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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 Power Group's annualized return on capital (ROC %) for the quarter that ended in Jun. 2017 was -76.86%.
As of today (2026-08-01), American Power Group's WACC % is 0.00%. American Power Group's ROC % is 0.00% (calculated using TTM income statement data).
American Power Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.
American Power Group (OTCPK:APGI) 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 Power Group's WACC % is 0.00%. American Power Group's ROC % is 0.00% (calculated using TTM income statement data).
American Power Group 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.
* 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.
Note:
The Operating Income data used here is four times the quarterly (Jun. 2017) 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.
American Power Group (APGI) has a ROC % of -76.86% as of Jun. 2017. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on American Power Group and its competitors.
Is American Power Group's ROC % too high?
American Power Group's current ROC % is -76.86%.
How does American Power Group's ROC % compare to TNRG?
American Power Group's ROC % of -76.86% can be compared against companies in the Industrial Products industry. The industry median ROC % is 5.16. 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 5.16, based on 3,032 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 American Power Group and its competitors. For the Industrial Products industry, the median ROC % is 5.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. American Power Group's current ROC % is -76.86%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Power Group stock overvalued right now?
American Power Group (APGI) has a current ROC % of -76.86%. The current ROC % is -76.86%. 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 Power Group (APGI), the current ROC % is -76.86% as of Jun. 2017. 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 Power Group Corp delivers alternative fuel solutions to the heavy-duty truck and stationary power generation industries. The company operates its business through two segments: Dual Fuel Conversions and Natural Gas Liquids Operations. The company offers vehicular and stationary solutions, and dual fuel conversions for marine, mining and rail applications. The company also provides flare capture and recovery services to oil and gas production companies. The geographic markets of the company include the United States and Canada. Geographically, the company receives maximum revenue from the United States.
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