DISH Network Earnings Perspective: Return On Invested Capital

According to Benzinga Pro, during Q3, DISH Network DISH earned $717.71 million, a 20.85% increase from the preceding quarter. DISH Network's sales decreased to $4.45 billion, a 0.82% change since Q2. DISH Network earned $906.74 million, and sales totaled $4.49 billion in Q2.

What Is Return On Invested Capital?

Return on Invested Capital is a measure of yearly pre-tax profit relative to capital invested by a business. Changes in earnings and sales indicate shifts in a company's ROIC. A higher ROIC is generally representative of successful growth of a company and is a sign of higher earnings per share in the future. A low or negative ROIC suggests the opposite. In Q3, DISH Network posted an ROIC of 2.96%.

Keep in mind, while ROIC is a good measure of a company's recent performance, it is not a highly reliable predictor of a company's earnings or sales in the near future.

Return on Invested Capital is a measure of yearly pre-tax profit relative to capital invested by a business. Changes in earnings and sales indicate shifts in a company's ROIC. A higher ROIC is generally representative of successful growth of a company and is a sign of higher earnings per share in the future. A low or negative ROIC suggests the opposite. In Q3, DISH Network posted an ROIC of 2.96%.

Keep in mind, while ROIC is a good measure of a company's recent performance, it is not a highly reliable predictor of a company's earnings or sales in the near future.

For DISH Network, the positive return on invested capital ratio of 2.96% suggests that management is allocating their capital effectively. Effective capital allocation is a positive indicator that a company will achieve more durable success and favorable long-term returns.

Upcoming Earnings Estimate

DISH Network reported Q3 earnings per share at $0.88/share, which did not meet analyst predictions of $0.91/share.