Amdocs' ROE and Earnings Growth: A Mixed Bag for Investors

Amdocs' (NASDAQ:DOX) stock price has declined 7% over the past three months, but its fundamentals look decent. The company's return on equity (ROE) is 16%, which is higher than the industry average of 11%. However, Amdocs' earnings have declined 3.3% over the past five years, despite the high ROE. This raises concerns about the company's growth potential, which may be impacted by factors such as high dividend payouts or competitive pressures. The industry has seen an earnings growth of 7.9% in the same period, which is worrisome.