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FoxWayne Enterprises Acquisition (FoxWayne Enterprises Acquisition) ROC % : -4.72% (As of Sep. 2022)


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What is FoxWayne Enterprises Acquisition ROC %?

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. FoxWayne Enterprises Acquisition's annualized return on capital (ROC %) for the quarter that ended in Sep. 2022 was -4.72%.

As of today (2024-05-26), FoxWayne Enterprises Acquisition's WACC % is 11.23%. FoxWayne Enterprises Acquisition's ROC % is -3.80% (calculated using TTM income statement data). FoxWayne Enterprises Acquisition earns returns that do not match up to its cost of capital. It will destroy value as it grows.

FoxWayne Enterprises Acquisition ROC % Historical Data

The historical data trend for FoxWayne Enterprises Acquisition's ROC % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

FoxWayne Enterprises Acquisition ROC % Chart

FoxWayne Enterprises Acquisition Annual Data
Trend Dec20 Dec21
ROC %
- -6.60

FoxWayne Enterprises Acquisition Quarterly Data
Oct20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22
ROC % Get a 7-Day Free Trial -2.89 -6.72 -1.49 -1.76 -4.72

FoxWayne Enterprises Acquisition ROC % Calculation

FoxWayne Enterprises Acquisition's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2021 is calculated as:

ROC % (A: Dec. 2021 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2020 ) + Invested Capital (A: Dec. 2021 ))/ count )
=-1.922 * ( 1 - 0% )/( (0.19 + 58.081)/ 2 )
=-1.922/29.1355
=-6.60 %

where

Invested Capital(A: Dec. 2020 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=0.153 - 0.094 - ( 0.003 - max(0, 0.134 - 0.003+0.003))
=0.19

Invested Capital(A: Dec. 2021 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=58.146 - 1.342 - ( 0.042 - max(0, 1.342 - 0.065+0.042))
=58.081

FoxWayne Enterprises Acquisition's annualized Return on Capital (ROC %) for the quarter that ended in Sep. 2022 is calculated as:

ROC % (Q: Sep. 2022 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2022 ) + Invested Capital (Q: Sep. 2022 ))/ count )
=-1.752 * ( 1 - 0% )/( (59.483 + 14.767)/ 2 )
=-1.752/37.125
=-4.72 %

where

Invested Capital(Q: Jun. 2022 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=58.514 - 1.172 - ( 0.007 - max(0, 2.207 - 0.066+0.007))
=59.483

Invested Capital(Q: Sep. 2022 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=13.965 - 1.296 - ( 0.201 - max(0, 2.331 - 0.233+0.201))
=14.767

Note: The Operating Income data used here is four times the quarterly (Sep. 2022) data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

FoxWayne Enterprises Acquisition  (NAS:FOXWU) ROC % Explanation

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. The reason book values of debt and equity are used is because the book values are the capital the company received when issuing the debt or receiving the equity investments.

There are four key components to this definition. The first is the use of operating income or EBIT rather than net income in the numerator. The second is the tax adjustment to this operating income or EBIT, computed as a hypothetical tax based on an effective or marginal tax rate. The third is the use of book values for invested capital, rather than market values. The final is the timing difference; the capital invested is from the end of the prior year whereas the operating income or EBIT is the current year's number.

Why is ROC % important?

Because it costs money to raise capital. A firm that generates higher returns on investment than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.

As of today, FoxWayne Enterprises Acquisition's WACC % is 11.23%. FoxWayne Enterprises Acquisition's ROC % is -3.80% (calculated using TTM income statement data). FoxWayne Enterprises Acquisition earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Be Aware

Like ROE % and ROA %, ROC % is calculated with only 12 months of data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

FoxWayne Enterprises Acquisition ROC % Related Terms

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FoxWayne Enterprises Acquisition (FoxWayne Enterprises Acquisition) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Financial Services » Diversified Financial Services » FoxWayne Enterprises Acquisition Corp (NAS:FOXWU) » Definitions » ROC %
Comparable Companies
CPAQ IGNY ESSC DILA ASPA HHGC LAAA MCAF PAFO PPHP GSHN PSTH XAMS:EPIC ASZ CCYC CVII KAHC DWAC IPOF PBAJ
Traded in Other Exchanges
N/A
Address
1 Rockefeller Plaza, Suite 1039, New York, NY, USA, 10020
Website
https://www.foxwayne.com
FoxWayne Enterprises Acquisition Corp is a blank check company.
Executives
Robb Knie director, officer: Chairman and CEO C/O INVENTERGY GLOBAL, INC., 900 EAST HAMILTON AVENUE SUITE 180, CAMPBELL CA 95008
Jonathan Hale Zippin director 1 ROCKEFELLER PLAZA, SUITE 1039, NEW YORK NY 10020
Foxwayne Enterprises Acquisition Sponsor Llc director, 10 percent owner, officer: Chairman and CEO 1 ROCKEFELLER PLAZA, SUITE 1039, NEW YORK NY 10020
Michael Reavey director 1 ROCKEFELLER PLAZA, SUITE 1039, NEW YORK NY 10020
Sundeep Agrawal director 1 ROCKEFELLER PLAZA, SUITE 1039, NEW YORK NY 10020
Jeff Pavell director 1 ROCKEFELLER PLAZA, SUITE 1039, NEW YORK NY 10020

FoxWayne Enterprises Acquisition (FoxWayne Enterprises Acquisition) Headlines

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By PRNewswire PRNewswire • 12-16-2021

FoxWayne Enterprises Acquisition Corp. Announces Pricing of $50,000,000 Initial Public Offering

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FOXWAYNE ENTERPRISES ACQUISITION CORP. ANNOUNCES CHANGE OF SPECIAL MEETING DATE AND INCREASE IN ITS CONTRIBUTION TO THE TRUST ACCOUNT FOR EXTENSION PROPOSAL

By PRNewswire PRNewswire • 11-29-2022

FoxWayne Enterprises Acquisition Corp. Announces Securities to Commence Separate Trading

By PRNewswire PRNewswire • 02-26-2021

Innovative Inhaled Drug Delivery Developer Aerami Therapeutics to Merge with Special Purpose Acquisition Company FoxWayne Enterprises Acquisition Corp. to Become Public Company

By PRNewswire PRNewswire • 12-07-2021

FoxWayne Enterprises Acquisition Corp. Announces Closing of $57,500,000 Initial Public Offering Including Full Exercise of the Underwriters' Over-Allotment Option

By PRNewswire PRNewswire • 01-22-2021