Cervecerian Juan (LIM:SNJUANI1) Return-on-Tangible-Equity: 23.82% (As of Dec. 2009)

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What is Cervecerian Juan Return-on-Tangible-Equity?

Cervecerian Juan LIM:SNJUANI1 +0.68% Return-on-Tangible-Equity is 23.82% as of Dec. 2009.

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. Cervecerian Juan's annualized net income for the quarter that ended in Dec. 2009 was S/.32.6 Mil. Cervecerian Juan's average shareholder tangible equity for the quarter that ended in Dec. 2009 was S/.136.7 Mil. Therefore, Cervecerian Juan's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2009 was 23.82%.

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

LIM:SNJUANI1's Return-on-Tangible-Equity is not ranked *
in the Beverages - Alcoholic industry.
Industry Median: 8.25
* Ranked among companies with meaningful Return-on-Tangible-Equity only.

Cervecerian Juan  (LIM:SNJUANI1) 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.


Cervecerian Juan Return-on-Tangible-Equity Related Terms


Cervecerian Juan Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Cervecerian Juan'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.

Cervecerian Juan Return-on-Tangible-Equity Chart

Cervecerian Juan Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09
Return-on-Tangible-Equity
27.92 60.75 19.20 21.78 23.82

Cervecerian Juan Semi-Annual Data
Dec05 Dec06 Dec07 Dec08 Dec09
Return-on-Tangible-Equity 27.92 60.75 19.20 21.78 23.82

Cervecerian Juan Return-on-Tangible-Equity Competitor Comparison

For the Beverages - Brewers subindustry, Cervecerian Juan'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.


Cervecerian Juan Return-on-Tangible-Equity vs Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Cervecerian Juan's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Cervecerian Juan's Return-on-Tangible-Equity falls into.



Cervecerian Juan Return-on-Tangible-Equity Calculation

Cervecerian Juan's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2009 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2009 )  (A: Dec. 2008 )(A: Dec. 2009 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2009 )  (A: Dec. 2008 )(A: Dec. 2009 )
=32.553/( (130.892+142.444 )/ 2 )
=32.553/136.668
=23.82 %

Cervecerian Juan's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2009 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2009 )  (Q: Dec. 2008 )(Q: Dec. 2009 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2009 )  (Q: Dec. 2008 )(Q: Dec. 2009 )
=32.553/( (130.892+142.444)/ 2 )
=32.553/136.668
=23.82 %

* 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 one times the annual (Dec. 2009) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 23.82% mean?
Cervecerian Juan (LIM:SNJUANI1) has a Return-on-Tangible-Equity of 23.82% as of Dec. 2009. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Cervecerian Juan and its competitors.
Is Cervecerian Juan's Return-on-Tangible-Equity too high?
Cervecerian Juan's current Return-on-Tangible-Equity is 23.82%. The Beverages - Alcoholic industry median Return-on-Tangible-Equity is 8.25. Cervecerian Juan's value of 23.82% is 188.7% above this industry median.
How does Cervecerian Juan's Return-on-Tangible-Equity compare to competitors?
Cervecerian Juan's Return-on-Tangible-Equity of 23.82% can be compared against companies in the Beverages - Alcoholic industry. The industry median Return-on-Tangible-Equity is 8.25. Cervecerian Juan's value of 23.82% is 188.7% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for a Beverages - Alcoholic company?
The median Return-on-Tangible-Equity among Beverages - Alcoholic companies is 8.25, based on 202 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Cervecerian Juan's current Return-on-Tangible-Equity of 23.82% is 188.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Cervecerian Juan and its competitors. For the Beverages - Alcoholic industry, the median Return-on-Tangible-Equity is 8.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cervecerian Juan's current Return-on-Tangible-Equity is 23.82%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cervecerian Juan stock overvalued right now?
Cervecerian Juan (LIM:SNJUANI1) has a current Return-on-Tangible-Equity of 23.82%. The current Return-on-Tangible-Equity is 23.82% and 188.7% above the Beverages - Alcoholic industry median of 8.25. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Cervecerian Juan (LIM:SNJUANI1), the current Return-on-Tangible-Equity is 23.82% as of Dec. 2009. 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.

Cervecerian Juan Business Description

Address Carretera Federico Basadre Road Km. 13, Yarinacocha, Pucallpa, PER, 25000
Cerveceria San Juan SA is engaged in the packaging, sale and distribution of malted drinks, non-alcoholic drinks along with carbonated water.