Smart & Final Stores (Smart & Final Stores) ROE % : -8.88% (As of Mar. 2019)

View and export this data going back to 2014. Start your Free Trial

What is Smart & Final Stores ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Smart & Final Stores's annualized net income for the quarter that ended in Mar. 2019 was $-27 Mil. Smart & Final Stores's average Total Stockholders Equity over the quarter that ended in Mar. 2019 was $301 Mil. Therefore, Smart & Final Stores's annualized ROE % for the quarter that ended in Mar. 2019 was -8.88%.

The historical rank and industry rank for Smart & Final Stores's ROE % or its related term are showing as below:

SFS's ROE % is not ranked ^*
in the Retail - Defensive industry.
Industry Median: 9.66
* Ranked among companies with meaningful ROE % only.

Smart & Final Stores ROE % Historical Data

The historical data trend for Smart & Final Stores'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.

Smart & Final Stores ROE % Chart

Smart & Final Stores Annual Data

Trend

Dec11

Dec12

Dec13

Dec14

Dec15

Dec16

Dec17

Dec18

ROE %

Get a 7-Day Free Trial

7.71

7.06

2.31

-29.08

-31.54

Smart & Final Stores Quarterly Data
	Jun14	Sep14	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17	Jun17	Sep17	Dec17	Mar18	Jun18	Sep18	Dec18	Mar19
ROE %	Get a 7-Day Free Trial															-7.08	6.53	9.75	-133.21	-8.88

Competitive Comparison of Smart & Final Stores's ROE %

For the Grocery Stores subindustry, Smart & Final Stores'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.

Smart & Final Stores's ROE % Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Smart & Final Stores's ROE % distribution charts can be found below:

* The bar in red indicates where Smart & Final Stores's ROE % falls into.

Smart & Final Stores ROE % Calculation

Smart & Final Stores's annualized ROE % for the fiscal year that ended in Dec. 2018 is calculated as

ROE %	=	Net Income (A: Dec. 2018 )	/	( (Total Stockholders Equity (A: Dec. 2017 )	+	Total Stockholders Equity (A: Dec. 2018 ))	/ count )
	=	-112.155	/	( (403.046	+	308.155)	/ 2 )
	=	-112.155	/	355.6005
	=	-31.54 %

Smart & Final Stores's annualized ROE % for the quarter that ended in Mar. 2019 is calculated as

ROE %	=	Net Income (Q: Mar. 2019 )	/	( (Total Stockholders Equity (Q: Dec. 2018 )	+	Total Stockholders Equity (Q: Mar. 2019 ))	/ count )
	=	-26.708	/	( (308.155	+	293.591)	/ 2 )
	=	-26.708	/	300.873
	=	-8.88 %

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 (Mar. 2019) net income data. ROE % is displayed in the 30-year financial page.

Smart & Final Stores (NYSE:SFS) 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: Mar. 2019 )
=	Net Income	/	Total Stockholders Equity
=	-26.708	/	300.873
=	(Net Income / Revenue )	*	(Revenue / Total Assets)	*	(Total Assets / Total Stockholders Equity)
=	(-26.708 / 4179.208)	*	(4179.208 / 2105.2985)	*	(2105.2985 / 300.873)
=	Net Margin %	*	Asset Turnover	*	Equity Multiplier
=	-0.64 %	*	1.9851	*	6.9973
=	ROA %	*	Equity Multiplier
=	-1.27 %	*	6.9973
=	-8.88 %

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: Mar. 2019 )
=	Net Income	/	Total Stockholders Equity
=	-26.708	/	300.873
=	(Net Income / Pre-Tax Income)	*	(Pre-Tax Income / Operating Income)	*	(Operating Income / Revenue)	*	(Revenue / Total Assets)	*	(Total Assets / Total Stockholders Equity)
=	(-26.708 / -35.388)	*	(-35.388 / 5.192)	*	(5.192 / 4179.208)	*	(4179.208 / 2105.2985)	*	(2105.2985 / 300.873)
=	Tax Burden	*	Interest Burden	*	Operating Margin %	*	Asset Turnover	*	Equity Multiplier
=	0.7547	*	-6.8159	*	0.12 %	*	1.9851	*	6.9973
=	-8.88 %

Note: The net income data used here is four times the quarterly (Mar. 2019) net income data. The Revenue data used here is four times the quarterly (Mar. 2019) 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.

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.

Smart & Final Stores ROE % Related Terms

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

Smart & Final Stores (Smart & Final Stores) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Retail - Defensive » Smart & Final Stores Inc (NYSE:SFS) » Definitions » ROE %

Comparable Companies

Traded in Other Exchanges

N/A

Address

600 Citadel Drive, Commerce, CA, USA, 90040

Website

http://www.smartandfinal.com

Smart & Final Stores Inc is a U.S.-based company that is principally engaged in food retail. The company operates through stores under the Smart & Final and Cash & Carry banners. The Smart & Final stores target both household and business customers. The Cash & Carry stores mainly provides goods to business customers, including restaurants, caterers, and other foodservice providers, along with community organizations. The company's goods consist of fresh fruits and vegetables, meat, dairy, cheese, grocery, beverage, paper and packaging, restaurant equipment, and janitorial supplies. The majority of the company's stores are located in the west of the United States, with a few in northwestern Mexico in a joint-venture format.

Executives

Derek R Jones	officer: President, Smart Foodservice	C/O 850 - 76TH STREET, S.W., P.O. BOX 8700, GRAND RAPIDS MI 49518
Ares Management Llc	10 percent owner	2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Ares Corporate Opportunities Fund Iii Lp	10 percent owner	2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Acof Operating Manager Iii Llc	10 percent owner	C/O ARES MANAGEMENT LLC, 2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Ares Management Corp	10 percent owner	2000 AVE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Ares Management Holdings L.p.	10 percent owner	2000 AVENUE OF THE STARS, 12TH FL, LOS ANGELES CA 90067
Ares Partners Holdco Llc	10 percent owner	2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Ares Management Gp Llc	10 percent owner	2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Ares Holdings Inc.	10 percent owner	2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Ares Holdco Llc	10 percent owner	2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Ares Voting Llc	10 percent owner	C/O ARES MGMT, 2000 AVE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Norman Axelrod	director
Joseph S. Tesoriero	director	C/O BARFRESH FOOD GROUP, INC., 8530 WILSHIRE BOULEVARD, SUITE 450, BEVERLY HILLS CA 90211
Ares Corporate Opportunities Fund Iv, L.p.	10 percent owner	2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
Acof Operating Manager Iv, Llc	10 percent owner	2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067