ICP (IC Power) ROE %: 0.45% (As of Sep. 2016)

What is IC Power ROE %?

IC Power ICP ROE % is 0.45% as of Sep. 2016.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. IC Power's annualized net income for the quarter that ended in Sep. 2016 was $2.75 Mil. IC Power's average Total Stockholders Equity over the quarter that ended in Sep. 2016 was $613.52 Mil. Therefore, IC Power's annualized ROE % for the quarter that ended in Sep. 2016 was 0.45%.

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

ICP's ROE % is not ranked ^*
in the Utilities - Independent Power Producers industry.
Industry Median: 3.8
* Ranked among companies with meaningful ROE % only.

IC Power (NYSE:ICP) 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. 2016 )
=	Net Income	/	Total Stockholders Equity
=	2.748	/	613.5215
=	(Net Income / Revenue )	*	(Revenue / Total Assets)	*	(Total Assets / Total Stockholders Equity)
=	(2.748 / 2008.32)	*	(2008.32 / 4847.4005)	*	(4847.4005 / 613.5215)
=	Net Margin %	*	Asset Turnover	*	Equity Multiplier
=	0.14 %	*	0.4143	*	7.9009
=	ROA %	*	Equity Multiplier
=	0.06 %	*	7.9009
=	0.45 %

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. 2016 )
=	Net Income	/	Total Stockholders Equity
=	2.748	/	613.5215
=	(Net Income / Pre-Tax Income)	*	(Pre-Tax Income / Operating Income)	*	(Operating Income / Revenue)	*	(Revenue / Total Assets)	*	(Total Assets / Total Stockholders Equity)
=	(2.748 / 96.476)	*	(96.476 / 303.196)	*	(303.196 / 2008.32)	*	(2008.32 / 4847.4005)	*	(4847.4005 / 613.5215)
=	Tax Burden	*	Interest Burden	*	Operating Margin %	*	Asset Turnover	*	Equity Multiplier
=	0.0285	*	0.3182	*	15.1 %	*	0.4143	*	7.9009
=	0.45 %

Note: The net income data used here is four times the quarterly (Sep. 2016) net income data. The Revenue data used here is four times the quarterly (Sep. 2016) 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.

IC Power ROE % Related Terms

IC Power ROE % Historical Data

* Premium members only.

The historical data trend for IC Power's ROE % can be seen below:

IC Power ROE % Chart

IC Power Annual Data

Trend

Dec12

Dec13

Dec14

Dec15

ROE %

0.00

9.32

31.19

4.40

IC Power Quarterly Data
	Dec12	Dec13	Mar14	Jun14	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16
ROE %	Get a 7-Day Free Trial							3.85	-0.95	7.63	-4.75	0.45

ICP vs CETY, QPWR, PSPW: ROE % Comparison

For the Utilities - Independent Power Producers subindustry, IC Power'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.

IC Power ROE % vs Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, IC Power's ROE % distribution charts can be found below:

* The bar in red indicates where IC Power's ROE % falls into.

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IC Power ROE % Calculation

IC Power's annualized ROE % for the fiscal year that ended in Dec. 2015 is calculated as

ROE %	=	Net Income (A: Dec. 2015 )	/	( (Total Stockholders Equity (A: Dec. 2014 )	+	Total Stockholders Equity (A: Dec. 2015 ))	/ count )
	=	35.805	/	( (801.827	+	826.396)	/ 2 )
	=	35.805	/	814.1115
	=	4.40 %

IC Power's annualized ROE % for the quarter that ended in Sep. 2016 is calculated as

ROE %	=	Net Income (Q: Sep. 2016 )	/	( (Total Stockholders Equity (Q: Jun. 2016 )	+	Total Stockholders Equity (Q: Sep. 2016 ))	/ count )
	=	2.748	/	( (608.436	+	618.607)	/ 2 )
	=	2.748	/	613.5215
	=	0.45 %

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. 2016) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →

What does a ROE % of 0.45% mean?

