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NEU (NewMarket) 5-Year RORE % : 20.17% (As of Sep. 2024)


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What is NewMarket 5-Year RORE %?

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. NewMarket's 5-Year RORE % for the quarter that ended in Sep. 2024 was 20.17%.

The industry rank for NewMarket's 5-Year RORE % or its related term are showing as below:

NEU's 5-Year RORE % is ranked better than
71.3% of 1359 companies
in the Chemicals industry
Industry Median: 4.94 vs NEU: 20.17

NewMarket 5-Year RORE % Historical Data

The historical data trend for NewMarket's 5-Year RORE % 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.

NewMarket 5-Year RORE % Chart

NewMarket Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
5-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.03 5.90 2.34 10.02 19.01

NewMarket Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
5-Year RORE % 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 19.24 19.01 17.07 22.09 20.17

Competitive Comparison of NewMarket's 5-Year RORE %

For the Specialty Chemicals subindustry, NewMarket's 5-Year RORE %, along with its competitors' market caps and 5-Year RORE % 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.


NewMarket's 5-Year RORE % Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, NewMarket's 5-Year RORE % distribution charts can be found below:

* The bar in red indicates where NewMarket's 5-Year RORE % falls into.



NewMarket 5-Year RORE % Calculation

NewMarket's 5-Year RORE % for the quarter that ended in Sep. 2024 is calculated as:

5-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 5-year -Cumulative Dividends per Share for 5-year )
=( 45.03-22.97 )/( 151.62-42.25 )
=22.06/109.37
=20.17 %

* 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 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Sep. 2024 and 5-year before.


NewMarket  (NYSE:NEU) 5-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 5-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


NewMarket 5-Year RORE % Related Terms

Thank you for viewing the detailed overview of NewMarket's 5-Year RORE % provided by GuruFocus.com. Please click on the following links to see related term pages.


NewMarket Business Description

Traded in Other Exchanges
Address
330 South Fourth Street, Richmond, VA, USA, 23219-4350
NewMarket Corp is a holding company that, through its subsidiaries, manufactures and sells petroleum additives. Petroleum additives are used in lubricating oils and fuels to enhance their performance in machinery, vehicles, and other equipment. It comprises two broad product applications. Lubricant additives are formulated chemical solutions that, when blended with base fluids, improve the efficiency, durability, performance, and functionality of mineral oils, synthetic oils, and biodegradable fluids. Fuel additives are chemical components that help oil refiners meet fuel specifications or formulated packages that improve the performance of gasoline, diesel, biofuels, and other fuels.
Executives
Hazelgrove Bruce R Iii officer: VP - Corporate Resources 330 SOUTH FOURTH STREET, RICHMOND VA 23219
Thomas E Gottwald director, officer: President & CEO 330 SOUTH FOURTH STREET, RICHMOND VA 23219
Lowell Simmons Ukrop director 330 SOUTH 4TH ST, RICHMOND VA 23219
James E Rogers director 1021 EAST CARY STREET, PO BOX 2350, RICHMOND VA 23218-2350
Gail Ridgeway officer: Controller 330 SOUTH 4TH STREET, RICHMOND VA 23219
Ting Xu director 330 S 4TH ST, RICHMOND VA 23219
Jewett Bryce Dickinson Iii officer: VP and General Counsel 330 SOUTH 4TH STREET, RICHMOND VA 23219
Regina A Harm officer: President Afton Chemical Corp 330 SOUTH FOURTH STREET, RICHMOND VA 23219
Cameron D. Warner officer: Treasurer 330 SOUTH FOURTH STREET, RICHMOND VA 23219
Robert A. Shama officer: President Afton Chemical Corp 330 SOUTH FOURTH STREET, RICHMOND VA 23219
Harris H Hiter Iii director 330 SOUTH FOURTH STREET, RICHMOND VA 23219-4350
Brian D Paliotti officer: Vice President & CFO 330 SOUTH 4TH STREET, RICHMOND VA 23219
David A Fiorenza officer: Vice President and Treasurer
William J Skrobacz officer: Controller 330 SOUTH FOURTH STREET, RICHMOND VA 23219
Patrick D Hanley director 1000 SEMMES AVE, RICHMOND VA 23224