AMGY (American Metal & Technology) ROC %: 13.29% (As of Sep. 2010)


What is American Metal & Technology ROC %?

American Metal & Technology AMGY -99.00% ROC % is 13.29% as of Sep. 2010.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. American Metal & Technology's annualized return on capital (ROC %) for the quarter that ended in Sep. 2010 was 13.29%.

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

American Metal & Technology  (OTCPK:AMGY) 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, American Metal & Technology's WACC % is 0.00%. American Metal & Technology's ROC % is 0.00% (calculated using TTM income statement data). American Metal & Technology 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.

American Metal & Technology ROC % Related Terms

American Metal & Technology ROC % Historical Data

* Premium members only.

The historical data trend for American Metal & Technology'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.

American Metal & Technology ROC % Chart

American Metal & Technology Annual Data
Trend Jul00 Jul01 Jul02 Jul03 Jul04 Jul05 Jul06 Dec07 Dec08 Dec09
ROC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -295.24 0.00 32.84 49.03 -9.49

American Metal & Technology Quarterly Data
Oct05 Jan06 Apr06 Jul06 Oct06 Jan07 Apr07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10
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 -14.12 -15.08 -2.88 12.62 13.29

American Metal & Technology ROC % Calculation

American Metal & Technology's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2009 is calculated as:

ROC % (A: Dec. 2009 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2008 ) + Invested Capital (A: Dec. 2009 ))/ count )
=-0.966 * ( 1 - 4.47% )/( (9.218 + 10.225)/ 2 )
=-0.9228198/9.7215
=-9.49 %

where

Invested Capital(A: Dec. 2008 )
=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))
=19.709 - 2.805 - ( 7.686 - max(0, 2.814 - 12.054+7.686))
=9.218

Invested Capital(A: Dec. 2009 )
=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))
=18.362 - 1.622 - ( 6.515 - max(0, 1.682 - 9.995+6.515))
=10.225

American Metal & Technology's annualized Return on Capital (ROC %) for the quarter that ended in Sep. 2010 is calculated as:

ROC % (Q: Sep. 2010 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2010 ) + Invested Capital (Q: Sep. 2010 ))/ count )
=1.904 * ( 1 - 15.2% )/( (11.414 + 12.877)/ 2 )
=1.614592/12.1455
=13.29 %

where

Invested Capital(Q: Jun. 2010 )
=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))
=18.712 - 1.673 - ( 5.625 - max(0, 1.708 - 10.615+5.625))
=11.414

Invested Capital(Q: Sep. 2010 )
=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))
=19.955 - 2.233 - ( 4.845 - max(0, 2.252 - 11.849+4.845))
=12.877

Note: The Operating Income data used here is four times the quarterly (Sep. 2010) 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 13.29% mean?
American Metal & Technology (AMGY) has a ROC % of 13.29% as of Sep. 2010. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on American Metal & Technology and its competitors.
Is American Metal & Technology's ROC % too high?
American Metal & Technology's current ROC % is 13.29%. The Industrial Products industry median ROC % is 5.23. American Metal & Technology's value of 13.29% is 154.4% above this industry median.
How does American Metal & Technology's ROC % compare to competitors?
American Metal & Technology's ROC % of 13.29% can be compared against companies in the Industrial Products industry. The industry median ROC % is 5.23. American Metal & Technology's value of 13.29% is 154.4% 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 an Industrial Products company?
The median ROC % among Industrial Products companies is 5.23, based on 3,040 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. American Metal & Technology's current ROC % of 13.29% is 154.4% 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 American Metal & Technology and its competitors. For the Industrial Products industry, the median ROC % is 5.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. American Metal & Technology's current ROC % is 13.29%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Metal & Technology stock overvalued right now?
American Metal & Technology (AMGY) has a current ROC % of 13.29%. The current ROC % is 13.29% and 154.4% above the Industrial Products industry median of 5.23. 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 American Metal & Technology (AMGY), the current ROC % is 13.29% as of Sep. 2010. 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.

American Metal & Technology Business Description

Address No. 11 Shi Xing Street, Badachu Hi-Tech Zone, Shijingshan District, Beijing, CHN, 100041
American Metal & Technology Inc through its subsidiaries is engaged in precision casting, machining, mold design and manufacturing in the People's Republic of China. It manufacture investment casting and machined products, including valves, pipe fittings, dispensers, machinery spare parts, water treatment parts, automotive and airplane accessories, electronic circuit boards for home appliances and motion controllers, and other equipment parts.