AKOM (Aerkomm) ROC %: -17.63% (As of Dec. 2025)


What is Aerkomm ROC %?

Aerkomm AKOM ROC % is -17.63% as of Dec. 2025. The stock has 3 warning signs investors should review.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Aerkomm's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was -17.63%.

As of today (2026-06-26), Aerkomm's WACC % is 4.56%. Aerkomm's ROC % is -13.79% (calculated using TTM income statement data). Aerkomm earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Aerkomm  (OTCPK:AKOM) 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, Aerkomm's WACC % is 4.56%. Aerkomm's ROC % is -13.79% (calculated using TTM income statement data). Aerkomm 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.


Aerkomm ROC % Related Terms


Aerkomm ROC % Historical Data

* Premium members only.

The historical data trend for Aerkomm'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.

Aerkomm ROC % Chart

Aerkomm Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -20.55 -16.89 -17.01 -20.36 -13.80

Aerkomm Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
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 -31.49 -11.39 -12.12 -13.92 -17.63

Aerkomm ROC % Calculation

Aerkomm's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2025 is calculated as:

ROC % (A: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2024 ) + Invested Capital (A: Dec. 2025 ))/ count )
=-15.202 * ( 1 - 0% )/( (108.987 + 111.366)/ 2 )
=-15.202/110.1765
=-13.80 %

where

Aerkomm's annualized Return on Capital (ROC %) for the quarter that ended in Dec. 2025 is calculated as:

ROC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2025 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=-19.692 * ( 1 - 0% )/( (112.038 + 111.366)/ 2 )
=-19.692/111.702
=-17.63 %

where

Note: The Operating Income data used here is four times the quarterly (Dec. 2025) 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 -17.63% mean?
Aerkomm (AKOM) has a ROC % of -17.63% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Aerkomm and its competitors.
Is Aerkomm's ROC % too high?
Aerkomm's current ROC % is -17.63%.
How does Aerkomm's ROC % compare to WLAN and MLRT?
Aerkomm's ROC % of -17.63% can be compared against companies in the Hardware industry. The industry median ROC % is 4.12. 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 Hardware company?
The median ROC % among Hardware companies is 4.12, based on 2,444 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. 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 Aerkomm and its competitors. For the Hardware industry, the median ROC % is 4.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Aerkomm's current ROC % is -17.63%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aerkomm stock overvalued right now?
Aerkomm (AKOM) has a current ROC % of -17.63%. The stock's GF Value™ is $2.92, compared to a current price of $0.04 — trading 98.6% below its estimated fair value. The current ROC % is -17.63%. 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 Aerkomm (AKOM), the current ROC % is -17.63% as of Dec. 2025. 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.

Aerkomm Business Description

Address 44043 Fremont Boulevard, Fremont, CA, USA, 94538
Aerkomm Inc is an a development stage satellite communication technology company providing carrier-neutral and software-defined infrastructure to deliver mission-critical, multi-orbit satellite broadband connectivity for the public and private sectors. It offer a range of next-generation technologies that bring high-throughput performance, interoperability and virtualization to provide high performance and resilient end-to-end broadband connectivity to customers in collaboration with satellite or constellation partners and mobile network operators.