:- (USA)

Not Rated

Market Cap : | Enterprise Value : | P/E (TTM) : | P/B : |
---|

This feature is only available for Premium Members, please sign up for
GuruFocus Premium Membership

7-Day Free Trial Now

7-Day Free Trial Now

**CH** has been successfully added to your Stock Email Alerts list.

You can manage your stock email alerts here.

**CH** has been removed from your Stock Email Alerts list.

Please enter Portfolio Name for new portfolio.

- Summary
- Guru Trades
- 30-Y Financials
- Analysis
- DCF
- Interactive Chart
- Dividend
- Insider
- Ownership
- Headlines
- FilingWiz
- Checklist
- Definitions

Switch to:

(:) ROIC %: 0.00% (As of . 20)

Return on invested capital measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. 's **annualized** return on invested capital (ROIC) for the **quarter** that ended in **. 20** was **0.00%**.

As of **today**, 's WACC % is **%**. 's return on invested capital is **%** (calculated using TTM income statement data).
earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

* Premium members only.

** Annual Data**

** Semi-Annual Data**

ROIC % |

Distribution

* The bar in red indicates where 's ROIC % falls into.

's **annualized** Return on Invested Capital (ROIC) for the **fiscal year** that ended in **. 20** is calculated as:

Return on Invested Capital | (A: . 20 ) | |||||

= | NOPAT | / | Average Invested Capital | |||

= | Operating Income*(1-Tax Rate) | / | ( (Invested Capital (A: . 20 ) | + | Invested Capital (A: . 20 )) | /2) |

= | * ( 1 - % ) | / | ( ( | + | ) | /2) |

= | / | |||||

= | % |

where

Invested Capital | (A: . 20 ) | ||||||||

= | Book Value of Debt | + | Book Value of Equity | - | Cash | ||||

= | Long-Term Debt & Capital Lease Obligation | + | Current Portion of Long-Term Debt | + | Minority Interest | + | Total Stockholders Equity | - | Cash |

= | + | + | + | - | |||||

= |

Invested Capital | (A: . 20 ) | ||||||||

= | Book Value of Debt | + | Book Value of Equity | - | Cash | ||||

= | Long-Term Debt & Capital Lease Obligation | + | Current Portion of Long-Term Debt | + | Minority Interest | + | Total Stockholders Equity | - | Cash |

= | + | + | + | - | |||||

= |

's **annualized** Return on Invested Capital (ROIC) for the **quarter** that ended in **. 20** is calculated as:

Return on Invested Capital | (Q: . 20 ) | |||||

= | NOPAT | / | Average Invested Capital | |||

= | Operating Income*(1-Tax Rate) | / | ( (Invested Capital (Q: . 20 ) | + | Invested Capital (Q: . 20 )) | /2) |

= | * ( 1 - % ) | / | ( ( | + | ) | /2) |

= | / | |||||

= | % |

where

Invested Capital | (Q: . 20 ) | ||||||||

= | Book Value of Debt | + | Book Value of Equity | - | Cash | ||||

= | Long-Term Debt & Capital Lease Obligation | + | Current Portion of Long-Term Debt | + | Minority Interest | + | Total Stockholders Equity | - | Cash |

= | + | + | + | - | |||||

= |

Invested Capital | (Q: {Q1}) | ||||||||

= | Book Value of Debt | + | Book Value of Equity | - | Cash | ||||

= | Long-Term Debt & Capital Lease Obligation | + | Current Portion of Long-Term Debt | + | Minority Interest | + | Total Stockholders Equity | - | Cash |

= | + | + | + | - | |||||

= |

Note:
The Operating Income data used here is **one** times the annual (**. 20**) data.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Return on Invested Capital measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. 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 Return on Capital 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**, 's WACC % is **%**. 's return on invested capital is **%** (calculated using TTM income statement data).

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.

No Headline

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names
| Earn affiliate commissions by embedding GuruFocus Charts

GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GF Chat

{{numOfNotice}}