RNBI (Rainbow International) Retained Earnings: $-0.34 Mil (As of Feb. 2014)

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What is Rainbow International Retained Earnings?

Rainbow International RNBI -99.00% Retained Earnings is $-0.34 Mil as of Feb. 2014.

Retained earnings is the accumulated portion of net income that is not distributed to shareholders. Rainbow International's retained earnings for the quarter that ended in Feb. 2014 was $-0.34 Mil.

Rainbow International's quarterly retained earnings declined from Aug. 2013 ($-0.34 Mil) to Nov. 2013 ($-0.34 Mil) and declined from Nov. 2013 ($-0.34 Mil) to Feb. 2014 ($-0.34 Mil).

Rainbow International's annual retained earnings declined from May. 2011 ($0.00 Mil) to May. 2012 ($-0.05 Mil) and declined from May. 2012 ($-0.05 Mil) to May. 2013 ($-0.29 Mil).

Rainbow International  (OTCPK:RNBI) 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.

Rainbow International Retained Earnings Historical Data

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The historical data trend for Rainbow International'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.

Rainbow International Retained Earnings Chart

Rainbow International Annual Data
Trend May11 May12 May13
Retained Earnings
0.00 -0.05 -0.29

Rainbow International Quarterly Data
May11 Aug11 Nov11 Feb12 May12 Aug12 Nov12 Feb13 May13 Aug13 Nov13 Feb14
Retained Earnings Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only -0.96 -0.29 -0.34 -0.34 -0.34

Rainbow International 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 $-0.34 Mil mean?
Rainbow International (RNBI) has a Retained Earnings of $-0.34 Mil as of Feb. 2014. Retained earnings is the amount of net income not issued to shareholders. View historical data on Rainbow International and its competitors.
Is Rainbow International's Retained Earnings too high?
Rainbow International's current Retained Earnings is $-0.34 Mil.
How does Rainbow International's Retained Earnings compare to competitors?
Rainbow International's Retained Earnings of $-0.34 Mil can be compared against companies in the Drug Manufacturers 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 Drug Manufacturers company?
A good Retained Earnings depends on the Drug Manufacturers 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 Rainbow International and its competitors. Rainbow International's current Retained Earnings is $-0.34 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rainbow International stock overvalued right now?
Rainbow International (RNBI) has a current Retained Earnings of $-0.34 Mil. The current Retained Earnings is $-0.34 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 Rainbow International (RNBI), the current Retained Earnings is $-0.34 Mil as of Feb. 2014. 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.

Rainbow International Business Description

Comparable Companies IST:GENTSIST:PRKME
Address 17422 East Progress Drive, Suite 107, Centennial, CO, USA
Rainbow International Corp is a United States based company engaged in the commercial production of hemp, by growing hemp in greenhouses and on acreage, then formulate, package and distribute its own line of hemp-based products.