News

Published on 20 Jan 2022 on Simply Wall St. via Yahoo Finance

Here's What's Concerning About Public Service Enterprise Group's (NYSE:PEG) Returns On Capital


Article preview image

If we're looking to avoid a business that is in decline, what are the trends that can warn us ahead of time? A business that's potentially in decline often shows two trends, a return on capital employed (ROCE) that's declining, and a base of capital employed that's also declining. This indicates to us that the business is not only shrinking the size of its net assets, but its returns are falling as well. In light of that, from a first glance at Public Service Enterprise Group (NYSE:PEG), we've spotted some signs that it could be struggling, so let's investigate.

Return On Capital Employed (ROCE): What is it?

For those who don't know, ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business. To calculate this metric for Public Service Enterprise Group, this is the formula:

NASDAQ.FWONA price evolution

Want to become a better investor?

Start tracking your investments with Statfolio

Sign up for free
Related News
Can't Find Baby Formula During The Shortage? Here's What To Do (And Not Do).

The baby formula shortage has left store shelves bare across much of the U.S., with many parents...

HuffPost 13 May 2022

Baby formula shortage costing parents: 'It's a desperate situation for many families'

Ashlyn Hensley was getting desperate. In March, after scanning the aisles at the local Publix, Wa...

USA TODAY via Yahoo Finance 13 May 2022

Baby Formula Stocks: Impact Investing Could Help Resolve the Shortage

A whopping 43 percent of popular baby formula products were out of stock during the week ending M...

Market Realist 13 May 2022

Senate Democrats Pressure Baby Formula Manufacturers To Push More Product

“We are calling on you and your member companies to take immediate action and ensure that infant ...

HuffPost via Yahoo News 13 May 2022

EXPLAINER: What's behind the baby formula shortage?

WASHINGTON (AP) — Many parents are hunting for infant formula because of a combination of short- ...

MSN News 13 May 2022

Texas governor criticises Biden administration for giving baby formula to migrant children

“It’s shameless.” Aaron Reichlin-Melnick, senior policy counsel with the American Immigration...

The Independent via Yahoo News 12 May 2022

Erin Napier is 'so worried' about baby formula shortage

Napier, who also shared four-year-old daughter Helen with her husband Ben, also shared comments f...

Yahoo Life Pop Culture via AOL 12 May 2022

Inflation, supply-chain issues and product recalls lead to ‘unprecedented’ shortage in baby formula....

Baby formula is the latest in a series of products to become scarce on retail shelves. For months...

MarketWatch 10 May 2022

Declining Stock and Solid Fundamentals: Is The Market Wrong About Games Workshop Group PLC...

With its stock down 12% over the past three months, it is easy to disregard Games Workshop Group ...

Simply Wall St. via Yahoo Finance 9 May 2022

Macfarlane Group PLC's (LON:MACF) Stock Has Fared Decently: Is the Market Following Strong...

Most readers would already know that Macfarlane Group's (LON:MACF) stock increased by 2.9% over t...

Simply Wall St. via Yahoo Finance 9 May 2022