13.17
price down icon0.30%   -0.08
 
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Why is Genesis Energy L.P. (GEL) Stock down?

09 Apr, 2024:

Genesis Energy Limited (GEL) stock experienced a decline of 5.11% due to its poor ROE, which disappointed investors' expectation.

  • Low ROE:It is quite clear that Genesis Energy's ROE of $3.6 is rather low. Not just that, even compared to the industry average of 8.7%, the company's ROE is entirely unremarkable.
  • Future outlook: While the company has posted impressive earnings growth 36%, its poor ROE and low earnings retention makes investors doubtful if that growth could continue, if by any chance the business is faced with any sort of risk. With that said, the latest industry analyst forecasts reveal that the company's earnings growth is expected to slow down.
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