>
Switch to:

IHS Markit ROE %

: 7.24% (As of Aug. 2021)
View and export this data going back to 2005. Start your Free Trial

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. IHS Markit's annualized net income attributable to common stockholders for the quarter that ended in Aug. 2021 was $645 Mil. IHS Markit's average Total Stockholders Equity over the quarter that ended in Aug. 2021 was $8,912 Mil. Therefore, IHS Markit's annualized ROE % for the quarter that ended in Aug. 2021 was 7.24%.

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

NYSE:INFO' s ROE % Range Over the Past 10 Years
Min: 2.97   Med: 8.56   Max: 11.02
Current: 7.11

2.97
11.02

During the past 13 years, IHS Markit's highest ROE % was 11.02%. The lowest was 2.97%. And the median was 8.56%.

NYSE:INFO's ROE % is ranked higher than
63% of the 273 Companies
in the Business Services industry.

( Industry Median: 3.67 vs. NYSE:INFO: 7.11 )

IHS Markit ROE % Historical Data

The historical data trend for IHS Markit'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.

IHS Markit Annual Data
Trend Nov11 Nov12 Nov13 Nov14 Nov15 Nov16 Nov17 Nov18 Nov19 Nov20
ROE %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.97 5.18 6.77 6.12 10.28

IHS Markit Quarterly Data
Nov16 Feb17 May17 Aug17 Nov17 Feb18 May18 Aug18 Nov18 Feb19 May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21
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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.80 7.06 6.94 7.22 7.24

Competitive Comparison

For the Consulting Services subindustry, IHS Markit'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.

   

IHS Markit ROE % Distribution

For the Business Services industry and Industrials sector, IHS Markit's ROE % distribution charts can be found below:

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



IHS Markit ROE % Calculation

IHS Markit's annualized ROE % for the fiscal year that ended in Nov. 2020 is calculated as

ROE %=Net Income attributable to Common Stockholders (A: Nov. 2020 )/( (Total Stockholders Equity (A: Nov. 2019 )+Total Stockholders Equity (A: Nov. 2020 ))/ count )
=870.7/( (8415.8+8529.4)/ 2 )
=870.7/8472.6
=10.28 %

IHS Markit's annualized ROE % for the quarter that ended in Aug. 2021 is calculated as

ROE %=Net Income attributable to Common Stockholders (Q: Aug. 2021 )/( (Total Stockholders Equity (Q: May. 2021 )+Total Stockholders Equity (Q: Aug. 2021 ))/ count )
=645.2/( (8915.7+8908)/ 2 )
=645.2/8911.85
=7.24 %

* 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 (Aug. 2021) net income attributable to common stockholders data. ROE % is displayed in the 30-year financial page.


IHS Markit  (NYSE:INFO) 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: Aug. 2021 )
=Net Income/Total Stockholders Equity
=645.2/8911.85
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(645.2 / 4722)*(4722 / 16545.55)*(16545.55 / 8911.85)
=Net Margin %*Asset Turnover*Equity Multiplier
=13.66 %*0.2854*1.8566
=ROA %*Equity Multiplier
=3.9 %*1.8566
=7.24 %

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: Aug. 2021 )
=Net Income/Total Stockholders Equity
=645.2/8911.85
=(Net Income /Pre-Tax Income) * (Pre-Tax Income/Operating Income) * (Operating Income/Revenue) * (Revenue/Total Assets) * (Total Assets/Total Stockholders Equity)
= (645.2 / 944.4) * (944.4 / 1270.8) * (1270.8 / 4722) * (4722 / 16545.55) * (16545.55 / 8911.85)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6832 * 0.7432 * 26.91 % * 0.2854 * 1.8566
=7.24 %

Note: The net income attributable to common stockholders data used here is four times the quarterly (Aug. 2021) net income attributable to common stockholders data. The Revenue data used here is four times the quarterly (Aug. 2021) 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.


Be Aware

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.


IHS Markit ROE % Related Terms

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


IHS Markit Business Description

IHS Markit logo
Industry
Industrials » Business Services NAICS : 561499 SIC : 7389
Traded in Other Exchanges
Address
25 Ropemaker Street, 4th Floor, Ropemaker Place, London, GBR, EC2Y 9LY
IHS Markit is a leading provider of data and analytics to corporate and sovereign clients across a wide variety of industries. Financial markets accounted for 42% of fiscal 2020 revenue, transportation 27%, resources (energy and chemicals) 20%, and CMS (consolidated markets) 11%. Approximately 60% of fiscal 2020 revenue came from the United States. IHS Markit has approximately 16,000 employees worldwide. About 74% of fiscal 2020 revenue was recurring and fixed, 14% recurring and variable, and 12% non-recurring. S&P Global has offered to acquire IHS Markit, with holders of the target firm set to receive 0.2838 shares of the combined entity (a little less than one third of the total), in a deal valued at $44 billion upon announcement.

IHS Markit Headlines

From GuruFocus

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)