BOWXW (BowX Acquisition) Retained Earnings: $-0.08 Mil (As of Sep. 2020)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

What is BowX Acquisition Retained Earnings?

BowX Acquisition BOWXW Retained Earnings is $-0.08 Mil as of Sep. 2020.

Retained earnings is the accumulated portion of net income that is not distributed to shareholders. BowX Acquisition's retained earnings for the quarter that ended in Sep. 2020 was $-0.08 Mil.

BowX Acquisition's quarterly retained earnings declined from Jun. 2020 ($-0.02 Mil) to Jul. 2020 ($-0.05 Mil) and declined from Jul. 2020 ($-0.05 Mil) to Sep. 2020 ($-0.08 Mil).


BowX Acquisition  (NAS:BOWXW) Retained Earnings Explanation

Historically profitable companies sometimes have negative retained earnings. This is because they have cumulatively paid out more to shareholders than they reported in profits.

For example, in 2011, Microsoft had negative retained earnings. This does not mean the company lost more money than it made over the years. It just means it paid out more money than it earned.

If a company has negative retained earnings, investors should check the 10-year financial results. They should not assume that negative retained earnings prove a company has generally lost money in the past.

Of course, many companies with negative retained earnings have indeed lost money in the past.

Retained Earnings: Warren Buffett's Secret.

One of the most important indicators of durable competitive advantage. Net earnings can be paid out as dividends, used to buy back shares or retained for growth.

If the company loses more than it has accumulated, retained earnings is negative.

If a company isn't adding to its retained earnings, it isn't growing its net worth.

Rate of growth of retained earnings is good indicator whether it's benefiting from a competitive advantage.

Microsoft is negative because it chose to buyback stock and pay dividends.

The more earnings retained, the faster it grows and increases growth rate for future earnings.


BowX Acquisition Retained Earnings Historical Data

* Premium members only.

The historical data trend for BowX Acquisition's Retained Earnings 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.

BowX Acquisition Retained Earnings Chart

BowX Acquisition Annual Data
Trend Dec20
Retained Earnings
-4.81

BowX Acquisition Semi-Annual Data
May20 Jun20 Jul20 Sep20 Dec20
Retained Earnings 0.00 -0.02 -0.05 -0.08 -4.81

BowX Acquisition Retained Earnings Calculation

Retained Earnings is the accumulated portion of net income that is not distributed to shareholders. Because the net income was not distributed to shareholders, shareholders' equity is increased by the same amount.

Of course, if a company loses, it is called retained losses, or accumulated losses.

Frequently Asked Questions Learn more about Retained Earnings →
What does a Retained Earnings of $-0.08 Mil mean?
BowX Acquisition (BOWXW) has a Retained Earnings of $-0.08 Mil as of Sep. 2020. Retained earnings is the amount of net income not issued to shareholders. View historical data on BowX Acquisition and its competitors.
Is BowX Acquisition's Retained Earnings too high?
BowX Acquisition's current Retained Earnings is $-0.08 Mil.
How does BowX Acquisition's Retained Earnings compare to ?
BowX Acquisition's Retained Earnings of $-0.08 Mil can be compared against companies in the Diversified Financial Services industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Retained Earnings for a Diversified Financial Services company?
A good Retained Earnings depends on the Diversified Financial Services industry context. However, Retained Earnings should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Retained Earnings mean?
A high Retained Earnings can signal that a stock is expensive relative to its fundamentals. Retained earnings is the amount of net income not issued to shareholders. View historical data on BowX Acquisition and its competitors. BowX Acquisition's current Retained Earnings is $-0.08 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BowX Acquisition stock overvalued right now?
BowX Acquisition (BOWXW) has a current Retained Earnings of $-0.08 Mil. The current Retained Earnings is $-0.08 Mil. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Retained Earnings calculated?
Retained Earnings is calculated from a company's financial statements. For BowX Acquisition (BOWXW), the current Retained Earnings is $-0.08 Mil as of Sep. 2020. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

BowX Acquisition Business Description

Comparable Companies
Address 2400 Sand Hill Road, Suite 200, Menlo Park, CA, USA, 94025
BowX Acquisition Corp is a blank check company.