ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Himalaya Food International's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was -4.91%.
As of today (2026-07-05), Himalaya Food International's WACC % is 9.03%. Himalaya Food International's ROC % is 0.13% (calculated using TTM income statement data).
Himalaya Food International earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Himalaya Food International (BOM:526899) 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, Himalaya Food International's WACC % is 9.03%. Himalaya Food International's ROC % is 0.13% (calculated using TTM income statement data).
Himalaya Food International 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 (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.
Himalaya Food International (BOM:526899) has a ROC % of -4.91% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Himalaya Food International and its competitors.
Is Himalaya Food International's ROC % too high?
Himalaya Food International's current ROC % is -4.91%. Overall, Himalaya Food International has a GF Score™ of 68/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Himalaya Food International's ROC % compare to ADM and BG?
Himalaya Food International's ROC % of -4.91% can be compared against companies in the Consumer Packaged Goods industry. The industry median ROC % is 5.13. 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 Consumer Packaged Goods company?
The median ROC % among Consumer Packaged Goods companies is 5.13, based on 1,943 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 Himalaya Food International and its competitors. For the Consumer Packaged Goods industry, the median ROC % is 5.13 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Himalaya Food International's current ROC % is -4.91%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Himalaya Food International stock overvalued right now?
Based on GuruFocus' analysis, Himalaya Food International (BOM:526899) is currently considered Fairly Valued. The stock's GF Value™ is ₹9.26, compared to a current price of ₹9.08 — trading 1.9% below its estimated fair value. The current ROC % is -4.91%. Himalaya Food International's overall GF Score™ is 68/100 with 6 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 Himalaya Food International (BOM:526899), the current ROC % is -4.91% 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 Himalaya Food International (BOM:526899) Overvalued in 2026?
Based on GuruFocus' analysis, Himalaya Food International stock appears to be undervalued.
The current stock price of ₹9.08 is trading 1.9% below its estimated GF Value™ of ₹9.26.
GuruFocus considers Himalaya Food International to be Fairly Valued.
Key valuation signals for BOM:526899:
ROC %: -4.91%
GF Value™: ₹9.26 vs. price of ₹9.08 (1.9% below fair value)
No single metric tells the full story. See the BOM:526899 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Himalaya Food International Ltd is a food processing company engaged in growing & processing mushrooms and manufacturing IQF ready-to-eat items. Its product portfolio includes Mushrooms, Dairy, French Fries, Potato Specialty products, Appetizers, Ethnic Indian Snacks, canned products, yogurt smoothies, and Sweets. The company carries business in India and also outside India. Its products are sold under various brands including Himalaya, Himalaya Natural, Bufalabella, Himalaya Fresh, GuiltFree, Finger Food Factory, etc. It has two segments: Agriculture and Processed foods. In Agriculture company produces fresh mushrooms, sale as fresh, chilled, and Processed food- and sells canned mushrooms and frozen Appetizers. Key revenue is generated from processed foods.
68GF Score
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