GLBR (Global Brokerage) ROE %: Negative Equity% (As of Sep. 2017)

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What is Global Brokerage ROE %?

Global Brokerage GLBR ROE % is Negative Equity% as of Sep. 2017.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Global Brokerage's annualized net income for the quarter that ended in Sep. 2017 was $57.3 Mil. Global Brokerage's average Total Stockholders Equity over the quarter that ended in Sep. 2017 was $-98.3 Mil. Therefore, Global Brokerage's annualized ROE % for the quarter that ended in Sep. 2017 was Negative Equity%.

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

GLBR's ROE % is not ranked *
in the Capital Markets industry.
Industry Median: 6.065
* Ranked among companies with meaningful ROE % only.

Global Brokerage  (OTCPK:GLBR) 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. 2017 )
=Net Income/Total Stockholders Equity
=57.276/-98.259
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(57.276 / 175.884)*(175.884 / 577.3255)*(577.3255 / -98.259)
=Net Margin %*Asset Turnover*Equity Multiplier
=32.56 %*0.3047*N/A
=ROA %*Equity Multiplier
=9.92 %*N/A
=Negative Equity %

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. 2017 )
=Net Income/Total Stockholders Equity
=57.276/-98.259
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (57.276 / -46.48) * (-46.48 / -16.972) * (-16.972 / 175.884) * (175.884 / 577.3255) * (577.3255 / -98.259)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= -1.2323 * 2.7386 * -9.65 % * 0.3047 * N/A
=Negative Equity %

Note: The net income data used here is four times the quarterly (Sep. 2017) net income data. The Revenue data used here is four times the quarterly (Sep. 2017) 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.


Global Brokerage ROE % Related Terms


Global Brokerage ROE % Historical Data

* Premium members only.

The historical data trend for Global Brokerage'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.

Global Brokerage ROE % Chart

Global Brokerage Annual Data
Trend Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
ROE %
Get a 7-Day Free Trial 6.47 6.77 6.33 -5,136.58 Negative Equity

Global Brokerage Quarterly Data
Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17
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 0.00 0.00 0.00 0.00 Negative Equity

GLBR vs OTCM, OSBHF: ROE % Comparison

For the Financial Data & Stock Exchanges subindustry, Global Brokerage'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.


Global Brokerage ROE % vs Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Global Brokerage's ROE % distribution charts can be found below:

* The bar in red indicates where Global Brokerage's ROE % falls into.



Global Brokerage ROE % Calculation

Global Brokerage's annualized ROE % for the fiscal year that ended in Dec. 2016 is calculated as

ROE %=Net Income (A: Dec. 2016 )/( (Total Stockholders Equity (A: Dec. 2015 )+Total Stockholders Equity (A: Dec. 2016 ))/ count )
=70.643/( (-263.12+-73.24)/ 2 )
=70.643/-168.18
=Negative Equity %

Global Brokerage's annualized ROE % for the quarter that ended in Sep. 2017 is calculated as

ROE %=Net Income (Q: Sep. 2017 )/( (Total Stockholders Equity (Q: Jun. 2017 )+Total Stockholders Equity (Q: Sep. 2017 ))/ count )
=57.276/( (-105.544+-90.974)/ 2 )
=57.276/-98.259
=Negative Equity %

* 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. 2017) 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 Negative Equity% mean?
Global Brokerage (GLBR) has a ROE % of Negative Equity% as of Sep. 2017. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Global Brokerage and its competitors.
Is Global Brokerage's ROE % too high?
Global Brokerage's current ROE % is Negative Equity%.
How does Global Brokerage's ROE % compare to OTCM and OSBHF?
Global Brokerage's ROE % of Negative Equity% can be compared against companies in the Capital Markets industry. The industry median ROE % is 6.07. 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 Capital Markets company?
The median ROE % among Capital Markets companies is 6.07, based on 792 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 Global Brokerage and its competitors. For the Capital Markets industry, the median ROE % is 6.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Global Brokerage's current ROE % is Negative Equity%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Global Brokerage stock overvalued right now?
Global Brokerage (GLBR) has a current ROE % of Negative Equity%. The current ROE % is Negative Equity%. 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 Global Brokerage (GLBR), the current ROE % is Negative Equity% as of Sep. 2017. 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.

Global Brokerage Business Description

Address 55 Water Street, 50th Floor, New York, NY, USA, 10041
Global Brokerage Inc operates as a holding company in the United States is engaged in the provision of providing online foreign exchange (FX) trading and related services to retail and institutional customers worldwide. The company offers spot FX trading that includes contracts for metals, fixed income, energy, and stock indices; and provides spread betting trading to the customers. The company is also engaged in hedge trading in its electronic market making, provides trading tools data and resources and educational courses. It generates is revenue by the way of trading facilities.