOW'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.


SPX FLOW's ROE % Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, SPX FLOW's ROE % distribution charts can be found below:

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



SPX FLOW ROE % Calculation

SPX FLOW's annualized ROE % for the fiscal year that ended in Dec. 2021 is calculated as

ROE %=Net Income (A: Dec. 2021 )/( (Total Stockholders Equity (A: Dec. 2020 )+Total Stockholders Equity (A: Dec. 2021 ))/ count )
=66.7/( (1061.4+1037.3)/ 2 )
=66.7/1049.35
=6.36 %

SPX FLOW's annualized ROE % for the quarter that ended in Dec. 2021 is calculated as

ROE %=Net Income (Q: Dec. 2021 )/( (Total Stockholders Equity (Q: Sep. 2021 )+Total Stockholders Equity (Q: Dec. 2021 ))/ count )
=55.2/( (1040.8+1037.3)/ 2 )
=55.2/1039.05
=5.31 %

* 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. 2021) net income data. ROE % is displayed in the 30-year financial page.


SPX FLOW  (NYSE:FLOW) 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. 2021 )
=Net Income/Total Stockholders Equity
=55.2/1039.05
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(55.2 / 1576)*(1576 / 2089.45)*(2089.45 / 1039.05)
=Net Margin %*Asset Turnover*Equity Multiplier
=3.5 %*0.7543*2.0109
=ROA %*Equity Multiplier
=2.64 %*2.0109
=5.31 %

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. 2021 )
=Net Income/Total Stockholders Equity
=55.2/1039.05
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (55.2 / 136.8) * (136.8 / 120) * (120 / 1576) * (1576 / 2089.45) * (2089.45 / 1039.05)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.4035 * 1.14 * 7.61 % * 0.7543 * 2.0109
=5.31 %

Note: The net income data used here is four times the quarterly (Dec. 2021) net income data. The Revenue data used here is four times the quarterly (Dec. 2021) 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.


SPX FLOW ROE % Related Terms

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


SPX FLOW (SPX FLOW) Business Description

Traded in Other Exchanges
N/A
Address
13320 Ballantyne Corporate Place, Charlotte, NC, USA, 28277
SPX Flow offers engineering solutions in two segments: The nutrition and health segment and the precision solutions segment. The Nutrition and Health segment provides technology for dairy consumption, expansion to emerging markets, productivity improvements, and food safety. The Precision Solutions segment services the chemical, mining, air, pharmaceutical, marine, infrastructure construction, general industrial, and water treatment industries. Both segments sell products such as pumps, blenders, separators, air dryers, heat exchangers, and hydraulic tools. SPX Flow operates worldwide, with sales in the Americas, Europe, Africa, and Asia.
Executives
Jonathan M Pratt director 34 MAPLE STREET, MILFORD MA 01757
Peter J. Ryan officer: VP, Secretary and GC C/O SPX FLOW, INC. 13320 BALLANTYNE CORPORATE PLACE CHARLOTTE NC 28277
David V Singer director 13024 BALLANTYNE CORPORATE PL, SUITE 900, CHARLOTTE NC 28277
Patrick D Campbell director MINNESOTA MINING & MANUFACTURING CO, 3M CENTER, ST. PAUL IL 55133
Majdi Abulaban director C/O DELPHI AUTOMOTIVE LLP, 5725 DELPHI DRIVE, TROY MI 48098
Suzanne B Rowland director 415 HOLIDAY DRIVE, PITSSBURGH PA 15220
Anne K. Altman director 13320 BALLANTYNE CORPORATE PLACE, CHARLOTTE NC 28277
Emerson U Fullwood director 13320 BALLANTYNE CORPORATE PLACE, CHARLOTTE NC 28277
Hull Robert F Jr director 1605 CURTIS BRIDGE ROAD, WILKESBORO NC 28697
Jose Larios officer: Pres., Power & Energy & Indus. C/O SPX FLOW 13320 BALLANTYNE CORPORATE PLACE CHARLOTTE NC 28277
Belinda Hyde officer: VP and CHRO 13320 BALLANTYNE CORPORATE PLACE, CHARLOTTE NC 28277
Ryan A. Taylor officer: Chief Strategy Officer C/O SPX FLOW, INC. 13320 BALLANTYNE CORPORATE PLACE CHARLOTTE NC 28277
Alvin Tyrone Jeffers officer: VP, Global Mfg & Supply Chain C/O SPX FLOW, 13320 BALLANTYNE CORPORATE PLACE, CHARLOTTE NC 28277
Jaime Manson Easley officer: VP and CFO C/O SPX CORPORATION 13320 BALLANTYNE CORPORATE PLACE CHARLOTTE NC 28277
Kevin Eamigh officer: CIO and VP, Global Bus. Serv. 13320 BALLANTYNE CORPORATE PLACE, CHARLOTTE NC 28277