ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Indian Toners & Developers's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was 18.92%.
As of today (2026-07-03), Indian Toners & Developers's WACC % is 10.19%. Indian Toners & Developers's ROC % is 16.41% (calculated using TTM income statement data).
Indian Toners & Developers generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
Indian Toners & Developers (BOM:523586) 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, Indian Toners & Developers's WACC % is 10.19%. Indian Toners & Developers's ROC % is 16.41% (calculated using TTM income statement data).
Indian Toners & Developers generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
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 (Mar. 2026) 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.
Indian Toners & Developers (BOM:523586) has a ROC % of 18.92% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Indian Toners & Developers and its competitors.
Is Indian Toners & Developers' ROC % too high?
Indian Toners & Developers' current ROC % is 18.92%. The Chemicals industry median ROC % is 4.46. Indian Toners & Developers' value of 18.92% is 324.2% above this industry median. Overall, Indian Toners & Developers has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Indian Toners & Developers' ROC % compare to LIN and SHW?
Indian Toners & Developers' ROC % of 18.92% can be compared against companies in the Chemicals industry. The industry median ROC % is 4.46. Indian Toners & Developers' value of 18.92% is 324.2% 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 a Chemicals company?
The median ROC % among Chemicals companies is 4.46, based on 1,580 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. Indian Toners & Developers's current ROC % of 18.92% is 324.2% 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 Indian Toners & Developers and its competitors. For the Chemicals industry, the median ROC % is 4.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Indian Toners & Developers's current ROC % is 18.92%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Indian Toners & Developers stock overvalued right now?
Based on GuruFocus' analysis, Indian Toners & Developers (BOM:523586) is currently considered Fairly Valued. The stock's GF Value™ is ₹301.16, compared to a current price of ₹295.60 — trading 1.8% below its estimated fair value. The current ROC % is 18.92% and 324.2% above the Chemicals industry median of 4.46. Indian Toners & Developers' overall GF Score™ is 80/100 with 1 warning sign 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 Indian Toners & Developers (BOM:523586), the current ROC % is 18.92% as of Mar. 2026. 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 Indian Toners & Developers (BOM:523586) Overvalued in 2026?
Based on GuruFocus' analysis, Indian Toners & Developers stock appears to be undervalued.
The current stock price of ₹295.60 is trading 1.8% below its estimated GF Value™ of ₹301.16.
GuruFocus considers Indian Toners & Developers to be Fairly Valued.
Key valuation signals for BOM:523586:
ROC %: 18.92%
GF Value™: ₹301.16 vs. price of ₹295.60 (1.8% below fair value)
Industry Position: 324.2% above the Chemicals median
No single metric tells the full story. See the BOM:523586 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Indian Toners & Developers Ltd is a manufacturer of toners and developers. The company is engaged in the business of producing and exporting compatible toners for use in laser printers, the new age digital machines, multi-function printers, analogue copiers as well as wide-format printers and copiers. The only reporting segment of the company is a manufacturer of compatible toner. Its geographical segment includes Domestic sales and Export sales. The company's product consists of chemical color toner, laser toner, copier or digital toner, wide format copiers and printer toner and packaging.
80GF Score
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