Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Trip.com Group's annualized net income for the quarter that ended in Sep. 2023 was HK$19,802 Mil. Trip.com Group's average shareholder tangible equity for the quarter that ended in Sep. 2023 was HK$52,128 Mil. Therefore, Trip.com Group's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2023 was 37.99%.
The historical rank and industry rank for Trip.com Group's Return-on-Tangible-Equity or its related term are showing as below:
HKSE:09961'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -11.32 Med: 5.41 Max: 29.82
Current: 21.42
During the past 13 years, Trip.com Group's highest Return-on-Tangible-Equity was 29.82%. The lowest was -11.32%. And the median was 5.41%.
HKSE:09961's Return-on-Tangible-Equity is ranked better than 71.9% of 751
companies
in the Travel & Leisure industry
Industry Median: 8.14
vs HKSE:09961: 21.42
Trip.com Group Return-on-Tangible-Equity Historical Data
The historical data trend for Trip.com Group's Return-on-Tangible-Equity 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.
For the Travel Services subindustry, Trip.com Group's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.
Trip.com Group Return-on-Tangible-Equity Distribution
For the Travel & Leisure industry and Consumer Cyclical sector, Trip.com Group's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Trip.com Group's Return-on-Tangible-Equity falls into.
Trip.com Group Return-on-Tangible-Equity Calculation
Trip.com Group's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2022 is calculated as
* 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 Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Sep. 2023) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
Trip.com Group (HKSE:09961) Return-on-Tangible-Equity Explanation
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity 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 Return-on-Tangible-Equitys can be extremely high.
Trip.com Group Return-on-Tangible-Equity Related Terms
Thank you for viewing the detailed overview of Trip.com Group's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.
Trip.com is the largest online travel agent in China and is positioned to benefit from the country's rising demand for higher-margin outbound travel as passport penetration is only 12% in China. The company generated about 78% of sales from accommodation reservations and transportation ticketing in 2020. The rest of revenue comes from package tours and corporate travel. Prior to the pandemic in 2019, the company generated 25% of revenue from international business, which is important to its margin expansion. Most of sales come from websites and mobile platforms, while the rest come from call centers. The competes in a crowded OTA industry in China, including Meituan, Alibaba-backed Fliggy, Tongcheng, and Qunar. The company was founded in 1999 and listed on the Nasdaq in December 2003.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
HKSE:09961 has been successfully added to your 