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CYNPRC.PFD (City National) ROA % : 0.82% (As of Jun. 2015)


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What is City National ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. City National's annualized Net Income for the quarter that ended in Jun. 2015 was $274.00 Mil. City National's average Total Assets over the quarter that ended in Jun. 2015 was $33,229.70 Mil. Therefore, City National's annualized ROA % for the quarter that ended in Jun. 2015 was 0.82%.

The historical rank and industry rank for City National's ROA % or its related term are showing as below:

CYNPRC.PFD' s ROA % Range Over the Past 10 Years
Min: 0.27   Med: 0.8   Max: 1.63
Current: 0.82

During the past 13 years, City National's highest ROA % was 1.63%. The lowest was 0.27%. And the median was 0.80%.

CYNPRC.PFD's ROA % is not ranked
in the Banks industry.
Industry Median: 0.86 vs CYNPRC.PFD: 0.82

City National ROA % Historical Data

The historical data trend for City National's ROA % 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.

City National ROA % Chart

City National Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.62 0.77 0.80 0.79 0.82

City National Quarterly Data
Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15
ROA % 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 0.86 0.87 0.82 0.75 0.82

Competitive Comparison of City National's ROA %

For the Banks - Regional subindustry, City National's ROA %, along with its competitors' market caps and ROA % 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.


City National's ROA % Distribution in the Banks Industry

For the Banks industry and Financial Services sector, City National's ROA % distribution charts can be found below:

* The bar in red indicates where City National's ROA % falls into.



City National ROA % Calculation

City National's annualized ROA % for the fiscal year that ended in Dec. 2014 is calculated as:

ROA %=Net Income (A: Dec. 2014 )/( (Total Assets (A: Dec. 2013 )+Total Assets (A: Dec. 2014 ))/ count )
=255.819/( (29717.951+32610.363)/ 2 )
=255.819/31164.157
=0.82 %

City National's annualized ROA % for the quarter that ended in Jun. 2015 is calculated as:

ROA %=Net Income (Q: Jun. 2015 )/( (Total Assets (Q: Mar. 2015 )+Total Assets (Q: Jun. 2015 ))/ count )
=273.996/( (32698.899+33760.498)/ 2 )
=273.996/33229.6985
=0.82 %

* 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 ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Jun. 2015) net income data. ROA % is displayed in the 30-year financial page.


City National  (NYSE:CYNPRC.PFD) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: Jun. 2015 )
=Net Income/Total Assets
=273.996/33229.6985
=(Net Income / Revenue)*(Revenue / Total Assets)
=(273.996 / 1397.656)*(1397.656 / 33229.6985)
=Net Margin %*Asset Turnover
=19.6 %*0.0421
=0.82 %

Note: The Net Income data used here is four times the quarterly (Jun. 2015) net income data. The Revenue data used here is four times the quarterly (Jun. 2015) revenue data.

* 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

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


City National ROA % Related Terms

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


City National Business Description

Traded in Other Exchanges
N/A
Address
City National Corp is a Delaware corporation organized in 1968. It is a bank holding company and a financial holding company. It provides banking, investment and trust services to its clients through its wholly-owned banking subsidiary, City National Bank. The Bank operates through 77 offices, including 16 full-service regional centers, in Southern California, the San Francisco Bay area, Nevada, New York City, Nashville, Tennessee and Atlanta, Georgia. The Company provides financial solutions to affluent individuals, entrepreneurs, professionals, their businesses and their families. The Company's segments include, Commercial and Private Banking, & Wealth Management. The Commercial and Private Banking segment provides banking products and services, including commercial and mortgage lending, lines of credit, equipment lease financing, deposits, cash management services, international trade finance and letters of credit. All investment advisory affiliates and the Bank's wealth management services are included in the Wealth Management segment. The Company's principal client base consists of small to mid-sized businesses, entrepreneurs, professionals, and affluent individuals. The Company serves its clients through relationship banking. The Company offers lending, deposit, cash management, international banking, equipment financing, and other products and services. The Bank's wealth management division make available the following investment advisory and wealth management resources to the Company's clients: investment management and advisory services and brokerage services, including portfolio management, securities trading and asset management; personal and business trust and investment services, including employee benefit trust services, 401(k) and defined benefit plans; and estate and financial planning and custodial services. The Company also advises and makes available mutual funds under the name of City National Rochdale Funds. The Bank's wealth management division and the Company's asset management subsidiaries provide both proprietary and nonproprietary products to offer asset classes and investment styles, including fixed-income instruments, mutual funds, domestic and international equities and alternative investments, such as hedge funds. Investment services are provided to institutional as well as individual clients. The Company faces competitive credit and pricing pressure as it competes with other banks and financial organizations. It is subject to extensive regulation under both federal and state law.
Executives
Brian Fitzmaurice officer: EVP & Chief Credit Officer C/O CITY NATIONAL CORPORATION, 555 S. FLOWER ST., 18TH FL., LOS ANGELES CA 90071
Clifford Gilbert-lurie director 555 SOUTH FLOWER STREET, 18TH FLOOR, LOS ANGELES CA 90071
Mohamad Ali director 2 AVENUE DE LAFAYETTE, BOSTON MA 02111
Alison Davis director 255 FISERV DRIVE, BROOKFIELD WI 53045
Richard Gershen officer: EVP & Director WMS CITY NATIONAL BANK, 400 N. ROXBURY DRIVE, BEVERLY HILLS CA 90210
Martin Paretti officer: VP and Controller C/O CITY NATIONAL CORPORATION, 555 S. FLOWER STREET, 18TH FLOOR, LOS ANGELES CA 90071
Olga Tsokova officer: SVP & Chief Accounting Officer C/O CITY NATIONAL CORPORATION, 555 S. FLOWER STREET, 18TH FLOOR, LOS ANGELES CA 90071
Bruce Rosenblum director C/O CITY NATIONAL CORPORATION, 555 S. FLOWER STREET, 18TH FLOOR, LOS ANGELES CA 90071
Ashok Israni director C/O CITY NATIONAL CORPORATION, 555 S. FLOWER STREET, 18TH FL, LOS ANGELES CA 90071
Linda M Griego director SOUTHWEST WATER CO, 624 SO. GRAND, STE 2900, LOS ANGELES CA 90017
James Iii Dowd officer: SVP; Interim Chief Credit Ofcr C/O CITY NATIONAL CORPORATION, 400 N. ROXBURY DRIVE, BEVERLY HILLS CA 90210
Nancy H Gilson officer: VP and Controller C/O CITY NATIONAL CORP, GENERAL COUNSEL, 555 S. FLOWER STREET, 18TH FL, LOS ANGELES CA 90071
Baghdo Akay officer: Senior Risk Management Officer C/O CITY NATIONAL CORP GENERAL COUNSEL, 400 N ROXBURY DRIVE, BEVERLY HILLS CA 90210
Christopher J Carey officer: EVP & Chief Financial Officer C/O CITY NATIONAL CORP., GENERAL COUNSEL, 555 S. FLOWER STREET, 18TH FL, LOS ANGELES CA 90071
Van De Kamp Andrea L director 9665 WILSHIRE BLVD, STE 101, BEVERLY HILLS CA 90212