ESTRF (Estre Ambiental) ROE %: 0.00% (As of Jun. 2019)

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What is Estre Ambiental ROE %?

Estre Ambiental ESTRF -90.00% ROE % is 0.00% as of Jun. 2019.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Estre Ambiental's annualized net income for the quarter that ended in Jun. 2019 was $-48.2 Mil. Estre Ambiental's average Total Stockholders Equity over the quarter that ended in Jun. 2019 was $-292.3 Mil. Therefore, Estre Ambiental's annualized ROE % for the quarter that ended in Jun. 2019 was N/A%.

The historical rank and industry rank for Estre Ambiental's ROE % or its related term are showing as below:

ESTRF's ROE % is not ranked *
in the Waste Management industry.
Industry Median: 6.22
* Ranked among companies with meaningful ROE % only.

Estre Ambiental  (OTCPK:ESTRF) 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: Jun. 2019 )
=Net Income/Total Stockholders Equity
=-48.24/-292.2915
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-48.24 / 268.694)*(268.694 / 407.5985)*(407.5985 / -292.2915)
=Net Margin %*Asset Turnover*Equity Multiplier
=-17.95 %*0.6592*N/A
=ROA %*Equity Multiplier
=-11.83 %*N/A
=N/A %

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: Jun. 2019 )
=Net Income/Total Stockholders Equity
=-48.24/-292.2915
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-48.24 / -45.128) * (-45.128 / 7.262) * (7.262 / 268.694) * (268.694 / 407.5985) * (407.5985 / -292.2915)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.069 * -6.2143 * 2.7 % * 0.6592 * N/A
=N/A %

Note: The net income data used here is two times the semi-annual (Jun. 2019) net income data. The Revenue data used here is two times the semi-annual (Jun. 2019) 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.


Estre Ambiental ROE % Related Terms


Estre Ambiental ROE % Historical Data

* Premium members only.

The historical data trend for Estre Ambiental'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.

Estre Ambiental ROE % Chart

Estre Ambiental Annual Data
Trend Dec15 Dec16 Dec17 Dec18
ROE %
0.00 -4.86 Negative Equity 0.00

Estre Ambiental Semi-Annual Data
Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19
ROE % Get a 7-Day Free Trial 1,291.76 0.00 0.00 0.00 0.00

ESTRF vs OCLN, HDII, CWSS: ROE % Comparison

For the Waste Management subindustry, Estre Ambiental'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.


Estre Ambiental ROE % vs Waste Management Industry

For the Waste Management industry and Industrials sector, Estre Ambiental's ROE % distribution charts can be found below:

* The bar in red indicates where Estre Ambiental's ROE % falls into.



Estre Ambiental ROE % Calculation

Estre Ambiental's annualized ROE % for the fiscal year that ended in Dec. 2018 is calculated as

ROE %=Net Income (A: Dec. 2018 )/( (Total Stockholders Equity (A: Dec. 2017 )+Total Stockholders Equity (A: Dec. 2018 ))/ count )
=-168.088/( (-136.805+-280.358)/ 2 )
=-168.088/-208.5815
=N/A %

Estre Ambiental's annualized ROE % for the quarter that ended in Jun. 2019 is calculated as

ROE %=Net Income (Q: Jun. 2019 )/( (Total Stockholders Equity (Q: Dec. 2018 )+Total Stockholders Equity (Q: Jun. 2019 ))/ count )
=-48.24/( (-280.358+-304.225)/ 2 )
=-48.24/-292.2915
=N/A %

* 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 two times the semi-annual (Jun. 2019) net income data. ROE % is displayed in the 30-year financial page.

* Note that if the average Total Stockholders Equity is zero or negative, then ROE % would be considered meaningless and hence not be calculated.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 0.00% mean?
Estre Ambiental (ESTRF) has a ROE % of 0.00% as of Jun. 2019. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Estre Ambiental and its competitors.
Is Estre Ambiental's ROE % too high?
Estre Ambiental's current ROE % is 0.00%.
How does Estre Ambiental's ROE % compare to OCLN and HDII?
Estre Ambiental's ROE % of 0.00% can be compared against companies in the Waste Management industry. The industry median ROE % is 6.22. 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 Waste Management company?
The median ROE % among Waste Management companies is 6.22, based on 229 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. 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 Estre Ambiental and its competitors. For the Waste Management industry, the median ROE % is 6.22 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Estre Ambiental's current ROE % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Estre Ambiental stock overvalued right now?
Estre Ambiental (ESTRF) has a current ROE % of 0.00%. The current ROE % is 0.00%. 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 Estre Ambiental (ESTRF), the current ROE % is 0.00% as of Jun. 2019. 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.

Estre Ambiental Business Description

Address 4509, Avenida Brigadeiro Faria Lima, 8th Floor,Vila Olimpia, Sao Paulo, SP, BRA, 04538-133
Estre Ambiental Inc waste management company in Brazil which operates in the Southeast, South and Northeast regions of Brazil. It operates its own landfills and is engaged in the final treatment of hazardous wastes, temporary storage of waste, collection and burning of landfill biogas, environmental consulting services, recycling, reverse manufacturing of electrical and electronic devices and waste collection, among others activities. The operations are grouped into four business segments Collection and Cleaning Services; Landfills; Oil and Gas; and Value Recovery. It generates a vast majority of its revenue from the collection and cleaning services segment.