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WFRD (Weatherford International) ROE % : 48.81% (As of Sep. 2024)


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What is Weatherford International ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Weatherford International's annualized net income for the quarter that ended in Sep. 2024 was $628 Mil. Weatherford International's average Total Stockholders Equity over the quarter that ended in Sep. 2024 was $1,287 Mil. Therefore, Weatherford International's annualized ROE % for the quarter that ended in Sep. 2024 was 48.81%.

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

WFRD' s ROE % Range Over the Past 10 Years
Min: -405.92   Med: -35.25   Max: Negative Equity
Current: 50.09

During the past 13 years, Weatherford International's highest ROE % was Negative Equity%. The lowest was -405.92%. And the median was -35.25%.

WFRD's ROE % is ranked better than
95.47% of 994 companies
in the Oil & Gas industry
Industry Median: 6.785 vs WFRD: 50.09

Weatherford International ROE % Historical Data

The historical data trend for Weatherford International'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.

Weatherford International ROE % Chart

Weatherford International 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 Negative Equity -101.45 -65.26 5.16 57.16

Weatherford International Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 70.94 67.23 44.47 43.12 48.81

Competitive Comparison of Weatherford International's ROE %

For the Oil & Gas Equipment & Services subindustry, Weatherford International'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.


Weatherford International's ROE % Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Weatherford International's ROE % distribution charts can be found below:

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



Weatherford International ROE % Calculation

Weatherford International'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 )
=417/( (535+924)/ 2 )
=417/729.5
=57.16 %

Weatherford International's annualized ROE % for the quarter that ended in Sep. 2024 is calculated as

ROE %=Net Income (Q: Sep. 2024 )/( (Total Stockholders Equity (Q: Jun. 2024 )+Total Stockholders Equity (Q: Sep. 2024 ))/ count )
=628/( (1228+1345)/ 2 )
=628/1286.5
=48.81 %

* 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 (Sep. 2024) net income data. ROE % is displayed in the 30-year financial page.


Weatherford International  (NAS:WFRD) 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: Sep. 2024 )
=Net Income/Total Stockholders Equity
=628/1286.5
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(628 / 5636)*(5636 / 5149.5)*(5149.5 / 1286.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=11.14 %*1.0945*4.0027
=ROA %*Equity Multiplier
=12.19 %*4.0027
=48.81 %

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: Sep. 2024 )
=Net Income/Total Stockholders Equity
=628/1286.5
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (628 / 712) * (712 / 972) * (972 / 5636) * (5636 / 5149.5) * (5149.5 / 1286.5)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.882 * 0.7325 * 17.25 % * 1.0945 * 4.0027
=48.81 %

Note: The net income data used here is four times the quarterly (Sep. 2024) net income data. The Revenue data used here is four times the quarterly (Sep. 2024) 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.


Weatherford International ROE % Related Terms

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


Weatherford International Business Description

Traded in Other Exchanges
Address
2000 Street James Place, Houston, TX, USA, 77056
Weatherford International provides diversified oilfield services across international markets for an array of oilfield types. The firm is a global market leader in artificial lift and tubular running services. Other key product lines include cementing products, directional drilling, and wireline evaluation.
Executives
Charles M Sledge director 1611 SCENIC MOUNTAIN COURT, KINGWOOD TX 77345
Girish Saligram director, officer: President and CEO 2000 ST. JAMES PLACE, HOUSTON TX 77056
Jacqueline C Mutschler director 2000 ST. JAMES PLACE, HOUSTON TX 77056
Benjamin Duster director 200 E. 84ST, 8TH FLOOR, NEW YORK NY 10028
Neal P Goldman director 10700 PARKRIDGE BLVD., RESTON VA 20191
Desmond J Mills officer: VP & Chief Accounting Officer 2000 ST. JAMES PLACE, HOUSTON TX 77056
Scott C Weatherholt officer: EVP, GC & CCO 321 SOUTH BOSTON AVE., SUITE 1000, TULSA OK 74103
Joseph H Mongrain officer: EVP and CHRO 2000 ST. JAMES PLACE, HOUSTON TX 77056
Arunava Mitra officer: EVP and CFO 2000 ST. JAMES PLACE, HOUSTON TX 77056
Charles Davison officer: EVP - Operational Excellence 2000 ST. JAMES PLACE, HOUSTON TX 77056
H. Keith Jennings officer: EVP and CFO 2000 ST. JAMES PLACE, HOUSTON TX 77056
Mark D Swift officer: President - Western Hemisphere 2000 ST. JAMES PLACE, HOUSTON TX 77056
Christian A Garcia officer: Chief Financial Officer 3000 N. SAM HOUSTON PARKWAY E., BLDG. J-4, HOUSTON TX 77032
John F Glick director TETRA TECHNOLOGIES, INC., 24955 INTERSTATE 45 N, THE WOODLANDS TX 77380
Bates Thomas R Jr director TETRA TECHNOLOGIES, INC., 24955 INTERSTATE 45 N, THE WOODLANDS TX 77380