ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Cambium Bio's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was -130.16%.
As of today (2026-06-26), Cambium Bio's WACC % is 12.46%. Cambium Bio's ROC % is -152.14% (calculated using TTM income statement data).
Cambium Bio earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Cambium Bio (ASX:CMB) 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, Cambium Bio's WACC % is 12.46%. Cambium Bio's ROC % is -152.14% (calculated using TTM income statement data).
Cambium Bio 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.
Cambium Bio ROC % Related Terms
Cambium Bio ROC % Historical Data
* Premium members only.
The historical data trend for Cambium Bio'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.
Note:
The Operating Income data used here is two times the semi-annual (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.
Cambium Bio (ASX:CMB) has a ROC % of -130.16% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Cambium Bio and its competitors.
Is Cambium Bio's ROC % too high?
Cambium Bio's current ROC % is -130.16%. Overall, Cambium Bio has a GF Score™ of 34/100, reflecting its overall financial health beyond just this single metric.
How does Cambium Bio's ROC % compare to VRTX and REGN?
Cambium Bio's ROC % of -130.16% can be compared against companies in the Biotechnology industry. 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 Biotechnology company?
A good ROC % depends on the Biotechnology industry context. 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 Cambium Bio and its competitors. Cambium Bio's current ROC % is -130.16%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cambium Bio stock overvalued right now?
Cambium Bio (ASX:CMB) has a current ROC % of -130.16%. The current ROC % is -130.16%. Cambium Bio's overall GF Score™ is 34/100 with 4 warning signs to review. 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 Cambium Bio (ASX:CMB), the current ROC % is -130.16% 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.
Cambium Bio Ltd is a clinical-stage regenerative medicine company in Australia. It focuses on the development of biologics for ophthalmology and tissue repair applications. Its technology platform is based on human platelet lysate, which is being leveraged to create a pipeline of novel therapeutics, with a primary focus on ophthalmology. The company's product candidate, Elate Ocular, is being developed to address unmet medical needs in the treatment of dry eye disease. In addition, its stem cell platform, Progenza, is being applied to the development of therapies for knee osteoarthritis and other tissue repair indications.
34GF Score
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