ROE most commonly stands for Return on Equity, a key financial metric measuring a company's profitability relative to shareholders' equity. It is calculated as net income divided by average shareholders' equity, often expressed as a percentage, to show how effectively management uses investor funds to generate profits.
In a different context, roe refers to fish eggs, especially when still in the ovarian membrane, commonly eaten as a delicacy like caviar from sturgeon.
Financial Meaning
Return on Equity (ROE) helps investors compare company performance; higher values (e.g., 15-20%) indicate efficient profit generation from equity. The formula can be expanded via DuPont analysis: ROE = (Net Income / Sales) × (Sales / Total Assets) × (Total Assets / Shareholder Equity).
Culinary Meaning
Roe from fish like salmon or shrimp is used in sushi, pasta, or as a standalone food, valued for its briny flavor. It differs from soft roe (milt, or sperm sacs) but both are seafood ingredients.
