>
Switch to:

Select Medical Holdings ROE %

: 25.00% (As of Sep. 2021)
View and export this data going back to 2009. 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. Select Medical Holdings's annualized net income attributable to common stockholders for the quarter that ended in Sep. 2021 was $298 Mil. Select Medical Holdings's average Total Stockholders Equity over the quarter that ended in Sep. 2021 was $1,190 Mil. Therefore, Select Medical Holdings's annualized ROE % for the quarter that ended in Sep. 2021 was 25.00%.

The historical rank and industry rank for Select Medical Holdings's ROE % or its related term are showing as below:

NYSE:SEM' s ROE % Range Over the Past 10 Years
Min: 13.3   Med: 16.14   Max: 36.91
Current: 36.91

13.3
36.91

During the past 13 years, Select Medical Holdings's highest ROE % was 36.91%. The lowest was 13.30%. And the median was 16.14%.

NYSE:SEM's ROE % is ranked lower than
99.99% of the 130 Companies
in the Healthcare Providers & Services industry.

( Industry Median: 9.65 vs. NYSE:SEM: 36.91 )

Select Medical Holdings ROE % Historical Data

The historical data trend for Select Medical Holdings'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.

Select Medical Holdings Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
ROE %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 13.36 20.92 16.39 18.23 27.31

Select Medical Holdings Quarterly Data
Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21
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 29.25 28.44 38.74 53.55 25.00

Competitive Comparison

For the Medical Care Facilities subindustry, Select Medical Holdings'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.

   

Select Medical Holdings ROE % Distribution

For the Healthcare Providers & Services industry and Healthcare sector, Select Medical Holdings's ROE % distribution charts can be found below:

* The bar in red indicates where Select Medical Holdings's ROE % falls into.



Select Medical Holdings ROE % Calculation

Select Medical Holdings's annualized ROE % for the fiscal year that ended in Dec. 2020 is calculated as

ROE %=Net Income attributable to Common Stockholders (A: Dec. 2020 )/( (Total Stockholders Equity (A: Dec. 2019 )+Total Stockholders Equity (A: Dec. 2020 ))/ count )
=250.099/( (770.972+1060.48)/ 2 )
=250.099/915.726
=27.31 %

Select Medical Holdings's annualized ROE % for the quarter that ended in Sep. 2021 is calculated as

ROE %=Net Income attributable to Common Stockholders (Q: Sep. 2021 )/( (Total Stockholders Equity (Q: Jun. 2021 )+Total Stockholders Equity (Q: Sep. 2021 ))/ count )
=297.512/( (1234.225+1145.498)/ 2 )
=297.512/1189.8615
=25.00 %

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


Select Medical Holdings  (NYSE:SEM) 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: Sep. 2021 )
=Net Income/Total Stockholders Equity
=307.712/1189.8615
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(307.712 / 6136.884)*(6136.884 / 7927.926)*(7927.926 / 1189.8615)
=Net Margin %*Asset Turnover*Equity Multiplier
=5.01 %*0.7741*6.6629
=ROA %*Equity Multiplier
=3.88 %*6.6629
=25.86 %

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: Sep. 2021 )
=Net Income/Total Stockholders Equity
=307.712/1189.8615
=(Net Income /Pre-Tax Income) * (Pre-Tax Income/Operating Income) * (Operating Income/Revenue) * (Revenue/Total Assets) * (Total Assets/Total Stockholders Equity)
= (307.712 / 511.528) * (511.528 / 601.02) * (601.02 / 6136.884) * (6136.884 / 7927.926) * (7927.926 / 1189.8615)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6016 * 0.8511 * 9.79 % * 0.7741 * 6.6629
=25.86 %

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


Select Medical Holdings ROE % Related Terms

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


Select Medical Holdings Business Description

Select Medical Holdings logo
Industry
Traded in Other Exchanges
Address
4714 Gettysburg Road, P.O. Box 2034, Mechanicsburg, PA, USA, 17055
Select Medical Holdings Corp is a healthcare company that operates through four main segments: critical illness recovery hospitals, rehabilitation hospitals, outpatient rehabilitation clinics, and Concentra institutions. Critical illness recovery hospitals and rehabilitation centers are designed for patients requiring extended recovery time with medical services. These two sectors combined compose roughly half of the total revenue and include over 100 critical illness recovery hospitals and inpatient rehab facilities. The outpatient rehabilitation segment includes over 1,700 rehabilitation clinics. The Concentra segment includes over 500 institutions. The company is headquartered in Pennsylvania, and it operates across the United States.
Executives
Ortenzio Rocco A director, officer: Vice Chairman and Co-Founder SELECT MEDICAL CORP 4716 OLD GETTYSBURG RD PO BOX 2034 MECHANICSBURG PA 17055
Romberger Scott A officer: Senior Vice President 4716 OLD GETTYSBURG ROAD PO BOX 2034 MECHANICSBURG PA 17055
Tarvin Michael E officer: Executive Vice President 4716 OLD GETTYSBURG ROAD PO BOX 2034 MECHANICSBURG PA 17055
Saich John A. officer: Executive Vice President C/O SELECT MEDICAL HOLDINGS CORPORATION 4714 GETTYSBURG ROAD MECHANICSBURG PA 17055
Chernow David S officer: President and CEO C/O JUNIOR ACHIEVEMENT INC ONE EDUCATION WAY COLORADO SPRINGS CO 80906
Jackson Martin F officer: Executive Vice President 4716 OLD GETTYSBURG ROAD PO BOX 2034 MECHANICSBURG PA 17055
Thomas Daniel director C/O SELECT MEDICAL CORPORATION 4714 GETTYSBURG ROAD P.O. BOX 2034 MECHANICSBURG PA 17055
Cressey Bryan C director C/O CLARION TECHNOLOGIES INC 235 CENTRAL AVE HOLLAND MI 49423
Scully Thomas director 320 PARK AVENUE, SUITE # 2500 NEW YORK NM 10022
Carson Russell L director 320 PARK AVENUE STE 2500 NEW YORK NY 10022
Frist William H. director 600 MONTGOMERY STREET SAN FRANCISCO CA 94111
Ely James S. Iii director 4000 MERIDIAN BLVD FRANKLIN TN 37067
Ortenzio Robert A director, officer: Exec. Chairman and Co-Founder 4718 OLD GETTYSBURG RD POST OFFICE BOX 2034 MECHANICSBURG PA 30309
Tavenner Marilyn B director BOULDERS III 7800 BEAUFORT SPRING DR RICHMOND VA 23235
Breighner Robert G. Jr officer: Vice President, Compliance C/O SELECT MEDICAL HOLDINGS CORPORATION 4714 GETTYSBURG ROAD MACHANICSBURG PA 17055

Select Medical Holdings Headlines

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)