Return on Common Equity

Return on Common Equity

A publicly-traded company's earnings (less dividends on preferred shares) divided by the amount of money invested in common stock, expressed as a percentage. This is a measure of how well the company is investing the money invested in it. A high return on common equity indicates that the company is spending wisely and is likely profitable; a low return on common equity indicates the opposite. As a result, high returns on common equity lead to higher stock prices. Some analysts believe that return on common equity is an extremely important indicator in publicly-traded companies' health. See also: Growth stock.
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This lower return on the rate base for 1994 includes a common equity component of 32 percent and a rate of return on common equity of 12.
For each 1 percent change in AGTD's return on common equity,
For 2005, the rate of return on common equity under the EUB formula is 9.
AGTD's return on its rate base for 1994 includes a common equity component of 34 percent and a rate of return on common equity of 12.
For each 1 percent change in AGTD's return on common equity, consolidated net income is expected to change by about $13 million;
5 per cent (equivalent to a rate of return on common equity of 12.
As a result, TransCanada earned a return on common equity for the Canadian Mainline of 9.
In its Opinion, the Supreme Court found that the evidence in the record of that case did not support a return on common equity higher than 13.
The decrease is primarily due to lower approved rates of return on common equity applicable to certain of the regulated businesses and dilution associated with the issue of 10.
This increase was offset partially by lower approved rates of return on common equity applicable to certain of the regulated businesses.
Under the ruling, the company now may accelerate amortization of ADITC in years when the company's consolidated year-end return on common equity falls below 11.
Union Gas has received approval from the Ontario Energy Board (OEB) to continue with existing rates for 1996 based on a rate of return on common equity of 11.
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