GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Vehicles & Parts » Lobo EV Technologies Ltd (NAS:LOBO) » Definitions » ROC %

Lobo EV Technologies (Lobo EV Technologies) ROC % : 0.00% (As of Dec. 2023)


View and export this data going back to 2024. Start your Free Trial

What is Lobo EV Technologies 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 %. Lobo EV Technologies's annualized return on capital (ROC %) for the quarter that ended in Dec. 2023 was 0.00%.

As of today (2024-05-20), Lobo EV Technologies's WACC % is 9.63%. Lobo EV Technologies's ROC % is 0.00% (calculated using TTM income statement data). Lobo EV Technologies earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Lobo EV Technologies ROC % Historical Data

The historical data trend for Lobo EV Technologies'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.

Lobo EV Technologies ROC % Chart

Lobo EV Technologies Annual Data
Trend Dec20 Dec21 Dec22 Dec23
ROC %
24.97 47.90 18.48 7.20

Lobo EV Technologies Quarterly Data
Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
ROC % Get a 7-Day Free Trial - - - - -

Lobo EV Technologies ROC % Calculation

Lobo EV Technologies's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2023 is calculated as:

ROC % (A: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2022 ) + Invested Capital (A: Dec. 2023 ))/ count )
=0.819 * ( 1 - 25.92% )/( (7.471 + 9.392)/ 2 )
=0.6067152/8.4315
=7.20 %

where

Lobo EV Technologies's annualized Return on Capital (ROC %) for the quarter that ended in Dec. 2023 is calculated as:

ROC % (Q: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=0 * ( 1 - % )/( (8.07 + 9.392)/ 2 )
=0/8.731
=0.00 %

where

Note: The Operating Income data used here is four times the quarterly (Dec. 2023) 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.


Lobo EV Technologies  (NAS:LOBO) 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, Lobo EV Technologies's WACC % is 9.63%. Lobo EV Technologies's ROC % is 0.00% (calculated using TTM income statement data). Lobo EV Technologies 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.


Lobo EV Technologies ROC % Related Terms

Thank you for viewing the detailed overview of Lobo EV Technologies's ROC % provided by GuruFocus.com. Please click on the following links to see related term pages.


Lobo EV Technologies (Lobo EV Technologies) Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
Lobo EV Technologies Ltd is an electric vehicles manufacturer and seller company. It design, develop, manufacture and sell e-bicycles, e-mopeds, e-tricycles, and electric off-highway four-wheeled shuttles such as golf carts and mobility scooters for the elderly and disabled persons, also provide automobile information and entertainment software development and design services to customers. The company operates in two operating segments: Electric vehicles and accessories sales, and software royalties and development and design services.

Lobo EV Technologies (Lobo EV Technologies) Headlines