AHGIF (Alternate Health) ROC %: 6.97% (As of Sep. 2019)


What is Alternate Health ROC %?

Alternate Health AHGIF -99.00% ROC % is 6.97% as of Sep. 2019.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Alternate Health's annualized return on capital (ROC %) for the quarter that ended in Sep. 2019 was 6.97%.

As of today (2026-06-25), Alternate Health's WACC % is 0.00%. Alternate Health's ROC % is 0.00% (calculated using TTM income statement data). Alternate Health earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Alternate Health  (OTCPK:AHGIF) 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, Alternate Health's WACC % is 0.00%. Alternate Health's ROC % is 0.00% (calculated using TTM income statement data). Alternate Health 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.

Alternate Health ROC % Related Terms

Alternate Health ROC % Historical Data

* Premium members only.

The historical data trend for Alternate Health'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.

Alternate Health ROC % Chart

Alternate Health Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18
ROC %
0.00 -24.43 -112.04 -330.74 -161.28

Alternate Health Quarterly Data
Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19
ROC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -77.29 -290.58 -152.77 -16.52 6.97

Alternate Health ROC % Calculation

Alternate Health's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2018 is calculated as:

ROC % (A: Dec. 2018 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2017 ) + Invested Capital (A: Dec. 2018 ))/ count )
=-12.407 * ( 1 - 0% )/( (11.856 + 3.53)/ 2 )
=-12.407/7.693
=-161.28 %

where

Invested Capital(A: Dec. 2017 )
=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))
=15.608 - 2.621 - ( 1.131 - max(0, 2.621 - 4.438+1.131))
=11.856

Invested Capital(A: Dec. 2018 )
=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))
=7.154 - 4.08 - ( 2.905 - max(0, 4.08 - 3.624+2.905))
=3.53

Alternate Health's annualized Return on Capital (ROC %) for the quarter that ended in Sep. 2019 is calculated as:

ROC % (Q: Sep. 2019 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2019 ) + Invested Capital (Q: Sep. 2019 ))/ count )
=1.66 * ( 1 - 0% )/( (27.928 + 19.718)/ 2 )
=1.66/23.823
=6.97 %

where

Invested Capital(Q: Jun. 2019 )
=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))
=22.93 - 5.202 - ( 1.513 - max(0, 13.787 - 3.587+1.513))
=27.928

Invested Capital(Q: Sep. 2019 )
=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))
=23.008 - 12.633 - ( 2.118 - max(0, 13.615 - 4.272+2.118))
=19.718

Note: The Operating Income data used here is four times the quarterly (Sep. 2019) data. The tax rate is limited to between 0% and 100%.

* 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.

Frequently Asked Questions Learn more about ROC % →
What does a ROC % of 6.97% mean?
Alternate Health (AHGIF) has a ROC % of 6.97% as of Sep. 2019. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Alternate Health and its competitors.
Is Alternate Health's ROC % too high?
Alternate Health's current ROC % is 6.97%. The Healthcare Providers & Services industry median ROC % is 3.06. Alternate Health's value of 6.97% is 127.8% above this industry median.
How does Alternate Health's ROC % compare to VEEV and CERN?
Alternate Health's ROC % of 6.97% can be compared against companies in the Healthcare Providers & Services industry. The industry median ROC % is 3.06. Alternate Health's value of 6.97% is 127.8% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROC % for a Healthcare Providers & Services company?
The median ROC % among Healthcare Providers & Services companies is 3.06, based on 671 companies in the industry. Companies in the top quartile (top 25%) have a ROC % significantly above this median, while those in the bottom quartile fall well below. However, ROC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Alternate Health's current ROC % of 6.97% is 127.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROC % mean?
A high ROC % can signal that a stock is expensive relative to its fundamentals. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Alternate Health and its competitors. For the Healthcare Providers & Services industry, the median ROC % is 3.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alternate Health's current ROC % is 6.97%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alternate Health stock overvalued right now?
Alternate Health (AHGIF) has a current ROC % of 6.97%. The current ROC % is 6.97% and 127.8% above the Healthcare Providers & Services industry median of 3.06. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROC % calculated?
ROC % is calculated from a company's financial statements. For Alternate Health (AHGIF), the current ROC % is 6.97% as of Sep. 2019. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Alternate Health Business Description

Address 7373 Broadway Street, Suite 307, San Antonio, TX, USA, 78209
Alternate Health Corp is a healthcare company. It uses expertise in technology and data analytics to revolutionize patient care and research in the emerging medical cannabis industry. It offers practice management and controlled substance management software, blood analysis and toxicology labs, clinical research, continuing education programs, nutraceutical products, and security and control services to the medical cannabis industry.