DanaosDAC -1.76%81 ROE % is 14.56% as of Mar. 2026, which is 10% below its 10-year median of 16.11. GuruFocus rates DAC with a GF Score™ of 81/100 and a GF Value™ of $92.04 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 991 Transportation companies, Danaos ranks better than 74.67% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Danaos's annualized net income for the quarter that ended in Mar. 2026 was $562 Mil. Danaos's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was $3,857 Mil. Therefore, Danaos's annualized ROE % for the quarter that ended in Mar. 2026 was 14.56%.
The historical rank and industry rank for Danaos's ROE % or its related term are showing as below:
DAC'
s ROE % Range Over the Past 10 Years
Min: -55.08 Med: 16.11 Max: 67.41
Current: 14.04
During the past 13 years, Danaos's highest ROE % was 67.41%. The lowest was -55.08%. And the median was 16.11%.
DAC's ROE % is ranked better than 74.67% of 991
companies
in the Transportation industry
Industry Median: 7.6
vs DAC: 14.04
Danaos (NYSE:DAC) 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:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) 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.
Danaos ROE % Related Terms
Danaos ROE % Historical Data
* Premium members only.
The historical data trend for Danaos'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.
For the Marine Shipping subindustry, Danaos'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.
Danaos ROE % vs Transportation Industry
For the Transportation industry and Industrials sector, Danaos's ROE % distribution charts can be found below:
* The bar in red indicates where Danaos's ROE % falls into.
* 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 (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Danaos (DAC) has a ROE % of 14.56% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Danaos and its competitors. This is 10% below median its historical median of 16.11. According to the industry distribution chart, Danaos ranks #251 out of 991 companies in the Transportation industry, placing it in the top 25.3%.
Is Danaos' ROE % too high?
Danaos' current ROE % of 14.56% is 10% below median its 10-year median of 16.11. The Transportation industry median ROE % is 7.60. Danaos' value of 14.56% is 91.6% above this industry median. Based on the distribution chart, Danaos ranks #251 out of 991 companies in the Transportation industry, which is above the industry midpoint. Overall, Danaos has a GF Score™ of 81/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Danaos' ROE % compare to NMM and CMRE?
According to the Transportation industry distribution chart, Danaos ranks #251 out of 991 companies for ROE %. This puts Danaos in the upper half of its industry. The industry median ROE % is 7.60. Danaos' value of 14.56% is 91.6% above this benchmark. While the company's 10-year median is 16.11 vs. the industry median of 7.60, Danaos has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Transportation company?
The median ROE % among Transportation companies is 7.60, based on 991 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Danaos's current ROE % of 14.56% is 91.6% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Danaos and its competitors. For the Transportation industry, the median ROE % is 7.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Danaos's current ROE % is 14.56%, which is 10% below median its own 10-year median of 16.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Danaos stock overvalued right now?
Based on GuruFocus' analysis, Danaos (DAC) is currently considered Significantly Overvalued. The stock's GF Value™ is $92.04, compared to a current price of $125.26 — trading 36.1% above its estimated fair value. The current ROE % is 14.56%, which is 10% below median its 10-year median of 16.11 and 91.6% above the Transportation industry median of 7.60. Danaos' overall GF Score™ is 81/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Danaos (DAC), the current ROE % is 14.56% as of Mar. 2026. 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.
Is Danaos (DAC) Overvalued in 2026?
Based on GuruFocus' analysis, Danaos stock appears to be overvalued.
The current stock price of $125.26 is trading 36.1% above its estimated GF Value™ of $92.04.
GuruFocus considers Danaos to be Significantly Overvalued.
Key valuation signals for DAC:
ROE %: 14.56% (10% below median its 10-year median of 16.11)
GF Value™: $92.04 vs. price of $125.26 (36.1% above fair value)
Industry Position: 91.6% above the Transportation median (#251 of 991)
No single metric tells the full story. See the DAC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Danaos Corp is an international owner of containerships. It provides international seaborne transportation services by operating vessels in the containership sector of the shipping industry. The company's customers include HMM, MSC, Yang Ming, Hapag Lloyd, ZIM, Maersk, COSCO, OOCL, ONE, PIL, Sealead, Niledutch, Samudera, OSC, and Arkas. Geographically, the company operates in Australia, Asia, Europe, and America, with maximum revenue from the Australia-Asia region. It has two reporting segments: Container vessels and Drybulk vessels segment. It generates the majority of its revenue from Container vessels.
81GF Score
Get the complete analysis for DAC
ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
DAC has been successfully added to your 
