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Renewable Energy Group (Renewable Energy Group) ROE % : 2.88% (As of Mar. 2022)


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What is Renewable Energy Group ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Renewable Energy Group's annualized net income for the quarter that ended in Mar. 2022 was $50 Mil. Renewable Energy Group's average Total Stockholders Equity over the quarter that ended in Mar. 2022 was $1,731 Mil. Therefore, Renewable Energy Group's annualized ROE % for the quarter that ended in Mar. 2022 was 2.88%.

The historical rank and industry rank for Renewable Energy Group's ROE % or its related term are showing as below:

REGI' s ROE % Range Over the Past 10 Years
Min: -21.92   Med: 12.4   Max: 42.66
Current: 11.13

During the past 13 years, Renewable Energy Group's highest ROE % was 42.66%. The lowest was -21.92%. And the median was 12.40%.

REGI's ROE % is not ranked
in the Oil & Gas industry.
Industry Median: 7.825 vs REGI: 11.13

Renewable Energy Group ROE % Historical Data

The historical data trend for Renewable Energy Group'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.

Renewable Energy Group ROE % Chart

Renewable Energy Group Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -13.46 42.07 39.23 10.80 14.74

Renewable Energy Group Quarterly Data
Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22
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 11.46 19.90 10.27 12.37 2.88

Competitive Comparison of Renewable Energy Group's ROE %

For the Oil & Gas Refining & Marketing subindustry, Renewable Energy Group'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.


Renewable Energy Group's ROE % Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Renewable Energy Group's ROE % distribution charts can be found below:

* The bar in red indicates where Renewable Energy Group's ROE % falls into.



Renewable Energy Group ROE % Calculation

Renewable Energy Group's annualized ROE % for the fiscal year that ended in Dec. 2021 is calculated as

ROE %=Net Income (A: Dec. 2021 )/( (Total Stockholders Equity (A: Dec. 2020 )+Total Stockholders Equity (A: Dec. 2021 ))/ count )
=213.819/( (1173.955+1727.826)/ 2 )
=213.819/1450.8905
=14.74 %

Renewable Energy Group's annualized ROE % for the quarter that ended in Mar. 2022 is calculated as

ROE %=Net Income (Q: Mar. 2022 )/( (Total Stockholders Equity (Q: Dec. 2021 )+Total Stockholders Equity (Q: Mar. 2022 ))/ count )
=49.908/( (1727.826+1733.973)/ 2 )
=49.908/1730.8995
=2.88 %

* 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 (Mar. 2022) net income data. ROE % is displayed in the 30-year financial page.


Renewable Energy Group  (NAS:REGI) 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: Mar. 2022 )
=Net Income/Total Stockholders Equity
=49.908/1730.8995
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(49.908 / 3743.956)*(3743.956 / 2593.495)*(2593.495 / 1730.8995)
=Net Margin %*Asset Turnover*Equity Multiplier
=1.33 %*1.4436*1.4984
=ROA %*Equity Multiplier
=1.92 %*1.4984
=2.88 %

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: Mar. 2022 )
=Net Income/Total Stockholders Equity
=49.908/1730.8995
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (49.908 / 51.592) * (51.592 / 76.152) * (76.152 / 3743.956) * (3743.956 / 2593.495) * (2593.495 / 1730.8995)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.9674 * 0.6775 * 2.03 % * 1.4436 * 1.4984
=2.88 %

Note: The net income data used here is four times the quarterly (Mar. 2022) net income data. The Revenue data used here is four times the quarterly (Mar. 2022) 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.


Renewable Energy Group ROE % Related Terms

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Renewable Energy Group (Renewable Energy Group) Business Description

Traded in Other Exchanges
N/A
Address
416 South Bell Avenue, Ames, IA, USA, 50010
Renewable Energy Group Inc is a producer and refiner of biofuels in the oil and gas industry. The company's operations include acquiring feedstock, operating biorefineries, and marketing and distributing renewable fuels. Its operating segments include Biomass-based Diesel, Services, and Corporate and other. The majority of the company's revenue comes from the sale of biomass-based diesel. Geographically, it operates in the United States, Germany and Other Foreign countries of which the United States derived maximum revenue. At its biorefineries, natural fats, oils, and greases are converted into biofuels and renewable chemicals.
Executives
Stacey Orlandi other: SVP, Manufacturing C/O RENEWABLE ENERGY GROUP, INC. 416 SOUTH BELL AVENUE AMES IA 50010
Eric Bowen officer: VP, Corp Bus Dev and Legal C/O RENEWABLE ENERGY GROUP, INC. 416 SOUTH BELL AVENUE AMES IA 50010
Dylan Glenn director 535 BROAD HOLLOW ROAD, SUITE B51, MELVILLE NY 11747
Niharika Ramdev director C/O XL HYBRIDS, INC., 145 NEWTON STREET, BOSTON MA 02135
Todd Samuels other: Chief Accounting Officer C/O RENEWABLE ENERGY GROUP, INC. 416 SOUTH BELL AVENUE AMES IA 50010
Chad Stone officer: Chief Financial Officer REG NEWCO, INC. 416 S. BELL AVENUE AMES IA 50010
Cynthia J Warner director, officer: President and CEO 1925 WEST FIELD COURT, SUITE 200, LAKE FOREST IL 60045
Harding Peter John Martin director 416 S. BELL AVE. AMES IA 50010
Richard Craig Bealmear officer: Chief Financial Officer 1114 COLFAX STREET EVANSTON IL 60201
Jeffrey Stroburg director REG NEWCO, INC. 416 S. BELL AVENUE AMES IA 50010
Christopher D. Sorrells director REG NEWCO, INC., 416 S. BELL AVENUE, AMES IA 50010
Todd Allen Robinson officer: InterimChief Financial Officer RENEWABLE ENERGY, INC. 416 SOUTH BELL AVENUE AMES IA 50010
Walter Z Berger director 416 SOUTH BELL AVENUE, AMES IA 50010
Gary Haer officer: VP, Sales and Marketing 416 SOUTH BELL AVENUE C/O RENEWABLE ENERGY GROUP, INC. AMES IA 50010
Michael M Scharf director 12312 OLIVE BOULEVARD SUITE 400 ST. LOUIS MO 63141

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