Published on 2 Jun 2024 on Simply Wall St. via Yahoo Finance
It is hard to get excited after looking at Phillips 66's (NYSE:PSX) recent performance, when its stock has declined 1.5% over the past three months. However, stock prices are usually driven by a company’s financial performance over the long term, which in this case looks quite promising. In this article, we decided to focus on Phillips 66's ROE.
ROE or return on equity is a useful tool to assess how effectively a company can generate returns on the investment it received from its shareholders. In simpler terms, it measures the profitability of a company in relation to shareholder's equity.