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MKTW (Marketwise) ROE % : Negative Equity% (As of Sep. 2024)


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What is Marketwise ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Marketwise's annualized net income for the quarter that ended in Sep. 2024 was $6.9 Mil. Marketwise's average Total Stockholders Equity over the quarter that ended in Sep. 2024 was $-21.6 Mil. Therefore, Marketwise's annualized ROE % for the quarter that ended in Sep. 2024 was Negative Equity%.

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

MKTW' s ROE % Range Over the Past 10 Years
Min: Negative Equity   Med: Negative Equity   Max: Negative Equity
Current: Negative Equity

During the past 6 years, Marketwise's highest ROE % was Negative Equity%. The lowest was Negative Equity%. And the median was Negative Equity%.

MKTW's ROE % is ranked better than
99.87% of 767 companies
in the Capital Markets industry
Industry Median: 5.68 vs MKTW: Negative Equity

Marketwise ROE % Historical Data

The historical data trend for Marketwise'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.

* Premium members only.

Marketwise ROE % Chart

Marketwise Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial Negative Equity - - Negative Equity Negative Equity

Marketwise Quarterly Data
Dec18 Dec19 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 Negative Equity Negative Equity Negative Equity Negative Equity Negative Equity

Competitive Comparison of Marketwise's ROE %

For the Financial Data & Stock Exchanges subindustry, Marketwise'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.


Marketwise's ROE % Distribution in the Capital Markets Industry

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

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



Marketwise ROE % Calculation

Marketwise's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=1.782/( (-21.197+-11.081)/ 2 )
=1.782/-16.139
=Negative Equity %

Marketwise's annualized ROE % for the quarter that ended in Sep. 2024 is calculated as

ROE %=Net Income (Q: Sep. 2024 )/( (Total Stockholders Equity (Q: Jun. 2024 )+Total Stockholders Equity (Q: Sep. 2024 ))/ count )
=6.88/( (-23.668+-19.477)/ 2 )
=6.88/-21.5725
=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. 2024) 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.


Marketwise  (NAS:MKTW) 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. 2024 )
=Net Income/Total Stockholders Equity
=6.88/-21.5725
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(6.88 / 388.744)*(388.744 / 296.828)*(296.828 / -21.5725)
=Net Margin %*Asset Turnover*Equity Multiplier
=1.77 %*1.3097*N/A
=ROA %*Equity Multiplier
=2.32 %*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. 2024 )
=Net Income/Total Stockholders Equity
=6.88/-21.5725
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (6.88 / 94.876) * (94.876 / 87.608) * (87.608 / 388.744) * (388.744 / 296.828) * (296.828 / -21.5725)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.0725 * 1.083 * 22.54 % * 1.3097 * N/A
=Negative Equity %

Note: The net income data used here is four times the quarterly (Sep. 2024) net income data. The Revenue data used here is four times the quarterly (Sep. 2024) 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.


Marketwise ROE % Related Terms

Thank you for viewing the detailed overview of Marketwise's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Marketwise Business Description

Traded in Other Exchanges
N/A
Address
1125 N. Charles Street, Baltimore, MD, USA, 21201
Marketwise Inc is a multi-brand subscription services platform providing premium financial research, software, education, and tools for investors. Its products are built for high-value financial research, education, actionable investment ideas and investment software. It is a digital, direct-to-consumer company offering its research across a variety of platforms including mobile, desktops, and tablets.
Executives
Glenn H Tongue director 600 MONTGOMERY STREET, SUITE 1100, SAN FRANCISCO CA 94111
Greenhaven Road Capital Fund 2, L.p. 10 percent owner 8 SOUND SHORE DRIVE, C/O ROYCE & ASSOCIATES, SUITE 190, GREENWICH CT 06830
Erik Mickels officer: Chief Financial Officer 155 108TH AVENUE NE, SUITE 400, BELLEVUE WA 98004
Greenhaven Road Investment Management, L.p. 10 percent owner 8 SOUND SHORE DRIVE, C/O ROYCE & ASSOCIATES, SUITE 190, GREENWICH CT 06830
Frank Porter Stansberry 10 percent owner 1217 ST. PAUL STREET, BALTIMORE MD 21202
Amber Lee Mason officer: Chief Operating Officer C/O MARKETWISE, 1125 N. CHARLES STREET, BALTIMORE MD 21201
Matthew Tate Smith director C/O MARKETWISE, 1125 N. CHARLES STREET, BALTIMORE MD 21201
Matthew Joseph Turner director C/O MARKETWISE, 1125 N. CHARLES STREET, BALTIMORE MD 21201
David Eifrig director C/O MARKETWISE, 1125 N. CHARLES STREET, BALTIMORE MD 21201
Stephen M Park officer: Chief Financial Officer C/O MARKETWISE, 1125 N. CHARLES STREET, BALTIMORE MD 21201
Riaan Hodgson director, officer: Chief Operating Officer C/O ASCENDANT DIGITAL ACQUISITION CORP., 667 MADISON AVENUE, 5TH FLOOR, NEW YORK NY 10065
Greenhaven Road Special Opportunities Fund Lp 10 percent owner 8 SOUND SHORE DRIVE, SUITE 190, GREENWICH CT 06830
Gary Daniel Anderson officer: GENERAL COUNSEL C/O MARKETWISE, 1125 N. CHARLES STREET, BALTIMORE MD 21201
Mcginness James Andrew Iii officer: Corporate Controller C/O MARKETWISE, 1125 N. CHARLES STREET, BALTIMORE MD 21201
Marco Galsim officer: Chief Information Officer C/O MARKETWISE, 1125 N. CHARLES STREET, BALTIMORE MD 21201

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