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On Deck Capital (On Deck Capital) ROE % : 4.04% (As of Jun. 2020)


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What is On Deck Capital ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. On Deck Capital's annualized net income for the quarter that ended in Jun. 2020 was $8.7 Mil. On Deck Capital's average Total Stockholders Equity over the quarter that ended in Jun. 2020 was $214.9 Mil. Therefore, On Deck Capital's annualized ROE % for the quarter that ended in Jun. 2020 was 4.04%.

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

ONDK' s ROE % Range Over the Past 10 Years
Min: -502.52   Med: -4.36   Max: 9.84
Current: -14.49

During the past 8 years, On Deck Capital's highest ROE % was 9.84%. The lowest was -502.52%. And the median was -4.36%.

ONDK's ROE % is not ranked
in the Credit Services industry.
Industry Median: 6.44 vs ONDK: -14.49

On Deck Capital ROE % Historical Data

The historical data trend for On Deck Capital'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.

On Deck Capital ROE % Chart

On Deck Capital Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
ROE %
Get a 7-Day Free Trial -0.40 -28.49 -4.63 9.66 9.45

On Deck Capital Quarterly Data
Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20
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 5.51 11.03 12.22 -93.19 4.04

Competitive Comparison of On Deck Capital's ROE %

For the Credit Services subindustry, On Deck Capital'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.


On Deck Capital's ROE % Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, On Deck Capital's ROE % distribution charts can be found below:

* The bar in red indicates where On Deck Capital's ROE % falls into.



On Deck Capital ROE % Calculation

On Deck Capital's annualized ROE % for the fiscal year that ended in Dec. 2019 is calculated as

ROE %=Net Income (A: Dec. 2019 )/( (Total Stockholders Equity (A: Dec. 2018 )+Total Stockholders Equity (A: Dec. 2019 ))/ count )
=27.955/( (297.952+294)/ 2 )
=27.955/295.976
=9.45 %

On Deck Capital's annualized ROE % for the quarter that ended in Jun. 2020 is calculated as

ROE %=Net Income (Q: Jun. 2020 )/( (Total Stockholders Equity (Q: Mar. 2020 )+Total Stockholders Equity (Q: Jun. 2020 ))/ count )
=8.68/( (212.256+217.473)/ 2 )
=8.68/214.8645
=4.04 %

* 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. 2020) net income data. ROE % is displayed in the 30-year financial page.


On Deck Capital  (NYSE:ONDK) 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. 2020 )
=Net Income/Total Stockholders Equity
=8.68/214.8645
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(8.68 / 280.936)*(280.936 / 1152.888)*(1152.888 / 214.8645)
=Net Margin %*Asset Turnover*Equity Multiplier
=3.09 %*0.2437*5.3657
=ROA %*Equity Multiplier
=0.75 %*5.3657
=4.04 %

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. 2020 )
=Net Income/Total Stockholders Equity
=8.68/214.8645
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (8.68 / -16.492) * (-16.492 / 280.936) * (280.936 / 1152.888) * (1152.888 / 214.8645)
= Tax Burden * Pretax Margin % * Asset Turnover * Equity Multiplier
= -0.5263 * -5.87 % * 0.2437 * 5.3657
=4.04 %

Note: The net income data used here is four times the quarterly (Jun. 2020) net income data. The Revenue data used here is four times the quarterly (Jun. 2020) 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.


On Deck Capital ROE % Related Terms

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


On Deck Capital (On Deck Capital) Business Description

Traded in Other Exchanges
N/A
Address
1400 Broadway, 25th Floor, New York, NY, USA, 10018
On Deck Capital Inc is a platform for online small business lending. The company transforms small business lending by making it efficient and convenient for small businesses to access capital. Its' platform touches every aspect of the customer lifecycle, including customer acquisition, sales, scoring and underwriting, funding, and servicing and collections. It generates revenue in the form of interest income.
Executives
Bruce P Nolop director C/O E*TRADE FINANCIAL CORPORATE SERVICES, 135 EAST 57TH STREET, NEW YORK NY 10022
Chandra Dhandapani director C/O CBRE, 2100 MCKINNEY AVENUE, SUITE 1250, DALLAS TX 75201
Jane J. Thompson director 628 GREEN VALLEY ROAD, SUITE 500, GREENSBORO NC 27408
Mark Torossian officer: Principal Accounting Officer 1400 BROADWAY, 25TH FLOOR, NEW YORK NY 10018
Kenneth A Brause officer: Chief Financial Officer C/O ON DECK CAPITAL INC 1400 BROADWAY 25TH FLOOR NEW YORK NY 10018
Nicholas Peter Brown officer: Chief Risk Officer 1400 BROADWAY 25TH FLOOR NEW YORK NY 10018
Kampfer Cory officer: Chief Operations Officer & GC C/O ON DECK CAPITAL INC. 1400 BROADWAY 25TH FLOOR NEW YORK NY 10018
Ronald F Verni director C/O ON DECK CAPITAL INC. 1400 BROADWAY 25TH FLOOR NEW YORK NY 10018
Daniel S Henson director C/O HEALTHCARE TRUST OF AMERICA, INC., 16435 N. SCOTTSDALE ROAD, SUITE 320, SCOTTSDALE AZ 85254
Rodriquez Manuel Sanchez director C/O FANNIE MAE, 1100 15TH STREET, NW, WASHINGTON DC 20005
Noah Breslow director, officer: CEO & Chairman C/O ON DECK CAPITAL INC 1400 BROADWAY 25TH FLOOR NEW YORK NY 10018
Neil E Wolfson director C/O ON DECK CAPITAL INC., 1400 BROADWAY 25TH FLOOR, NEW YORK NY 10018
Stuart J. Ellman 10 percent owner C/O RRE VENTURES, 130 EAST 59TH STREET, 17TH FLOOR, NEW YORK NY 10022
Rre Ventures Gp Iv, Llc 10 percent owner 130 EAST 59TH STREET, 17TH FLOOR, NEW YORK NY 10022
Rre Ventures Iv L P 10 percent owner 126 EAST 56TH ST NEW YORK NY 10022

On Deck Capital (On Deck Capital) Headlines

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