Return on equity | Trade Samaritan

Return on equity

Return on equity is a financial ratio that measures the return generated on shareholder’s equity, the accounting value of shareholder’s equity which reflects the accumulation over time of amounts received by the company from share issue plus profits (retained earnings) by the company. The formula can be expressed as Profit after tax/shareholder’s equity.

Return on equity is a financial ratio that measures the return generated on shareholder’s equity, the accounting value of shareholder’s equity which reflects the accumulation over time of amounts received by the company from share issue plus profits (retained earnings) by the company. The formula can be expressed as Profit after tax/shareholder’s equity.

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