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Peoples Educational Holdings (Peoples Educational Holdings) ROE % : -10,898.98% (As of May. 2012)


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What is Peoples Educational Holdings ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Peoples Educational Holdings's annualized net income for the quarter that ended in May. 2012 was $-32.15 Mil. Peoples Educational Holdings's average Total Stockholders Equity over the quarter that ended in May. 2012 was $0.30 Mil. Therefore, Peoples Educational Holdings's annualized ROE % for the quarter that ended in May. 2012 was -10,898.98%.

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

PEDH's ROE % is not ranked *
in the Media - Diversified industry.
Industry Median: 2.57
* Ranked among companies with meaningful ROE % only.

Peoples Educational Holdings ROE % Historical Data

The historical data trend for Peoples Educational Holdings'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.

Peoples Educational Holdings ROE % Chart

Peoples Educational Holdings Annual Data
Trend Dec02 Dec03 Dec04 Dec05 May07 May08 May09 May10 May11 May12
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -11.26 -18.44 4.44 -9.71 -1,061.89

Peoples Educational Holdings Quarterly Data
Aug07 Nov07 Feb08 May08 Aug08 Nov08 Feb09 May09 Aug09 Nov09 Feb10 May10 Aug10 Nov10 Feb11 May11 Aug11 Nov11 Feb12 May12
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 -27.76 59.06 -58.49 -105.91 -10,898.98

Competitive Comparison of Peoples Educational Holdings's ROE %

For the Publishing subindustry, Peoples Educational Holdings'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.


Peoples Educational Holdings's ROE % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Peoples Educational Holdings's ROE % distribution charts can be found below:

* The bar in red indicates where Peoples Educational Holdings's ROE % falls into.



Peoples Educational Holdings ROE % Calculation

Peoples Educational Holdings's annualized ROE % for the fiscal year that ended in May. 2012 is calculated as

ROE %=Net Income (A: May. 2012 )/( (Total Stockholders Equity (A: May. 2011 )+Total Stockholders Equity (A: May. 2012 ))/ count )
=-9.334/( (5.443+-3.685)/ 2 )
=-9.334/0.879
=-1,061.89 %

Peoples Educational Holdings's annualized ROE % for the quarter that ended in May. 2012 is calculated as

ROE %=Net Income (Q: May. 2012 )/( (Total Stockholders Equity (Q: Feb. 2012 )+Total Stockholders Equity (Q: May. 2012 ))/ count )
=-32.152/( (4.275+-3.685)/ 2 )
=-32.152/0.295
=-10,898.98 %

* 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 (May. 2012) net income data. ROE % is displayed in the 30-year financial page.


Peoples Educational Holdings  (OTCPK:PEDH) 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: May. 2012 )
=Net Income/Total Stockholders Equity
=-32.152/0.295
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-32.152 / 21.572)*(21.572 / 15.7945)*(15.7945 / 0.295)
=Net Margin %*Asset Turnover*Equity Multiplier
=-149.05 %*1.3658*53.5407
=ROA %*Equity Multiplier
=-203.57 %*53.5407
=-10,898.98 %

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: May. 2012 )
=Net Income/Total Stockholders Equity
=-32.152/0.295
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-32.152 / -24.464) * (-24.464 / -23.964) * (-23.964 / 21.572) * (21.572 / 15.7945) * (15.7945 / 0.295)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.3143 * 1.0209 * -111.09 % * 1.3658 * 53.5407
=-10,898.98 %

Note: The net income data used here is four times the quarterly (May. 2012) net income data. The Revenue data used here is four times the quarterly (May. 2012) 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.


Peoples Educational Holdings ROE % Related Terms

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Peoples Educational Holdings (Peoples Educational Holdings) Business Description

Traded in Other Exchanges
N/A
Address
299 Market Street, Saddle Brook, NJ, USA, 07663
Peoples Educational Holdings Inc develops and sells proprietary print and digital education products which are predominantly state-specific and standards-based, focused on state-required tests. The company operates through Test Preparation, Assessment, and Instruction Product Group. Test Preparation and Assessment segment create and sell print and digital products targeted to grades 1-12 to help students prepare for state proficiency tests. Instruction segment includes two product lines Focused Instruction and remedial and multicultural-related materials. Geographically, the business activities are carried out through United States.
Executives
Tony Christianson director, 10 percent owner
Gordon Stofer 10 percent owner

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