IC Power (ICP) has a ROE % of 0.45% as of Sep. 2016. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on IC Power and its competitors.

Is IC Power's ROE % too high?

IC Power's current ROE % is 0.45%. The Utilities - Independent Power Producers industry median ROE % is 3.80. IC Power's value of 0.45% is 88.2% below this industry median.

How does IC Power's ROE % compare to CETY and QPWR?

IC Power's ROE % of 0.45% can be compared against companies in the Utilities - Independent Power Producers industry. The industry median ROE % is 3.80. IC Power's value of 0.45% is 88.2% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good ROE % for an Utilities - Independent Power Producers company?

The median ROE % among Utilities - Independent Power Producers companies is 3.80, based on 433 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. IC Power's current ROE % of 0.45% is 88.2% below 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 IC Power and its competitors. For the Utilities - Independent Power Producers industry, the median ROE % is 3.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. IC Power's current ROE % is 0.45%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is IC Power stock overvalued right now?

IC Power (ICP) has a current ROE % of 0.45%. The current ROE % is 0.45% and 88.2% below the Utilities - Independent Power Producers industry median of 3.80. 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 IC Power (ICP), the current ROE % is 0.45% as of Sep. 2016. 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.

IC Power Business Description

Industry Utilities Utilities - Independent Power Producers

Comparable Companies CETY QPWR PSPW FCEL SKYS HTM ELLO MXGFF CWGYF RAMPF MGMXF AT MCQPF EWCLF GLBL DYN INGXF CAFD BRLXF LGSXY

IC Power Pte Ltd is a holding company incorporated under the laws of Singapore in May 2015. The Company through its subsidiaries owns, develops and operates power facilities located in power generation markets in Latin America, the Caribbean and Israel, utilizing a range of fuels, including natural gas, hydroelectric, HFO, diesel and wind. The Company has installed capacity of approximately 2,642 MW. The Company operates in geographical areas including Peru; Israel; Central America including Nicaragua, Guatemala, El Salvador & Panama; and other including Bolivia, Chile, Jamaica, Colombia & Dominican Republic. The Company owns, operates and develops power plants to generate and sell electricity to distribution companies and unregulated consumers under long-term PPAs and to the spot market. The Company Peru segment includes Kallpa I, Kallpa II, Kallpa III, Kallpa IV and Las Flores turbines. The Israel segment includes OPC plant. The Central America segment includes Corinto, Tipitapa Power, Amayo I, and Amayo II in Nicaragua; Puerto Quetzal plant in Guatemala; Nejapa plant in El Salvador, and Kanan plant in Panama. The Other segment includes Zongo Valley plants including Zongo, Tiquimani, Botijlaca, Cutichucho, Santa Rosa, Sainani, Chururaqui, Harca, Cahua, & Huaji; and Miguillas Valley plants including Miguillas, Angostura, Choquetanga, Carabuco, and El Alto-Kenko all in Bolivia; Central Cardones plant in Chile; Colmito plant in Colmito; CEPP I & CEPP II in Dominican Republic; JPPC plant in Jamaica; La Hocha, PurificaciÃ³n, and Entrerios plants in Colombia; Pedregal in Panama. The Company offers services to governments, local distribution companies, and/or non-regulated consumers, depending upon the operating company and the particular country of operation. Its customers include Edelnor S.A.A., Luz del Sur S.A.A., Hidrandina S.A., EdecaÃ±ete S.A., Electro Sur Este S.A.A., Sociedad ElÃ©ctrica del Sur Oeste, S.A., Distribuidora de Electricidad del Norte S.A., Distribuidora de Electricidad del Sur S.A., Southern PerÃº Copper Corporation, Empresa de DistribuciÃ³n ElÃ©ctrica Chiriqui, S.A., Peruvian Investment Promotion Agency, Empresa de DistribuciÃ³n ElÃ©ctrica Metro Oeste S.A., and others. The Company's competitors include IEC, Dorad Energy Ltd., and other IPPs. The Company's business is subject to significant and diverse government regulation.