GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Advanced Energy Industries Inc (NAS:AEIS) » Definitions » ROE %

AEIS (Advanced Energy Industries) ROE % : -5.12% (As of Sep. 2024)


View and export this data going back to 1995. Start your Free Trial

What is Advanced Energy Industries ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Advanced Energy Industries's annualized net income for the quarter that ended in Sep. 2024 was $-60 Mil. Advanced Energy Industries's average Total Stockholders Equity over the quarter that ended in Sep. 2024 was $1,165 Mil. Therefore, Advanced Energy Industries's annualized ROE % for the quarter that ended in Sep. 2024 was -5.12%.

The historical rank and industry rank for Advanced Energy Industries's ROE % or its related term are showing as below:

AEIS' s ROE % Range Over the Past 10 Years
Min: -42.92   Med: 17.03   Max: 38.88
Current: 3.75

During the past 13 years, Advanced Energy Industries's highest ROE % was 38.88%. The lowest was -42.92%. And the median was 17.03%.

AEIS's ROE % is ranked worse than
62.22% of 2949 companies
in the Industrial Products industry
Industry Median: 6.26 vs AEIS: 3.75

Advanced Energy Industries ROE % Historical Data

The historical data trend for Advanced Energy Industries's ROE % 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.

Advanced Energy Industries ROE % Chart

Advanced Energy Industries Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.12 18.06 15.99 20.61 11.61

Advanced Energy Industries Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
ROE % 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 11.76 13.36 1.82 5.21 -5.12

Competitive Comparison of Advanced Energy Industries's ROE %

For the Electrical Equipment & Parts subindustry, Advanced Energy Industries's ROE %, along with its competitors' market caps and ROE % 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.


Advanced Energy Industries's ROE % Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Advanced Energy Industries's ROE % distribution charts can be found below:

* The bar in red indicates where Advanced Energy Industries's ROE % falls into.



Advanced Energy Industries ROE % Calculation

Advanced Energy Industries's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=128.284/( (1066.267+1144.182)/ 2 )
=128.284/1105.2245
=11.61 %

Advanced Energy Industries's annualized ROE % for the quarter that ended in Sep. 2024 is calculated as

ROE %=Net Income (Q: Sep. 2024 )/( (Total Stockholders Equity (Q: Jun. 2024 )+Total Stockholders Equity (Q: Sep. 2024 ))/ count )
=-59.62/( (1165.076+1164.392)/ 2 )
=-59.62/1164.734
=-5.12 %

* 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 ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Sep. 2024) net income data. ROE % is displayed in the 30-year financial page.


Advanced Energy Industries  (NAS:AEIS) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Sep. 2024 )
=Net Income/Total Stockholders Equity
=-59.62/1164.734
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-59.62 / 1496.868)*(1496.868 / 2367.3595)*(2367.3595 / 1164.734)
=Net Margin %*Asset Turnover*Equity Multiplier
=-3.98 %*0.6323*2.0325
=ROA %*Equity Multiplier
=-2.52 %*2.0325
=-5.12 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Sep. 2024 )
=Net Income/Total Stockholders Equity
=-59.62/1164.734
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-59.62 / -58.188) * (-58.188 / 69.992) * (69.992 / 1496.868) * (1496.868 / 2367.3595) * (2367.3595 / 1164.734)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.0246 * -0.8314 * 4.68 % * 0.6323 * 2.0325
=-5.12 %

Note: The net income data used here is four times the quarterly (Sep. 2024) net income data. The Revenue data used here is four times the quarterly (Sep. 2024) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % 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 ROE %s can be extremely high.


Advanced Energy Industries ROE % Related Terms

Thank you for viewing the detailed overview of Advanced Energy Industries's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Advanced Energy Industries Business Description

Traded in Other Exchanges
Address
1595 Wynkoop Street, Suite 800, Denver, CO, USA, 80202
Advanced Energy Industries Inc provides precision power-conversion measurement and control solutions that transform power into various forms for use in manufacturing and industrial equipment and applications. The firm serves original equipment manufacturers and end customers in the semiconductor, flat panel display, solar panel, and other industrial capital equipment markets. Products include thin-film power-conversion systems, which control and modify raw electrical power into a customizable, predictable power source, and power control modules, which control and measure temperature during manufacturing cycles. A majority of the firm's revenue is generated in the United States, with the rest primarily from Asia and Europe.
Executives
Tina Donikowski director 1625 SHARP POINT DRIVE, FORT COLLINS CO 80525
Lanesha Minnix director TWO LAKESIDE COMMONS, BUILDING TWO, 980 HAMMOND DRIVE, SUITE 500, ATLANTA GA 30328
Frederick Ball director C/O MARKETO, INC., 901 MARINER'S ISLAND BLVD., SUITE 500, SAN MATEO CA 94404
Anne Delsanto director 1133 INNOVATION WAY, SUNNYVALE CA 94089
Ronald C Foster director 8000 S FEDERAL WAY, MS 1-557, BOISE ID 83716
Paul R Oldham officer: EVP, CFO 1625 SHARP POINT DRIVE, FORT COLLINS CO 80525
John Donaghey officer: EVP, Global Sales 1595 WYNKOOP STREET, SUITE 800, DENVER CO 80202
Brian Shirley director 8000 S FEDERAL WAY, MS 1-557, BOISE ID 83716
Elizabeth Karpinski Vonne officer: EVP, General Counsel 1595 WYNKOOP STREET, SUITE 800, DENVER CO 80202
Eduardo Bernal Acebedo officer: EVP and COO 1595 WYNKOOP STREET, SUITE 800, DENVER CO 80202
Reed David director 6501 WILLIAM CANNON DRIVE WEST, AUSTIN TX 78735
Stephen Douglas Kelley officer: President and CEO 1900 S. PRICE ROAD, CHANDLER AZ 85286
Yuval Wasserman officer: EVP, Sales, Service & Mktg 1625 SHARP POINT DRIVE, FORT COLLINS CO 80525
Dana Edward Huth officer: CHIEF REVENUE OFFICER 1595 WYNKOOP STREET, SUITE 800, DENVER CO 80202
Thomas O Mcgimpsey officer: EVP Gen Counsel & Corp Sec 380 INTERLOCKEN CRESCENT, BROOMFIELD CO 80021