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Huntington Bancshares (Huntington Bancshares) ROE %

: 5.14% (As of Dec. 2023)
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ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Huntington Bancshares's annualized net income for the quarter that ended in Dec. 2023 was $972 Mil. Huntington Bancshares's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $18,918 Mil. Therefore, Huntington Bancshares's annualized ROE % for the quarter that ended in Dec. 2023 was 5.14%.

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

HBAN' s ROE % Range Over the Past 10 Years
Min: 6.59   Med: 10.63   Max: 12.71
Current: 10.48

During the past 13 years, Huntington Bancshares's highest ROE % was 12.71%. The lowest was 6.59%. And the median was 10.63%.

HBAN's ROE % is ranked better than
53.55% of 1464 companies
in the Banks industry
Industry Median: 9.91 vs HBAN: 10.48

Huntington Bancshares ROE % Historical Data

The historical data trend for Huntington Bancshares'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.

Huntington Bancshares Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.32 6.59 8.02 12.09 10.52

Huntington Bancshares Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
ROE % 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 Premium Member Only Premium Member Only Premium Member Only 14.80 13.20 11.91 11.74 5.14

Competitive Comparison

For the Banks - Regional subindustry, Huntington Bancshares'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.


Huntington Bancshares ROE % Distribution

For the Banks industry and Financial Services sector, Huntington Bancshares's ROE % distribution charts can be found below:

* The bar in red indicates where Huntington Bancshares's ROE % falls into.



Huntington Bancshares ROE % Calculation

Huntington Bancshares'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 )
=1951/( (17731+19353)/ 2 )
=1951/18542
=10.52 %

Huntington Bancshares's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %=Net Income (Q: Dec. 2023 )/( (Total Stockholders Equity (Q: Sep. 2023 )+Total Stockholders Equity (Q: Dec. 2023 ))/ count )
=972/( (18483+19353)/ 2 )
=972/18918
=5.14 %

* 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 (Dec. 2023) net income data. ROE % is displayed in the 30-year financial page.


Huntington Bancshares  (NAS:HBAN) 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: Dec. 2023 )
=Net Income/Total Stockholders Equity
=972/18918
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(972 / 7112)*(7112 / 188009)*(188009 / 18918)
=Net Margin %*Asset Turnover*Equity Multiplier
=13.67 %*0.0378*9.9381
=ROA %*Equity Multiplier
=0.52 %*9.9381
=5.14 %

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: Dec. 2023 )
=Net Income/Total Stockholders Equity
=972/18918
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (972 / 988) * (988 / 7112) * (7112 / 188009) * (188009 / 18918)
= Tax Burden * Pretax Margin % * Asset Turnover * Equity Multiplier
= 0.9838 * 13.89 % * 0.0378 * 9.9381
=5.14 %

Note: The net income data used here is four times the quarterly (Dec. 2023) net income data. The Revenue data used here is four times the quarterly (Dec. 2023) 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.


Huntington Bancshares ROE % Related Terms

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


Huntington Bancshares (Huntington Bancshares) Business Description

Address
41 South High Street, Huntington Center, Columbus, OH, USA, 43287
Huntington Bancshares is a regional bank holding company headquartered in Columbus, Ohio. The bank has a network of branches and ATMs across eight Midwestern states. Founded in 1866, Huntington National Bank and its affiliates provide consumer, small-business, commercial, treasury management, wealth management, brokerage, trust, and insurance services. Huntington also provides auto dealer, equipment finance, national settlement, and capital market services that extend beyond its core states.
Executives
Helga Houston officer: Senior Exec. V. P. 516 S. NEW HOPE ROAD, P.O. BOX 2636, GASTONIA NC 28053
Donnell R White officer: Chief DEI Officer, SVP 333 W FORT STREET, SUITE 1800, DETROIT MI 48226
Marcy C Hingst officer: SEVP and General Counsel HUNTINGTON CENTER, 41 S HIGH STREET, COLUMBUS OH 43287
Paul G Heller officer: Sr. EVP & Chief Technology and HUNTINGTON BANCSHARES INCORPORATED, 41 S. HIGH STREET, COLUMBUS OH 43215
Rafael Diaz-granados director HUNTINGTON CENTER, 41 S HIGH STREET, COLUMBUS OH 43287
Gary Torgow director 235 EAST MAIN STREET, MIDLAND MI 48640
Zachary Jacob Wasserman officer: CFO and Senior Exec. VP HUNTINGTON BANCSHARES INCORPORATED, 41 S. HIGH STREET, COLUMBUS OH 43215
Kenneth J Phelan director HUNTINGTON BANCSHARES INCORPORATED, 41 S. HIGH STREET, COLUMBUS OH 43215
David L Porteous director P.O. BOX 44, REED CITY MI 49677
Michael Scott Jones officer: SEVP of Significant Subsidiary 200 LAKE STREET EAST, WAYZATA MN 55391
Donald Lee Dennis officer: EVP of Principal Subsidiary HUNTINGTON BANCSHARES INCORPORATED, 41 S. HIGH STREET, COLUMBUS OH 43215
Scott D Kleinman officer: Sr. EVP of Principal Sub. HUNTINGTON BANCSHARES INCORPORATED, 41 SOUTH HIGH STREET, COLUMBUS OH 43287
Steven Lee Rhodes officer: EVP of Principal Subsidiary HUNTINGTON BANCSHARES INCORPORATED, 41 S. HIGH STREET, COLUMBUS OH 43215
Richard H King director 200 LAKE STREET EAST, WAYZATA MN 55391
Stephen D Steinour director, officer: President, CEO & Chairman C/O KEANE INC, TEN CITY SQ, BOSTON MA 02129