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Origin Materials (Origin Materials) ROE %

: -9.86% (As of Dec. 2023)
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ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Origin Materials's annualized net income for the quarter that ended in Dec. 2023 was $-41.75 Mil. Origin Materials's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $423.30 Mil. Therefore, Origin Materials's annualized ROE % for the quarter that ended in Dec. 2023 was -9.86%.

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

ORGN' s ROE % Range Over the Past 10 Years
Min: -24635.77   Med: 14.52   Max: 27.72
Current: 5.93

During the past 4 years, Origin Materials's highest ROE % was 27.72%. The lowest was -24,635.77%. And the median was 14.52%.

ORGN's ROE % is ranked better than
51.46% of 1539 companies
in the Chemicals industry
Industry Median: 5.63 vs ORGN: 5.93

Origin Materials ROE % Historical Data

The historical data trend for Origin Materials'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.

Origin Materials Annual Data
Trend Dec20 Dec21 Dec22 Dec23
ROE %
-24,635.77 27.72 23.09 5.95

Origin Materials Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 17.55 10.18 -6.60 30.30 -9.86

Competitive Comparison

For the Chemicals subindustry, Origin Materials'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.


Origin Materials ROE % Distribution

For the Chemicals industry and Basic Materials sector, Origin Materials's ROE % distribution charts can be found below:

* The bar in red indicates where Origin Materials's ROE % falls into.



Origin Materials ROE % Calculation

Origin Materials's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=23.798/( (376.905+422.507)/ 2 )
=23.798/399.706
=5.95 %

Origin Materials's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %=Net Income (Q: Dec. 2023 )/( (Total Stockholders Equity (Q: Sep. 2023 )+Total Stockholders Equity (Q: Dec. 2023 ))/ count )
=-41.752/( (424.087+422.507)/ 2 )
=-41.752/423.297
=-9.86 %

* 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. 2023) net income data. ROE % is displayed in the 30-year financial page.


Origin Materials  (NAS:ORGN) 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. 2023 )
=Net Income/Total Stockholders Equity
=-41.752/423.297
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-41.752 / 52.252)*(52.252 / 466.4375)*(466.4375 / 423.297)
=Net Margin %*Asset Turnover*Equity Multiplier
=-79.91 %*0.112*1.1019
=ROA %*Equity Multiplier
=-8.95 %*1.1019
=-9.86 %

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: Dec. 2023 )
=Net Income/Total Stockholders Equity
=-41.752/423.297
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-41.752 / -46.992) * (-46.992 / -64.732) * (-64.732 / 52.252) * (52.252 / 466.4375) * (466.4375 / 423.297)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8885 * 0.7259 * -123.88 % * 0.112 * 1.1019
=-9.86 %

Note: The net income data used here is four times the quarterly (Dec. 2023) net income data. The Revenue data used here is four times the quarterly (Dec. 2023) 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.


Origin Materials ROE % Related Terms

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


Origin Materials (Origin Materials) Business Description

Traded in Other Exchanges
Address
930 Riverside Parkway, Suite 10, West Sacramento, CA, USA, 95605
Origin Materials Inc is a carbon-negative materials company. The platform turns the carbon found in biomass into useful materials, while eliminating the need for fossil resources and capturing carbon in the process.
Executives
John Bissell director, officer: President, Co-CEO and Director C/O ORIGIN MATERIALS, INC., 930 RIVERSIDE PKWY #10, WEST SACRAMENTO CA 95605
Joshua C. Lee officer: General Counsel C/O ORIGIN MATERIALS, INC., 930 RIVERSIDE PKWY #10, WEST SACRAMENTO CA 95605
Richard J. Riley director, officer: Co-CEO and Director C/O ORIGIN MATERIALS, INC., 930 RIVERSIDE PKWY #10, WEST SACRAMENTO CA 95605
Matthew T Plavan officer: Chief Financial Officer C/O THERMOGENESIS CORP., 2711 CITRUS ROAD, RANCHO CORDOVA CA 95742
R Tony Tripeny director ONE RIVERFRONT PLAZA, CORNING NY 14831
Pamela Haley officer: Interim CFO 202 COUSTEAU PLACE, DAVIS CA 95618
Karen A Richardson director
James C. Stephanou director 930 RIVERSIDE PKWY SUITE 10, WEST SACRAMENTO CA 95605
Craig A Rogerson director 1313 N MARKET ST, WILMINGTON DE 19894
Boon Sim director, 10 percent owner C/O VANTIV, INC., 8500 GOVERNORS HILL DRIVE, CINCINNATI OH 45249
Nathan S. Whaley officer: Chief Financial Officer C/O ORIGIN MATERIALS, INC., 930 RIVERSIDE PKWY #10, WEST SACRAMENTO CA 95605
Heidenmark Cook Pia Johanna director PRASTAV 672, VIKEN V7 263 61
Stephen Galowitz officer: Chief Commercial Officer C/O ORIGIN MATERIALS, INC., 3 COLUMBUS CIRCLE, SUITE 2215, NEW YORK NY 10019
Charles Drucker director, 10 percent owner, officer: Executive Chairman 38 FOUNTAIN SQUARE PLAZA, MD 10AT76, CINCINNATI OH 45263
Benno O Dorer director 1221 BROADWAY, OAKLAND CA 94612

Origin Materials (Origin Materials) Headlines

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