LSE:SWEF's ROE % is not ranked
in the Asset Management industry.
Industry Median: 6.52
vs LSE:SWEF: -1.52
Starwood European Real Estate Finance (LSE:SWEF) 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 two times the semi-annual (Jun. 2025) net income data. The Revenue data used here is two times the semi-annual (Jun. 2025) 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.
Starwood European Real Estate Finance ROE % Related Terms
Starwood European Real Estate Finance ROE % Historical Data
* 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 Asset Management subindustry, Starwood European Real Estate Finance'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.
Starwood European Real Estate Finance ROE % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Starwood European Real Estate Finance's ROE % distribution charts can be found below:
* The bar in red indicates where Starwood European Real Estate Finance'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 two times the semi-annual (Jun. 2025) net income data.
ROE % is displayed in the 30-year financial page.
Starwood European Real Estate Finance (LSE:SWEF) has a ROE % of 0.05% as of Jun. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Starwood European Real Estate Finance and its competitors. This is 99% below median its historical median of 6.89.
Is Starwood European Real Estate Finance's ROE % too high?
Starwood European Real Estate Finance's current ROE % of 0.05% is 99% below median its 10-year median of 6.89. The Asset Management industry median ROE % is 6.52. Starwood European Real Estate Finance's value of 0.05% is 99.2% below this industry median. Overall, Starwood European Real Estate Finance has a GF Score™ of 48/100, reflecting its overall financial health beyond just this single metric.
How does Starwood European Real Estate Finance's ROE % compare to BLK and BX?
Starwood European Real Estate Finance's ROE % of 0.05% can be compared against companies in the Asset Management industry. The industry median ROE % is 6.52. Starwood European Real Estate Finance's value of 0.05% is 99.2% below this benchmark. While the company's 10-year median is 6.89 vs. the industry median of 6.52, Starwood European Real Estate Finance has consistently been below 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 an Asset Management company?
The median ROE % among Asset Management companies is 6.52, based on 1,608 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. Starwood European Real Estate Finance's current ROE % of 0.05% is 99.2% 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 Starwood European Real Estate Finance and its competitors. For the Asset Management industry, the median ROE % is 6.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Starwood European Real Estate Finance's current ROE % is 0.05%, which is 99% below median its own 10-year median of 6.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Starwood European Real Estate Finance stock overvalued right now?
Starwood European Real Estate Finance (LSE:SWEF) has a current ROE % of 0.05%. The stock's GF Value™ is £1.06, compared to a current price of £0.92 — trading 13.7% below its estimated fair value. The current ROE % is 0.05%, which is 99% below median its 10-year median of 6.89 and 99.2% below the Asset Management industry median of 6.52. Starwood European Real Estate Finance's overall GF Score™ is 48/100 with 4 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 Starwood European Real Estate Finance (LSE:SWEF), the current ROE % is 0.05% as of Jun. 2025. 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 Starwood European Real Estate Finance (LSE:SWEF) Overvalued in 2026?
Based on GuruFocus' analysis, Starwood European Real Estate Finance stock appears to be undervalued.
The current stock price of £0.92 is trading 13.7% below its estimated GF Value™ of £1.06.
Key valuation signals for LSE:SWEF:
ROE %: 0.05% (99% below median its 10-year median of 6.89)
GF Value™: £1.06 vs. price of £0.92 (13.7% below fair value)
Industry Position: 99.2% below the Asset Management median
No single metric tells the full story. See the LSE:SWEF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Starwood European Real Estate Finance Business Description
Starwood European Real Estate Finance Ltd is a closed-ended investment company. Its investment objective is to provide its shareholders with regular dividends and an attractive total return while limiting downside risk, through the origination, execution, acquisition, and servicing of a diversified portfolio of real estate debt investments in the UK and wider European Union's internal markets. Its portfolio focuses on lending into commercial real estate sectors including office, retail, logistics, Healthcare, Residential, light industrial, and hospitality. The company invests in a diversified portfolio of commercial real estate debt investments in the UK and Continental Europe.
48GF Score
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