Hey Vinicius! For IHS I actually don't pay attention to ROE. I use ROIC because debt is a very import growth driver for company and ROE does not take it into account. When you look at ROIC they generate over 10% returns on the money they invest which is a good sign. The reason ROE is negative here is the company based on net income is not profitable but when you look at cash flow they are so ROE will be negative until that changes. But like I said this is not a metric I use for IHS. Let me know if you have any more questions on that and I am happy to provide more information!
Kyler. I saw $IHS ROE is negative. Like they are losing equity. Is that something to worry about?
Hey Vinicius! For IHS I actually don't pay attention to ROE. I use ROIC because debt is a very import growth driver for company and ROE does not take it into account. When you look at ROIC they generate over 10% returns on the money they invest which is a good sign. The reason ROE is negative here is the company based on net income is not profitable but when you look at cash flow they are so ROE will be negative until that changes. But like I said this is not a metric I use for IHS. Let me know if you have any more questions on that and I am happy to provide more information!
Thank you!