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Natural Health Trends (Natural Health Trends) ROE % : 3.37% (As of Dec. 2023)


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What is Natural Health Trends ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Natural Health Trends's annualized net income for the quarter that ended in Dec. 2023 was $1.43 Mil. Natural Health Trends's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $42.46 Mil. Therefore, Natural Health Trends's annualized ROE % for the quarter that ended in Dec. 2023 was 3.37%.

The historical rank and industry rank for Natural Health Trends's ROE % or its related term are showing as below:

NHTC' s ROE % Range Over the Past 10 Years
Min: -6.8   Med: 14.48   Max: 125.25
Current: 1.24

During the past 13 years, Natural Health Trends's highest ROE % was 125.25%. The lowest was -6.80%. And the median was 14.48%.

NHTC's ROE % is ranked worse than
64.25% of 1088 companies
in the Retail - Cyclical industry
Industry Median: 5.97 vs NHTC: 1.24

Natural Health Trends ROE % Historical Data

The historical data trend for Natural Health Trends'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.

Natural Health Trends ROE % Chart

Natural Health Trends Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -6.80 1.18 1.71 0.57 1.24

Natural Health Trends Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
ROE % Get a 7-Day Free Trial 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 1.47 2.09 -1.87 1.55 3.37

Competitive Comparison of Natural Health Trends's ROE %

For the Internet Retail subindustry, Natural Health Trends'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.


Natural Health Trends's ROE % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Natural Health Trends's ROE % distribution charts can be found below:

* The bar in red indicates where Natural Health Trends's ROE % falls into.



Natural Health Trends ROE % Calculation

Natural Health Trends'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 )
=0.568/( (50.151+41.6)/ 2 )
=0.568/45.8755
=1.24 %

Natural Health Trends'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 )
=1.432/( (43.31+41.6)/ 2 )
=1.432/42.455
=3.37 %

* 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.


Natural Health Trends  (NAS:NHTC) 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
=1.432/42.455
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(1.432 / 43.748)*(43.748 / 70.456)*(70.456 / 42.455)
=Net Margin %*Asset Turnover*Equity Multiplier
=3.27 %*0.6209*1.6595
=ROA %*Equity Multiplier
=2.03 %*1.6595
=3.37 %

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
=1.432/42.455
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (1.432 / 1.864) * (1.864 / -0.968) * (-0.968 / 43.748) * (43.748 / 70.456) * (70.456 / 42.455)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7682 * -1.9256 * -2.21 % * 0.6209 * 1.6595
=3.37 %

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.


Natural Health Trends ROE % Related Terms

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


Natural Health Trends (Natural Health Trends) Business Description

Traded in Other Exchanges
Address
132 Nathan Road, Tsimshatsui, Units 1205-07, 12th floor, Mira Place Tower A, Kowloon, Hong Kong, HKG
Natural Health Trends Corp is an international direct-selling and e-commerce company. It offers a line of products such as Wellness, Herbal, Beauty, Lifestyle, Home, and Baby. Wellness products include targeted nutrition for joint health, antioxidant support, digestive health, heart health, and vision health. Herbal products include anti-aging and hydrating cleansers, creams, lotions, serums, and toners. Lifestyle products improve the overall quality of life and to support active, physical and healthy lifestyles. Home products are designed to create a clean and natural living environment for the home, and Baby products formulated with gentle ingredients from nature for infants and babies. It generates a majority of its revenue from Hong Kong.
Executives
Brunde E Broady director UNITS 1205-07, 12/F, MIRA PLACE TOWER A, 132 NATHAN ROAD, TSIMSHATSUI, KOWLOON K3 0000000000
Ching Chung Wong director UNITS 1205-07, 12/F, MIRA PLACE TOWER A, 132 NATHAN ROAD, TSIMSHATSUI, KOWLOON K3 0000000000
George K Broady director, 10 percent owner 751 CANYON DRIVE, SUITE 100, C/O KINGS III OF AMERICA, COPPELL TX 75019
Chris Tahjiun Sharng director, officer: President C/O OF NATURAL HEALTH TRENDS CORP., 609 DEEP VALLEY DRIVE, ROLLING HILLS ESTATES CA 90274
Timothy Scott Davidson officer: Sr. V.P. & CFO 609 DEEP VALLEY DRIVE, SUITE 395, ROLLING HILLS ESTATES CA 90274
Yiu Tung Chan director FLAT B, 13/F, GREENPARK VILLA, KAT CHEUNG CRESCENT, SHEUNG SHUI, NEW TERRITORIES K3 999077
Randall A Mason director PO BOX 4016, MARIETTA OH 45750
Christopher Robert O'brien director 448 32ND ST, MANHATTAN BEACH CA 90266
Jane Eleanor Broady 2012 Irrevocable Trust 10 percent owner 751 CANYON DRIVE, SUITE 100, COPPELL TX 75019
Kin Yep Chung director FLAT E, 14/F, CHARMING GARDEN BLOCK 8, MONG KOK K3 999077
John Marvin Broady 10 percent owner 751 CANYON DRIVE, SUITE 100, COPPELL TX 75019
Magdalena Steinbrunner 10 percent owner 751 CANYON DRIVE, SUITE 100, COPPELL TX 75019
George Vincent Broady 10 percent owner 751 CANYON DRIVE, SUITE 100, COPPELL TX 75019
Stefan Zuckut director C/O NATURAL HEALTH TRENDS CORP., 2050 DIPLOMAT DRIVE, DALLAS TX 75234
Chief China Resources Ltd 10 percent owner 18 CHAOYANGMENWAI STREET, SUITE B710, FULL LINK PLAZA, BEIJING F4 100020