ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Summerset Group Holdings's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 0.11%.
As of today (2026-06-25), Summerset Group Holdings's WACC % is 5.99%. Summerset Group Holdings's ROC % is 0.07% (calculated using TTM income statement data).
Summerset Group Holdings earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Summerset Group Holdings (ASX:SNZ) 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, Summerset Group Holdings's WACC % is 5.99%. Summerset Group Holdings's ROC % is 0.07% (calculated using TTM income statement data).
Summerset Group Holdings 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 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.
Summerset Group Holdings (ASX:SNZ) has a ROC % of 0.11% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Summerset Group Holdings and its competitors.
Is Summerset Group Holdings' ROC % too high?
Summerset Group Holdings' current ROC % is 0.11%. The Healthcare Providers & Services industry median ROC % is 3.06. Summerset Group Holdings' value of 0.11% is 96.4% below this industry median. Overall, Summerset Group Holdings has a GF Score™ of 76/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Summerset Group Holdings' ROC % compare to HCA and THC?
Summerset Group Holdings' ROC % of 0.11% can be compared against companies in the Healthcare Providers & Services industry. The industry median ROC % is 3.06. Summerset Group Holdings' value of 0.11% is 96.4% below 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 a Healthcare Providers & Services company?
The median ROC % among Healthcare Providers & Services companies is 3.06, based on 671 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. Summerset Group Holdings's current ROC % of 0.11% is 96.4% below 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 Summerset Group Holdings and its competitors. For the Healthcare Providers & Services industry, the median ROC % is 3.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Summerset Group Holdings's current ROC % is 0.11%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Summerset Group Holdings stock overvalued right now?
Based on GuruFocus' analysis, Summerset Group Holdings (ASX:SNZ) is currently considered Possible Value Trap. The stock's GF Value™ is A$12.47, compared to a current price of A$7.02 — trading 43.7% below its estimated fair value. The current ROC % is 0.11% and 96.4% below the Healthcare Providers & Services industry median of 3.06. Summerset Group Holdings' overall GF Score™ is 76/100 with 8 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 Summerset Group Holdings (ASX:SNZ), the current ROC % is 0.11% 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.
Is Summerset Group Holdings (ASX:SNZ) Overvalued in 2026?
Based on GuruFocus' analysis, Summerset Group Holdings stock appears to be undervalued.
The current stock price of A$7.02 is trading 43.7% below its estimated GF Value™ of A$12.47.
GuruFocus considers Summerset Group Holdings to be Possible Value Trap.
Key valuation signals for ASX:SNZ:
ROC %: 0.11%
GF Value™: A$12.47 vs. price of A$7.02 (43.7% below fair value)
Industry Position: 96.4% below the Healthcare Providers & Services median
No single metric tells the full story. See the ASX:SNZ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Summerset Group Holdings Ltd develops, owns, and operates integrated retirement villages. The company receives a majority of its revenue from the New Zealand Ministry of Health, which subsidizes fees for eligible aged-care residents. Its revenue is mainly derived from care fees and village services income. Summerset provides a range of care for its residents, including in-home care and 24-hour medical care centers. In addition to its independent-living villas and apartments, Summerset offers supported-living residences, which include assistance with daily activities like shopping and housekeeping.
76GF Score
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