Published on 23 May 2024 on Simply Wall St. via Yahoo Finance
The Greenbrier Companies, Inc. (NYSE:GBX) Delivered A Weaker ROE Than Its Industry
Many investors are still learning about the various metrics that can be useful when analysing a stock. This article is for those who would like to learn about Return On Equity (ROE). To keep the lesson grounded in practicality, we'll use ROE to better understand The Greenbrier Companies, Inc. (NYSE:GBX).
Return on equity or ROE is an important factor to be considered by a shareholder because it tells them how effectively their capital is being reinvested. In other words, it is a profitability ratio which measures the rate of return on the capital provided by the company's shareholders.