Retained Earnings

Retained Earnings = Beginning Retained Earnings + Net Income - Dividends Paid

Generally, higher values are better. Higher values indicate stronger performance, efficiency, or value.

• 1Growing retained earnings indicate value creation and reinvestment.
• 2Compare retained earnings growth to net income to assess dividend policy.
• 3High retained earnings may indicate growth focus or dividend policy.
• 4Consider retained earnings relative to total equity.

Retained earnings represent cumulative profits kept in the business. Growing retained earnings indicate value creation and reinvestment. Compare to net income to understand dividend policy. Companies that retain more earnings may be focused on growth, while those paying dividends return capital to shareholders.

• Cash & Cash Equivalents
• Cash & Short Term Investments
• Short Term Investments
• Total Investments
• Long Term Investments