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Swift Transportation Co (Swift Transportation Co) ROE % : 15.06% (As of Jun. 2017)


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What is Swift Transportation Co ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Swift Transportation Co's annualized net income for the quarter that ended in Jun. 2017 was $105 Mil. Swift Transportation Co's average Total Stockholders Equity over the quarter that ended in Jun. 2017 was $698 Mil. Therefore, Swift Transportation Co's annualized ROE % for the quarter that ended in Jun. 2017 was 15.06%.

The historical rank and industry rank for Swift Transportation Co's ROE % or its related term are showing as below:

SWFT's ROE % is not ranked *
in the Transportation industry.
Industry Median: 8.46
* Ranked among companies with meaningful ROE % only.

Swift Transportation Co ROE % Historical Data

The historical data trend for Swift Transportation Co'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.

Swift Transportation Co ROE % Chart

Swift Transportation Co Annual Data
Trend Dec05 Dec06 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 70.49 54.19 42.76 36.35 23.16

Swift Transportation Co Quarterly Data
Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17
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 28.24 15.75 31.42 3.08 15.06

Competitive Comparison of Swift Transportation Co's ROE %

For the Trucking subindustry, Swift Transportation Co'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.


Swift Transportation Co's ROE % Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Swift Transportation Co's ROE % distribution charts can be found below:

* The bar in red indicates where Swift Transportation Co's ROE % falls into.



Swift Transportation Co ROE % Calculation

Swift Transportation Co's annualized ROE % for the fiscal year that ended in Dec. 2016 is calculated as

ROE %=Net Income (A: Dec. 2016 )/( (Total Stockholders Equity (A: Dec. 2015 )+Total Stockholders Equity (A: Dec. 2016 ))/ count )
=149.267/( (617.025+672.153)/ 2 )
=149.267/644.589
=23.16 %

Swift Transportation Co's annualized ROE % for the quarter that ended in Jun. 2017 is calculated as

ROE %=Net Income (Q: Jun. 2017 )/( (Total Stockholders Equity (Q: Mar. 2017 )+Total Stockholders Equity (Q: Jun. 2017 ))/ count )
=105.188/( (681.692+715.038)/ 2 )
=105.188/698.365
=15.06 %

* 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. 2017) net income data. ROE % is displayed in the 30-year financial page.


Swift Transportation Co  (NYSE:SWFT) 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. 2017 )
=Net Income/Total Stockholders Equity
=105.188/698.365
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(105.188 / 3972.232)*(3972.232 / 2613.947)*(2613.947 / 698.365)
=Net Margin %*Asset Turnover*Equity Multiplier
=2.65 %*1.5196*3.743
=ROA %*Equity Multiplier
=4.03 %*3.743
=15.06 %

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. 2017 )
=Net Income/Total Stockholders Equity
=105.188/698.365
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (105.188 / 167.672) * (167.672 / 208.644) * (208.644 / 3972.232) * (3972.232 / 2613.947) * (2613.947 / 698.365)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6273 * 0.8036 * 5.25 % * 1.5196 * 3.743
=15.06 %

Note: The net income data used here is four times the quarterly (Jun. 2017) net income data. The Revenue data used here is four times the quarterly (Jun. 2017) 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.


Swift Transportation Co ROE % Related Terms

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Swift Transportation Co (Swift Transportation Co) Business Description

Traded in Other Exchanges
N/A
Address
Swift Transportation is the largest full-truckload carrier (74% of revenue) in the United States, with an effective fleet of more than 19,000 tractors across all its divisions, when including owner-operators. Following its acquisition of Central Refrigerated in 2013, it ranks among the top 10 temperature-controlled providers (8%). Swift also offers intermodal (9%), which competes with the likes of J.B. Hunt. In December 2010, Swift came public for a second time; founder Jerry Moyes had taken it private in 2007.

Swift Transportation Co (Swift Transportation Co) Headlines

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