GURUFOCUS.COM » STOCK LIST » Basic Materials » Metals & Mining » Allied Gold Corp (TSX:AAUC) » Definitions » ROE %

Allied Gold (TSX:AAUC) ROE % : -7.66% (As of Mar. 2024)


View and export this data going back to 2023. Start your Free Trial

What is Allied Gold ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Allied Gold's annualized net income for the quarter that ended in Mar. 2024 was C$-30.8 Mil. Allied Gold's average Total Stockholders Equity over the quarter that ended in Mar. 2024 was C$401.7 Mil. Therefore, Allied Gold's annualized ROE % for the quarter that ended in Mar. 2024 was -7.66%.

The historical rank and industry rank for Allied Gold's ROE % or its related term are showing as below:

TSX:AAUC' s ROE % Range Over the Past 10 Years
Min: -120.58   Med: -68.48   Max: -16.38
Current: -89.25

During the past 2 years, Allied Gold's highest ROE % was -16.38%. The lowest was -120.58%. And the median was -68.48%.

TSX:AAUC's ROE % is ranked worse than
83.52% of 2482 companies
in the Metals & Mining industry
Industry Median: -16.005 vs TSX:AAUC: -89.25

Allied Gold ROE % Historical Data

The historical data trend for Allied Gold'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.

Allied Gold ROE % Chart

Allied Gold Annual Data
Trend Dec22 Dec23
ROE %
-16.38 -120.58

Allied Gold Quarterly Data
Sep22 Dec22 Mar23 Sep23 Dec23 Mar24
ROE % Get a 7-Day Free Trial -99.88 -181.67 -265.51 7.31 -7.66

Competitive Comparison of Allied Gold's ROE %

For the Gold subindustry, Allied Gold'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.


Allied Gold's ROE % Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Allied Gold's ROE % distribution charts can be found below:

* The bar in red indicates where Allied Gold's ROE % falls into.



Allied Gold ROE % Calculation

Allied Gold's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=-279.699/( (61.558+402.354)/ 2 )
=-279.699/231.956
=-120.58 %

Allied Gold's annualized ROE % for the quarter that ended in Mar. 2024 is calculated as

ROE %=Net Income (Q: Mar. 2024 )/( (Total Stockholders Equity (Q: Dec. 2023 )+Total Stockholders Equity (Q: Mar. 2024 ))/ count )
=-30.78/( (402.354+401.137)/ 2 )
=-30.78/401.7455
=-7.66 %

* 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 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. 2024) net income data. ROE % is displayed in the 30-year financial page.


Allied Gold  (TSX:AAUC) 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. 2024 )
=Net Income/Total Stockholders Equity
=-30.78/401.7455
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-30.78 / 947.884)*(947.884 / 1271.4615)*(1271.4615 / 401.7455)
=Net Margin %*Asset Turnover*Equity Multiplier
=-3.25 %*0.7455*3.1648
=ROA %*Equity Multiplier
=-2.42 %*3.1648
=-7.66 %

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. 2024 )
=Net Income/Total Stockholders Equity
=-30.78/401.7455
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-30.78 / 68.344) * (68.344 / 127.012) * (127.012 / 947.884) * (947.884 / 1271.4615) * (1271.4615 / 401.7455)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= -0.4504 * 0.5381 * 13.4 % * 0.7455 * 3.1648
=-7.66 %

Note: The net income data used here is four times the quarterly (Mar. 2024) net income data. The Revenue data used here is four times the quarterly (Mar. 2024) 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.

* 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.


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.


Allied Gold ROE % Related Terms

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


Allied Gold (TSX:AAUC) Business Description

Traded in Other Exchanges
Address
40 Temperance Street, Suite 3200, Bay Adelaide Centre - North Tower, Pacific Centre, Toronto, ON, CAN, M5H 0B4
Website
Allied Gold Corp is a company focused on gold mining asset transformation in Africa. Allied has three mines and several development and exploration projects in Africa where it has significant operating experience. Operations are located in Cote d'Ivoire, Mali, Ethiopia and Egypt. The company aspires to become a mid-tier next-generation gold producer in Africa.
Executives
Gerardo Fernandez-tobar Senior Officer

Allied Gold (TSX:AAUC) Headlines

No Headlines