ALID (Allied) ROC %: -26.02% (As of Nov. 2024)

What is Allied ROC %?

Allied ALID -99.80% ROC % is -26.02% as of Nov. 2024.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Allied's annualized return on capital (ROC %) for the quarter that ended in Nov. 2024 was -26.02%.

As of today (2026-06-26), Allied's WACC % is 0.00%. Allied's ROC % is 0.00% (calculated using TTM income statement data). Allied earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Allied (OTCPK:ALID) 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, Allied's WACC % is 0.00%. Allied's ROC % is 0.00% (calculated using TTM income statement data). Allied 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.

Allied ROC % Related Terms

Allied ROC % Historical Data

* Premium members only.

The historical data trend for Allied'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.

Allied ROC % Chart

Allied Annual Data

Trend

Mar18

Mar19

Aug20

Aug21

Aug22

Aug23

Aug24

ROC %

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-38.31

-88.49

-171.47

-81.23

-37.24

Allied Quarterly Data
	Feb20	May20	Aug20	Nov20	Feb21	May21	Aug21	Nov21	Feb22	May22	Aug22	Nov22	Feb23	May23	Aug23	Nov23	Feb24	May24	Aug24	Nov24
ROC %	Get a 7-Day Free Trial															-36.41	-35.28	-36.80	-40.32	-26.02

Allied ROC % Calculation

Allied's annualized Return on Capital (ROC %) for the fiscal year that ended in Aug. 2024 is calculated as:

	ROC % (A: Aug. 2024 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Aug. 2023 )	+	Invested Capital (A: Aug. 2024 ))	/ count )
=	-2.839 * ( 1 - 0% )	/	( (7.356	+	7.892)	/ 2 )
=	-2.839	/	7.624
=	-37.24 %

where

	Invested Capital		(A: Aug. 2023 )
=	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	))
=	2.064	-	3.087	-	( 0.21	-	max(0, 8.85	-	0.471	+	0.21	))
=	7.356

	Invested Capital		(A: Aug. 2024 )
=	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	))
=	2.115	-	3.057	-	( 0.359	-	max(0, 9.548	-	0.714	+	0.359	))
=	7.892

Allied's annualized Return on Capital (ROC %) for the quarter that ended in Nov. 2024 is calculated as:

	ROC % (Q: Nov. 2024 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Aug. 2024 )	+	Invested Capital (Q: Nov. 2024 ))	/ count )
=	-2.06 * ( 1 - 0% )	/	( (7.892	+	7.945)	/ 2 )
=	-2.06	/	7.9185
=	-26.02 %

where

	Invested Capital		(Q: Aug. 2024 )
=	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	))
=	2.115	-	3.057	-	( 0.359	-	max(0, 9.548	-	0.714	+	0.359	))
=	7.892

	Invested Capital		(Q: Nov. 2024 )
=	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	))
=	1.951	-	2.881	-	( 0.195	-	max(0, 9.487	-	0.612	+	0.195	))
=	7.945

Note: The Operating Income data used here is four times the quarterly (Nov. 2024) data. The tax rate is limited to between 0% and 100%.

Frequently Asked Questions Learn more about ROC % →

What does a ROC % of -26.02% mean?

Allied (ALID) has a ROC % of -26.02% as of Nov. 2024. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Allied and its competitors.

Is Allied's ROC % too high?

Allied's current ROC % is -26.02%.

How does Allied's ROC % compare to CBDY and PLSH?

Allied's ROC % of -26.02% can be compared against companies in the Drug Manufacturers industry. The industry median ROC % is 4.44. 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 Drug Manufacturers company?

The median ROC % among Drug Manufacturers companies is 4.44, based on 985 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 Allied and its competitors. For the Drug Manufacturers industry, the median ROC % is 4.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Allied's current ROC % is -26.02%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Allied stock overvalued right now?

Allied (ALID) has a current ROC % of -26.02%. The current ROC % is -26.02%. 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 Allied (ALID), the current ROC % is -26.02% as of Nov. 2024. 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.

Allied Business Description

Industry Healthcare Drug Manufacturers

Comparable Companies CBDY PLSH STEK AKAN PTPI NXEN KAYS GCAND SKYI OWPC ZTS XTER:MRK NSE:SUNPHARMA TSE:4502 XSWX:GALD LSE:HLN XSWX:SDZ HKSE:03692 XTAE:TEVA SHSE:688506

Address 460 Doyle Avenue, Suite 200, Kelowna, BC, CAN, V1Y OC2

Website https://www.allied.health

Allied Corp is an international cannabis company with a mission to help people suffering from Post-Traumatic Stress Disorder (PTSD) by researching, creating, and producing targeted cannabinoid health solutions. The company uses an evidence-informed scientific approach to make this mission possible through cutting-edge pharmaceutical research and development, plant-based production, and the development of therapeutic products. The company operates in two segments, which include Allied and Allied Colombia. Its geographical segments consist of Colombia and Canada. The company's revenue is comprised of sales of cannabis products.