DRS Data & Research Services (LSE:DRSA) ROE %: -5.54% (As of Dec. 2015)


What is DRS Data & Research Services ROE %?

DRS Data & Research Services LSE:DRSA ROE % is -5.54% as of Dec. 2015. The stock has 4 warning signs investors should review.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. DRS Data & Research Services's annualized net income for the quarter that ended in Dec. 2015 was £-0.29 Mil. DRS Data & Research Services's average Total Stockholders Equity over the quarter that ended in Dec. 2015 was £5.20 Mil. Therefore, DRS Data & Research Services's annualized ROE % for the quarter that ended in Dec. 2015 was -5.54%.

The historical rank and industry rank for DRS Data & Research Services's ROE % or its related term are showing as below:

LSE:DRSA' s ROE % Range Over the Past 10 Years
Min: -41.94   Med: 6.26   Max: 17.13
Current: -33.01

During the past 13 years, DRS Data & Research Services's highest ROE % was 17.13%. The lowest was -41.94%. And the median was 6.26%.

LSE:DRSA's ROE % is not ranked
in the Business Services industry.
Industry Median: 8.095 vs LSE:DRSA: -33.01

DRS Data & Research Services  (LSE:DRSA) 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: Dec. 2015 )
=Net Income/Total Stockholders Equity
=-0.288/5.2025
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-0.288 / 17.846)*(17.846 / 10.9425)*(10.9425 / 5.2025)
=Net Margin %*Asset Turnover*Equity Multiplier
=-1.61 %*1.6309*2.1033
=ROA %*Equity Multiplier
=-2.63 %*2.1033
=-5.54 %

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: Dec. 2015 )
=Net Income/Total Stockholders Equity
=-0.288/5.2025
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-0.288 / -1.608) * (-1.608 / -1.546) * (-1.546 / 17.846) * (17.846 / 10.9425) * (10.9425 / 5.2025)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.1791 * 1.0401 * -8.66 % * 1.6309 * 2.1033
=-5.54 %

Note: The net income data used here is two times the semi-annual (Dec. 2015) net income data. The Revenue data used here is two times the semi-annual (Dec. 2015) 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.


DRS Data & Research Services ROE % Related Terms


DRS Data & Research Services ROE % Historical Data

* Premium members only.

The historical data trend for DRS Data & Research Services'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.

DRS Data & Research Services ROE % Chart

DRS Data & Research Services Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.94 15.93 17.13 -19.70 -31.54

DRS Data & Research Services Semi-Annual Data
Jun06 Dec06 Jun07 Dec07 Jun08 Dec08 Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15
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 48.09 -69.75 31.25 -57.67 -5.54

DRS Data & Research Services ROE % Competitor Comparison

For the Specialty Business Services subindustry, DRS Data & Research Services'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.


DRS Data & Research Services ROE % vs Business Services Industry

For the Business Services industry and Industrials sector, DRS Data & Research Services's ROE % distribution charts can be found below:

* The bar in red indicates where DRS Data & Research Services's ROE % falls into.



DRS Data & Research Services ROE % Calculation

DRS Data & Research Services'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 )
=-1.921/( (7.051+5.13)/ 2 )
=-1.921/6.0905
=-31.54 %

DRS Data & Research Services's annualized ROE % for the quarter that ended in Dec. 2015 is calculated as

ROE %=Net Income (Q: Dec. 2015 )/( (Total Stockholders Equity (Q: Jun. 2015 )+Total Stockholders Equity (Q: Dec. 2015 ))/ count )
=-0.288/( (5.275+5.13)/ 2 )
=-0.288/5.2025
=-5.54 %

* 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 (Dec. 2015) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of -5.54% mean?
DRS Data & Research Services (LSE:DRSA) has a ROE % of -5.54% as of Dec. 2015. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on DRS Data & Research Services and its competitors.
Is DRS Data & Research Services' ROE % too high?
DRS Data & Research Services' current ROE % is -5.54%.
How does DRS Data & Research Services' ROE % compare to competitors?
DRS Data & Research Services' ROE % of -5.54% can be compared against companies in the Business Services industry. The industry median ROE % is 8.10. 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 Business Services company?
The median ROE % among Business Services companies is 8.10, based on 1,058 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 DRS Data & Research Services and its competitors. For the Business Services industry, the median ROE % is 8.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DRS Data & Research Services's current ROE % is -5.54%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DRS Data & Research Services stock overvalued right now?
DRS Data & Research Services (LSE:DRSA) has a current ROE % of -5.54%. The current ROE % is -5.54%. 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 DRS Data & Research Services (LSE:DRSA), the current ROE % is -5.54% as of Dec. 2015. 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.

DRS Data & Research Services Business Description

DRS Data & Research Services PLC was incorporated on August 1, 1969. The Company is engaged in the provision of data capture services, the manufacture, sale and support of optical and image scanning equipment, design and printing of documentation used for data capture and associated software and bureau services.