GURUFOCUS.COM » STOCK LIST » Canada » TSX » Big Bank Big Oil Split Corp (TSX:BBO.PR.A.PFD) » Definitions » ROE %
Switch to:

Big Bank Big Oil Split (TSX:BBO.PR.A.PFD) ROE %

: 72.04% (As of Jun. 2016)
View and export this data going back to 2006. Start your Free Trial

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Big Bank Big Oil Split's annualized net income for the quarter that ended in Jun. 2016 was C$11.65 Mil. Big Bank Big Oil Split's average Total Stockholders Equity over the quarter that ended in Jun. 2016 was C$16.17 Mil. Therefore, Big Bank Big Oil Split's annualized ROE % for the quarter that ended in Jun. 2016 was 72.04%.

The historical rank and industry rank for Big Bank Big Oil Split's ROE % or its related term are showing as below:

TSX:BBO.PR.A.PFD' s ROE % Range Over the Past 10 Years
Min: -66.39   Med: -4.64   Max: 70.53
Current: -4.83

During the past 8 years, Big Bank Big Oil Split's highest ROE % was 70.53%. The lowest was -66.39%. And the median was -4.64%.

TSX:BBO.PR.A.PFD's ROE % is not ranked
in the Asset Management industry.
Industry Median: -1.38 vs TSX:BBO.PR.A.PFD: -4.83

Big Bank Big Oil Split (TSX:BBO.PR.A.PFD) ROE % Historical Data

The historical data trend for Big Bank Big Oil Split'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.

Big Bank Big Oil Split Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec12 Dec13 Dec14 Dec15
ROE % Premium Member Only Premium Member Only Premium Member Only 9.77 - 21.23 -6.89 -42.46

Big Bank Big Oil Split Semi-Annual Data
Dec07 Jun08 Dec08 Jun09 Dec09 Dec10 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16
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 39.21 -56.08 -29.10 -58.48 72.04

Big Bank Big Oil Split (TSX:BBO.PR.A.PFD) ROE % Competitive Comparison

For the Asset Management subindustry, Big Bank Big Oil Split'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.

   

Big Bank Big Oil Split (TSX:BBO.PR.A.PFD) ROE % Distribution

For the Asset Management industry and Financial Services sector, Big Bank Big Oil Split's ROE % distribution charts can be found below:

* The bar in red indicates where Big Bank Big Oil Split's ROE % falls into.



Big Bank Big Oil Split ROE % Calculation

Big Bank Big Oil Split's annualized ROE % for the fiscal year that ended in Dec. 2015 is calculated as

ROE %=Net Income (A: Dec. 2015 )/( (Total Stockholders Equity (A: Dec. 2014 )+Total Stockholders Equity (A: Dec. 2015 ))/ count )
=-8.424/( (25.712+13.968)/ 2 )
=-8.424/19.84
=-42.46 %

Big Bank Big Oil Split's annualized ROE % for the quarter that ended in Jun. 2016 is calculated as

ROE %=Net Income (Q: Jun. 2016 )/( (Total Stockholders Equity (Q: Dec. 2015 )+Total Stockholders Equity (Q: Jun. 2016 ))/ count )
=11.646/( (13.968+18.363)/ 2 )
=11.646/16.1655
=72.04 %

* 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 two times the semi-annual (Jun. 2016) net income data. ROE % is displayed in the 30-year financial page.


Big Bank Big Oil Split  (TSX:BBO.PR.A.PFD) 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. 2016 )
=Net Income/Total Stockholders Equity
=11.646/16.1655
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(11.646 / 12.148)*(12.148 / 47.7515)*(47.7515 / 16.1655)
=Net Margin %*Asset Turnover*Equity Multiplier
=95.87 %*0.2544*2.9539
=ROA %*Equity Multiplier
=24.39 %*2.9539
=72.04 %

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. 2016 )
=Net Income/Total Stockholders Equity
=11.646/16.1655
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (11.646 / 0) * (0 / 12.148) * (12.148 / 47.7515) * (47.7515 / 16.1655)
= Tax Burden * Pretax Margin % * Asset Turnover * Equity Multiplier
= N/A * 0 % * 0.2544 * 2.9539
=72.04 %

Note: The net income data used here is two times the semi-annual (Jun. 2016) net income data. The Revenue data used here is two times the semi-annual (Jun. 2016) 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.


Big Bank Big Oil Split ROE % Related Terms

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


Big Bank Big Oil Split (TSX:BBO.PR.A.PFD) Business Description

Big Bank Big Oil Split logo
Traded in Other Exchanges
N/A
Address
Big Bank Big Oil Split Corp. is a mutual fund corporation. The manager of the Company is Claymore Investments, Inc. The Company has been created to provide a diversified investment in big Canadian banks and oil and gas companies.

Big Bank Big Oil Split (TSX:BBO.PR.A.PFD) 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)
premium membership