Return on Equity Calculator
Enter same-period net income and beginning and ending total shareholders’ equity. ROE is undefined when average equity is zero.
A QUICK WALKTHROUGH
How to use this tool
- Enter net income and the two same-period total equity values.
- Calculate the average equity and ROE.
- Review the result without an annualization, rating, or investment recommendation.
Same-period accounting
ROE = net income ÷ average total shareholders’ equity, where average equity is beginning plus ending equity divided by two.
Interpretation limits
This tool does not annualize, rate, compare, fetch filings, or provide investment advice. Use matching periods and an explicitly defined total-equity basis.
GOOD TO KNOW
Common questions
What formula is used?
ROE is same-period net income divided by average beginning and ending total shareholders’ equity.
What if average equity is zero?
ROE is undefined and no percentage is reported.
Are values uploaded?
No. Calculation happens in this browser.