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ITT Educational Services (ITT Educational Services) Return-on-Tangible-Equity : 10.54% (As of Jun. 2016)


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What is ITT Educational Services Return-on-Tangible-Equity?

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. ITT Educational Services's annualized net income for the quarter that ended in Jun. 2016 was $17.2 Mil. ITT Educational Services's average shareholder tangible equity for the quarter that ended in Jun. 2016 was $163.6 Mil. Therefore, ITT Educational Services's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2016 was 10.54%.

The historical rank and industry rank for ITT Educational Services's Return-on-Tangible-Equity or its related term are showing as below:

ESINQ's Return-on-Tangible-Equity is not ranked *
in the Education industry.
Industry Median: 10.73
* Ranked among companies with meaningful Return-on-Tangible-Equity only.

ITT Educational Services Return-on-Tangible-Equity Historical Data

The historical data trend for ITT Educational Services'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.

* Premium members only.

ITT Educational Services Return-on-Tangible-Equity Chart

ITT Educational Services Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 208.23 94.36 -22.39 18.10 15.37

ITT Educational Services Quarterly Data
Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16
Return-on-Tangible-Equity 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 1.85 4.32 26.22 10.17 10.54

Competitive Comparison of ITT Educational Services's Return-on-Tangible-Equity

For the Education & Training Services subindustry, ITT Educational Services'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.


ITT Educational Services's Return-on-Tangible-Equity Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, ITT Educational Services's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where ITT Educational Services's Return-on-Tangible-Equity falls into.



ITT Educational Services Return-on-Tangible-Equity Calculation

ITT Educational Services's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2015 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2015 )  (A: Dec. 2014 )(A: Dec. 2015 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2015 )  (A: Dec. 2014 )(A: Dec. 2015 )
=23.298/( (142.072+161.136 )/ 2 )
=23.298/151.604
=15.37 %

ITT Educational Services's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2016 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Jun. 2016 )  (Q: Mar. 2016 )(Q: Jun. 2016 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Jun. 2016 )  (Q: Mar. 2016 )(Q: Jun. 2016 )
=17.24/( (162.056+165.044)/ 2 )
=17.24/163.55
=10.54 %

* 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 (Jun. 2016) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


ITT Educational Services  (OTCPK:ESINQ) 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.


ITT Educational Services Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of ITT Educational Services's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


ITT Educational Services (ITT Educational Services) Business Description

Traded in Other Exchanges
N/A
Address
13000 North Meridian Street, Carmel, IN, USA, 46032-1404
ITT Educational Services Inc is a United States based proprietary provider of postsecondary degree programs in the United States based on revenue and student enrollment. The company provides technology-oriented undergraduate and graduate degree programs through its accredited postsecondary institutions, ITT Technical Institutes and Daniel Webster College, to help students develop skills and knowledge that can be used to pursue career opportunities in a variety of fields.
Executives
Tarasi Rocco F Iii officer: EVP, Chief Financial Officer C/O ITT EDUCATIONAL SERVICES INC, 13000 NORTH MERIDIAN STREET, CARMEL IN 46032
June M Mccormack officer: EVP & President Online Div 13000 NORTH MERIDIAN STREET, CARMEL IN 46032
Brown C David Ii director 3000 GALLERIA TOWER, STE 1000, BIRMINGHAM AL 35244
Thomas I Morgan director 30541 CARNEY CREEK ROAD, BIGFORK MT 59911
Joanna T Lau director 30 MONUMENT SQUARE, SUITE 220, CONCORD MA 01742
Ryan L Roney officer: EVP,Chief Admin&Legal Officer 1541 REYNOLDS ROAD, CHARLOTTE MI 48813
Richard C Blum & Associates Inc 10 percent owner 909 MONTGOMERY STREET, SUITE 400, SAN FRANCISCO CA 94133
Blum Capital Partners Lp 10 percent owner 909 MONTGOMERY STREET, SUITE 400, SAN FRANCISCO CA 94133
Blum Strategic Gp Iii, L.l.c. 10 percent owner 909 MONTGOMERY STREET, SUITE 400, SAN FRANCISCO CA 94133
Blum Strategic Gp Iv, L.l.c. 10 percent owner 909 MONTOGOMERY STREET, SUITE 400, SAN FRANCISCO CA 94133
Saddlepoint Partners Gp, L.l.c. 10 percent owner 909 MONTGOMERY STREET, SUITE 400, SAN FRANCISCO CA 94133
Jeffrey R Cooper officer: SVP, Chief Compliance Officer 231 N. MARTINGALE ROAD, SCHAUMBURG IL 60173
Blum Strategic Gp Ii Llc 10 percent owner 909 MONTGOMERY STREET, SUITE 400, SAN FRANCISCO CA 94133
Rand V Araskog director -, 125 WORTH AVENUE, SUITE 300, PALM BEACH FL 33480
Richard C Blum 10 percent owner BLUM CAPITAL PARTNERS, LP, 909 MONTGOMERY STREET, SUITE 400, SAN FRANCISCO CA 94133

ITT Educational Services (ITT Educational Services) Headlines