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Sogou (SOGO) ROE % : 15.41% (As of Jun. 2021)


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What is Sogou ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Sogou's annualized net income for the quarter that ended in Jun. 2021 was $159.6 Mil. Sogou's average Total Stockholders Equity over the quarter that ended in Jun. 2021 was $1,036.0 Mil. Therefore, Sogou's annualized ROE % for the quarter that ended in Jun. 2021 was 15.41%.

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

SOGO' s ROE % Range Over the Past 10 Years
Min: -88.25   Med: 8.61   Max: 20.06
Current: 0.69

During the past 7 years, Sogou's highest ROE % was 20.06%. The lowest was -88.25%. And the median was 8.61%.

SOGO's ROE % is not ranked
in the Interactive Media industry.
Industry Median: 0.01 vs SOGO: 0.69

Sogou ROE % Historical Data

The historical data trend for Sogou'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.

Sogou ROE % Chart

Sogou Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
ROE %
Get a 7-Day Free Trial 40.18 15.30 10.32 8.61 -10.60

Sogou Quarterly Data
Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21
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 -3.34 -16.80 -10.66 14.16 15.41

Competitive Comparison of Sogou's ROE %

For the Internet Content & Information subindustry, Sogou'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.


Sogou's ROE % Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Sogou's ROE % distribution charts can be found below:

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



Sogou ROE % Calculation

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

ROE %=Net Income (A: Dec. 2020 )/( (Total Stockholders Equity (A: Dec. 2019 )+Total Stockholders Equity (A: Dec. 2020 ))/ count )
=-108.221/( (1063.503+978.132)/ 2 )
=-108.221/1020.8175
=-10.60 %

Sogou's annualized ROE % for the quarter that ended in Jun. 2021 is calculated as

ROE %=Net Income (Q: Jun. 2021 )/( (Total Stockholders Equity (Q: Mar. 2021 )+Total Stockholders Equity (Q: Jun. 2021 ))/ count )
=159.612/( (1012.755+1059.309)/ 2 )
=159.612/1036.032
=15.41 %

* 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. 2021) net income data. ROE % is displayed in the 30-year financial page.


Sogou  (NYSE:SOGO) 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. 2021 )
=Net Income/Total Stockholders Equity
=159.612/1036.032
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(159.612 / 590.044)*(590.044 / 1376.6525)*(1376.6525 / 1036.032)
=Net Margin %*Asset Turnover*Equity Multiplier
=27.05 %*0.4286*1.3288
=ROA %*Equity Multiplier
=11.59 %*1.3288
=15.41 %

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. 2021 )
=Net Income/Total Stockholders Equity
=159.612/1036.032
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (159.612 / 156.664) * (156.664 / -143.52) * (-143.52 / 590.044) * (590.044 / 1376.6525) * (1376.6525 / 1036.032)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.0188 * -1.0916 * -24.32 % * 0.4286 * 1.3288
=15.41 %

Note: The net income data used here is four times the quarterly (Jun. 2021) net income data. The Revenue data used here is four times the quarterly (Jun. 2021) 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.


Sogou ROE % Related Terms

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


Sogou (SOGO) Business Description

Traded in Other Exchanges
N/A
Address
No.1 Unit Zhongguancun East Road, Level 15, Sohu.com Internet Plaza, Haidian District, Beijing, CHN, 100084
Sogou Inc is an internet company in China which owns search engine called Sogou Search. It is engaged in developing Sogou Input Method, which is a Chinese language input software by both mobile and PC MAUs. Sogou Input Method is a cloud-based Chinese language input software which captures Chinese expressions and phrases on the Internet, which enables Sogou Input Method to build a comprehensive and up-to-date vocabulary library. The company focuses on delivering internet content to users through services such as search access to the vast content from Tencent's Weixin Official Accounts. It operates its business in China and earns the majority of its revenue from China itself.