How to Calculate ROE The basic formula for calculating ROE simply asks you to divide net earnings from a given period by shareholder equity.

Return on equity, or ROE, tells investors how much in profit a company makes for every dollar it has in stockholder equity on its balance sheet. However, in some cases, the amount of stockholder ...

Return on equity (ROE) is a financial ratio that tells you how much profit a public company earns in comparison to the net assets it holds. ROE is very useful for comparing the performance of ...