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TRVI (Trevi Therapeutics) ROE % : -84.65% (As of Sep. 2024)


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What is Trevi Therapeutics ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Trevi Therapeutics's annualized net income for the quarter that ended in Sep. 2024 was $-52.97 Mil. Trevi Therapeutics's average Total Stockholders Equity over the quarter that ended in Sep. 2024 was $62.57 Mil. Therefore, Trevi Therapeutics's annualized ROE % for the quarter that ended in Sep. 2024 was -84.65%.

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

TRVI' s ROE % Range Over the Past 10 Years
Min: -195.42   Med: -85.7   Max: -30.59
Current: -59.95

During the past 7 years, Trevi Therapeutics's highest ROE % was -30.59%. The lowest was -195.42%. And the median was -85.70%.

TRVI's ROE % is ranked worse than
58.96% of 1311 companies
in the Biotechnology industry
Industry Median: -44.58 vs TRVI: -59.95

Trevi Therapeutics ROE % Historical Data

The historical data trend for Trevi Therapeutics'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.

Trevi Therapeutics ROE % Chart

Trevi Therapeutics Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial -85.70 -80.07 -153.03 -46.82 -30.59

Trevi Therapeutics 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 -33.35 -36.34 -56.31 -71.34 -84.65

Competitive Comparison of Trevi Therapeutics's ROE %

For the Biotechnology subindustry, Trevi Therapeutics'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.


Trevi Therapeutics's ROE % Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Trevi Therapeutics's ROE % distribution charts can be found below:

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



Trevi Therapeutics ROE % Calculation

Trevi Therapeutics'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 )
=-29.065/( (107.459+82.547)/ 2 )
=-29.065/95.003
=-30.59 %

Trevi Therapeutics'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 )
=-52.968/( (66.174+58.969)/ 2 )
=-52.968/62.5715
=-84.65 %

* 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.


Trevi Therapeutics  (NAS:TRVI) 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
=-52.968/62.5715
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-52.968 / 0)*(0 / 71.359)*(71.359 / 62.5715)
=Net Margin %*Asset Turnover*Equity Multiplier
=N/A %*0*1.1404
=ROA %*Equity Multiplier
=N/A %*1.1404
=-84.65 %

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
=-52.968/62.5715
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-52.968 / -53.092) * (-53.092 / -56.348) * (-56.348 / 0) * (0 / 71.359) * (71.359 / 62.5715)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.9977 * 0.9422 * N/A % * 0 * 1.1404
=-84.65 %

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.


Trevi Therapeutics ROE % Related Terms

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


Trevi Therapeutics Business Description

Traded in Other Exchanges
N/A
Address
195 Church Street, 16th Floor, New Haven, CT, USA, 06510
Trevi Therapeutics Inc is a clinical-stage biopharmaceutical company focused on the development and commercialization of the investigational therapy Haduvio (oral nalbuphine ER) for the treatment of chronic cough in adults with idiopathic pulmonary fibrosis, or IPF, and other chronic cough indications, and for the treatment of prurigo nodularis. Haduvio is an oral extended-release formulation of nalbuphine.
Executives
Jennifer L Good director, 10 percent owner, officer: See Remarks 15 GREAT RING ROAD, SANDY HOOK CT 06482
David P Meeker director, 10 percent owner C/O PENWEST PHARMACEUTICALS CO, 39 OLD RIDGEBURY ROAD SUITE 11, DANBURY CT 06810
Thomas Sciascia 10 percent owner, officer: Chief Medical Officer 39 OLD RIDGEBURY RD. SUITE 11, DANBURY CT 06810
Lisa Delfini officer: Chief Financial Officer C/O TREVI THERAPEUTICS, INC., 195 CHURCH STREET, FL. 14, NEW HAVEN CT 06510
Farrell Simon officer: Chief Commercial Officer C/O TREVI THERAPEUTICS, INC., 195 CHURCH STREET, FLOOR 14, NEW HAVEN CT 06510
David J Clark officer: Chief Medical Officer 131 HARTWELL AVE, LEXINGTON MA 02421
Tpg Gp A, Llc 10 percent owner 301 COMMERCE STREET, SUITE 3300, FORT WORTH TX 76102
Scott D Sandell 10 percent owner
Forest Baskett 10 percent owner
Peter W. Sonsini 10 percent owner 2855 SAND HILL ROAD, MENLO PARK CA 94025
Florence Anthony A. Jr. 10 percent owner 5425 WISCONSIN AVENUE, SUITE 800, CHEVY CHASE MD 20815
Ali Behbahani 10 percent owner 5425 WISCONSIN AVE, CHEVY CHASE MD 20815
Carmen Chang 10 percent owner 2855 SAND HILL ROAD, MENLO PARK CA 94025
New Enterprise Associates 16, L.p. 10 percent owner 1954 GREENSPRING DRIVE, SUITE 600, TIMONIUM MD 21093
Mohamad Makhzoumi 10 percent owner 2855 SAND HILL ROAD, MENLO PARK CA 94025