ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Comet Ridge's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was -1.71%.
As of today (2026-06-27), Comet Ridge's WACC % is 12.68%. Comet Ridge's ROC % is -1.65% (calculated using TTM income statement data).
Comet Ridge earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Comet Ridge (ASX:COI) 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, Comet Ridge's WACC % is 12.68%. Comet Ridge's ROC % is -1.65% (calculated using TTM income statement data).
Comet Ridge 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.
Comet Ridge ROC % Related Terms
Comet Ridge ROC % Historical Data
* Premium members only.
The historical data trend for Comet Ridge'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.
Comet Ridge (ASX:COI) has a ROC % of -1.71% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Comet Ridge and its competitors.
Is Comet Ridge's ROC % too high?
Comet Ridge's current ROC % is -1.71%.
How does Comet Ridge's ROC % compare to COP and EOG?
Comet Ridge's ROC % of -1.71% can be compared against companies in the Oil & Gas industry. The industry median ROC % is 3.63. 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 Oil & Gas company?
The median ROC % among Oil & Gas companies is 3.63, based on 997 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 Comet Ridge and its competitors. For the Oil & Gas industry, the median ROC % is 3.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Comet Ridge's current ROC % is -1.71%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Comet Ridge stock overvalued right now?
Comet Ridge (ASX:COI) has a current ROC % of -1.71%. The current ROC % is -1.71%. 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 Comet Ridge (ASX:COI), the current ROC % is -1.71% 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.
Comet Ridge Ltd is an Australian energy company focused on the development of natural gas for the supply-constrained east coast Australian market. It has tenement interests and a suite of prospective projects in Queensland. The company's flagship Mahalo Gas Hub area (Mahalo Gas Project) consists of high-quality natural gas resources with low CO2 and competitive production costs. The Mahalo Gas Hub contains gross 2P (Reserves) and 2C (Contingent Resources) of 676 Petajoules close to the Gladstone LNG export and domestic market precinct, as well as gas transport infrastructure. Additionally, the company also holds various permits in the eastern part of the Galilee Basin, and an exploration licence (PEL 427), in the northern Gunnedah Basin, New South Wales.
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