Does Harvey Norman Holdings Limited’s (ASX:HVN) Weak Fundamentals Mean That The Market Could Correct Its Share Price?
Harvey Norman Holdings’ (ASX:HVN) stock is up by a considerable 31% over the past three months. However, we decided to pay close attention to its weak financials as we are doubtful that the current momentum will keep up, given the scenario. Specifically, we decided to study Harvey Norman Holdings’ ROE in this article.
Return on Equity or ROE is a test of how effectively a company is growing its value and managing investors’ money. In simpler terms, it measures the profitability of a company in relation to shareholder’s equity.
How To Calculate Return On Equity?
The formula for return on equity is:
Return…
