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Cistera Networks (Cistera Networks) Return-on-Tangible-Equity : Negative Tangible Equity% (As of Sep. 2010)


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What is Cistera Networks Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Cistera Networks's annualized net income for the quarter that ended in Sep. 2010 was $0.57 Mil. Cistera Networks's average shareholder tangible equity for the quarter that ended in Sep. 2010 was $-3.38 Mil. Therefore, Cistera Networks's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2010 was Negative Tangible Equity%.

The historical rank and industry rank for Cistera Networks's Return-on-Tangible-Equity or its related term are showing as below:

CNWT's Return-on-Tangible-Equity is not ranked *
in the Software industry.
Industry Median: 7.82
* Ranked among companies with meaningful Return-on-Tangible-Equity only.

Cistera Networks Return-on-Tangible-Equity Historical Data

The historical data trend for Cistera Networks's Return-on-Tangible-Equity 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.

Cistera Networks Return-on-Tangible-Equity Chart

Cistera Networks Annual Data
Trend Mar01 Mar02 Mar03 Mar04 Mar05 Mar06 Mar07 Mar08 Mar09 Mar10
Return-on-Tangible-Equity
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Cistera Networks Quarterly Data
Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10
Return-on-Tangible-Equity 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 Negative Tangible Equity Negative Tangible Equity - - Negative Tangible Equity

Competitive Comparison of Cistera Networks's Return-on-Tangible-Equity

For the Software - Application subindustry, Cistera Networks's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.


Cistera Networks's Return-on-Tangible-Equity Distribution in the Software Industry

For the Software industry and Technology sector, Cistera Networks's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Cistera Networks's Return-on-Tangible-Equity falls into.



Cistera Networks Return-on-Tangible-Equity Calculation

Cistera Networks's annualized Return-on-Tangible-Equity for the fiscal year that ended in Mar. 2010 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Mar. 2010 )  (A: Mar. 2009 )(A: Mar. 2010 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Mar. 2010 )  (A: Mar. 2009 )(A: Mar. 2010 )
=-0.339/( (-3.665+-3.483 )/ 2 )
=-0.339/-3.574
=N/A %

Cistera Networks's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2010 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Sep. 2010 )  (Q: Jun. 2010 )(Q: Sep. 2010 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Sep. 2010 )  (Q: Jun. 2010 )(Q: Sep. 2010 )
=0.568/( (-3.471+-3.287)/ 2 )
=0.568/-3.379
=Negative Tangible Equity %

* 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 Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Sep. 2010) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Cistera Networks  (OTCPK:CNWT) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity 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 Return-on-Tangible-Equitys can be extremely high.


Cistera Networks Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Cistera Networks's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Cistera Networks (Cistera Networks) Business Description

Traded in Other Exchanges
N/A
Address
5045 Lorimar Drive, Suite 180, Plano, TX, USA, 75093 5707
Cistera Networks Inc is a provider of cloud business communications solutions. It acts as a global provider of call recording, speech analytics and business intelligence solutions via on-site server or the cloud.
Executives
Roaring Fork Capital Sbic, L.p. 10 percent owner 1875 LAWRENCE STREET, SUITE 400, DENVER CO 80202

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