Lopes, José CarlosNunes, AlcinaGarnacho, Ariana Daniela do Canto2018-04-102018-04-102014Lopes, José; Nunes, Alcina; Garnacho, Ariana (2014). Indicators and ratios that determine the return on equity. In XXIV Jornadas Luso-Espanholas de Gestão Científica. Leiria: Instituto Politécnico de Leiria. ISBN 978-972-8793-66-1978-972-8793-66-1http://hdl.handle.net/10198/16932Concerning the business management, achieving profitability is considered one of the most important business objectives to be considered, allowing the survival of businesses and fostering their growth. Thus, it is fundamental to analyze the company performance regarding the return on equity. In this study, using a sample based on companies listed on the stock markets (components of the Euronext 100 index) and using the Ordinary Least Squares Method, we identified the most relevant financial indicators and ratios that have greater explanatory power on the return on equity. Our findings show that the return on assets, the return on sales and the net income to common stocks are the variables that seem to have the greater explanatory power in determining the return on equity.engReturn on equityIndex euronext 100Financial ratiosFinancial Indicatorsconference object