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Pall (FRA:PA5) ROE % : 24.99% (As of Apr. 2015)


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What is Pall ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Pall's annualized net income for the quarter that ended in Apr. 2015 was €355 Mil. Pall's average Total Stockholders Equity over the quarter that ended in Apr. 2015 was €1,422 Mil. Therefore, Pall's annualized ROE % for the quarter that ended in Apr. 2015 was 24.99%.

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

FRA:PA5' s ROE % Range Over the Past 10 Years
Min: 12.76   Med: 19.69   Max: 34.58
Current: 22.89

During the past 13 years, Pall's highest ROE % was 34.58%. The lowest was 12.76%. And the median was 19.69%.

FRA:PA5's ROE % is not ranked
in the Industrial Products industry.
Industry Median: 6.87 vs FRA:PA5: 22.89

Pall ROE % Historical Data

The historical data trend for Pall'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.

Pall ROE % Chart

Pall Annual Data
Trend Jul05 Jul06 Jul07 Jul08 Jul09 Jul10 Jul11 Jul12 Jul13 Jul14
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 21.98 22.48 22.86 33.58 19.30

Pall Quarterly Data
Jul10 Oct10 Jan11 Apr11 Jul11 Oct11 Jan12 Apr12 Jul12 Oct12 Jan13 Apr13 Jul13 Oct13 Jan14 Apr14 Jul14 Oct14 Jan15 Apr15
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 19.75 26.11 20.95 22.42 24.99

Competitive Comparison of Pall's ROE %

For the Specialty Industrial Machinery subindustry, Pall'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.


Pall's ROE % Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Pall's ROE % distribution charts can be found below:

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



Pall ROE % Calculation

Pall's annualized ROE % for the fiscal year that ended in Jul. 2014 is calculated as

ROE %=Net Income (A: Jul. 2014 )/( (Total Stockholders Equity (A: Jul. 2013 )+Total Stockholders Equity (A: Jul. 2014 ))/ count )
=268.963/( (1386.626+1400.669)/ 2 )
=268.963/1393.6475
=19.30 %

Pall's annualized ROE % for the quarter that ended in Apr. 2015 is calculated as

ROE %=Net Income (Q: Apr. 2015 )/( (Total Stockholders Equity (Q: Jan. 2015 )+Total Stockholders Equity (Q: Apr. 2015 ))/ count )
=355.472/( (1334.664+1510.331)/ 2 )
=355.472/1422.4975
=24.99 %

* 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 (Apr. 2015) net income data. ROE % is displayed in the 30-year financial page.


Pall  (FRA:PA5) 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: Apr. 2015 )
=Net Income/Total Stockholders Equity
=355.472/1422.4975
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(355.472 / 2517.512)*(2517.512 / 3307.087)*(3307.087 / 1422.4975)
=Net Margin %*Asset Turnover*Equity Multiplier
=14.12 %*0.7612*2.3248
=ROA %*Equity Multiplier
=10.75 %*2.3248
=24.99 %

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: Apr. 2015 )
=Net Income/Total Stockholders Equity
=355.472/1422.4975
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (355.472 / 437.196) * (437.196 / 441.892) * (441.892 / 2517.512) * (2517.512 / 3307.087) * (3307.087 / 1422.4975)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8131 * 0.9894 * 17.55 % * 0.7612 * 2.3248
=24.99 %

Note: The net income data used here is four times the quarterly (Apr. 2015) net income data. The Revenue data used here is four times the quarterly (Apr. 2015) 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.


Pall ROE % Related Terms

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Pall (FRA:PA5) Business Description

Traded in Other Exchanges
N/A
Address
Pall Corporation is a New York corporation incorporated on July 31, 1946. The Company supplies filtration, separation and purification technologies. Its products are used to remove solid, liquid and gaseous contaminants from a variety of liquids and gases. Its serves its customers through two businesses: Life Sciences and Industrial. The Life Sciences business group is engaged in developing, manufacturing and selling products to customers in the BioPharmaceutical, Food & Beverage and Medical markets. The Industrial business group is engaged in developing, manufacturing and selling products to customers in the Process Technologies, Aerospace and Microelectronics markets. The Life Sciences technologies facilitate the process of drug discovery, development, regulatory validation and production, and are used in research laboratories, and the pharmaceutical and biotechnology industries. It also supplies products and technologies for food and beverage industries and in hospitals at the point of patient care. The Industrial segment provides enabling and process-enhancing technologies throughout the industrial marketplace. These include the Process Technologies, Aerospace and Microelectronics markets. It has the capability to provide customers with integrated solutions using its proprietary consumable filtration products for their process fluids. The Company's competition varies by product and application. Its competitors in the BioPharmaceuticals market include Merck Millipore (a division of Merck KGaA), The Sartorius Group and GE Healthcare (a unit of General Electric Company ("GE")). Its competitors in the Food & Beverage market include 3M Purification, Pentair, Inc., Filtrox Group, The Sartorius Group, Eaton Corporation and Parker Domnick Hunter (a division of Parker Hannifin). Its competitors in the Medical market include Merck Millipore, GE Healthcare, Teleflex Incorporated, Covidien plc and Intersurgical, Ltd. Its competitors in the Process Technologies market include CLARCOR Inc., Donaldson Company, Inc., Parker Hannifin Corporation, HYDAC International GmbH, GE Infrastructure (a unit of GE), Pentair, Inc., 3M Purification, U.S. Filter (a unit of Siemens AG) and ESCO Technologies Inc. Its competitors in the Aerospace market include Donaldson Company, Inc. and ESCO Technologies Inc. Its competitors in the Microelectronics market include Entegris, Inc., Parker Hannifin Corporation and Mott Corporation. The Company is subject to competition in all of the global markets in which it operates.

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