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What Negative Return on Equity (ROE) Means to Investors
In the ROE formula, the numerator is net income or the bottom-line profits reported on a firm's income statement. The denominator is equity, or, more specifically, shareholders' equity. When net income is negative, ROE will also be negative.

Read the Full Investopedia Article at:
https://www.msn.com/en-us/money/topstocks/what-negative-return-on-equity-roe-means-to-investors/ar-AA1B6wwT
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