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Capitec Bank Holdings (JSE:CPI) 3-Year RORE % : 13.22% (As of Feb. 2024)


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What is Capitec Bank Holdings 3-Year RORE %?

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. Capitec Bank Holdings's 3-Year RORE % for the quarter that ended in Feb. 2024 was 13.22%.

The industry rank for Capitec Bank Holdings's 3-Year RORE % or its related term are showing as below:

JSE:CPI's 3-Year RORE % is ranked better than
63.41% of 1391 companies
in the Banks industry
Industry Median: 4.91 vs JSE:CPI: 13.22

Capitec Bank Holdings 3-Year RORE % Historical Data

The historical data trend for Capitec Bank Holdings's 3-Year RORE % 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.

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Capitec Bank Holdings 3-Year RORE % Chart

Capitec Bank Holdings Annual Data
Trend Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24
3-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 17.16 -6.90 16.51 32.56 13.22

Capitec Bank Holdings Semi-Annual Data
Aug14 Feb15 Aug15 Feb16 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24
3-Year RORE % 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 16.51 36.67 32.56 11.74 13.22

Competitive Comparison of Capitec Bank Holdings's 3-Year RORE %

For the Banks - Regional subindustry, Capitec Bank Holdings's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % 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.


Capitec Bank Holdings's 3-Year RORE % Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Capitec Bank Holdings's 3-Year RORE % distribution charts can be found below:

* The bar in red indicates where Capitec Bank Holdings's 3-Year RORE % falls into.



Capitec Bank Holdings 3-Year RORE % Calculation

Capitec Bank Holdings's 3-Year RORE % for the quarter that ended in Feb. 2024 is calculated as:

3-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 3-year -Cumulative Dividends per Share for 3-year )
=( 91.37-73.6 )/( 244.08-109.7 )
=17.77/134.38
=13.22 %

* 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 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Feb. 2024 and 3-year before.


Capitec Bank Holdings  (JSE:CPI) 3-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


Capitec Bank Holdings 3-Year RORE % Related Terms

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Capitec Bank Holdings (JSE:CPI) Business Description

Traded in Other Exchanges
Address
5 Neutron Road, Techno Park, Stellenbosch, WC, ZAF, 7600
Capitec Bank Holdings Ltd is a retail bank with more than 850 branches in South Africa. Its services focus on three customer needs: saving, which provides customers the ability to receive and store funds; credit, which satisfies customer needs to access and borrow funds; and transacting, which allows for payments and movement of funds. It operates in three segments: -Retail bank, Business bank, and the Insurance business. Net interest income accounts for more than two-thirds of total company revenue. The company also generates revenue from fees on loans and transactions. Roughly a third of the company's loans are mortgages, and another third are other secured loans. Credit facilities and unsecured credit loans make up most of the remaining loans outstanding.

Capitec Bank Holdings (JSE:CPI) Headlines