ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. BrightSpire Capital's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was 0.71%.
As of today (2026-06-24), BrightSpire Capital's WACC % is 2.92%. BrightSpire Capital's ROC % is 0.54% (calculated using TTM income statement data).
BrightSpire Capital earns returns that do not match up to its cost of capital. It will destroy value as it grows.
BrightSpire Capital (NYSE:BRSP) 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, BrightSpire Capital's WACC % is 2.92%. BrightSpire Capital's ROC % is 0.54% (calculated using TTM income statement data).
BrightSpire Capital 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.
BrightSpire Capital ROC % Related Terms
BrightSpire Capital ROC % Historical Data
* Premium members only.
The historical data trend for BrightSpire Capital'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 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.
BrightSpire Capital (BRSP) has a ROC % of 0.71% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on BrightSpire Capital and its competitors.
Is BrightSpire Capital's ROC % too high?
BrightSpire Capital's current ROC % is 0.71%. The REITs industry median ROC % is 3.74. BrightSpire Capital's value of 0.71% is 81% below this industry median. Overall, BrightSpire Capital has a GF Score™ of 67/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does BrightSpire Capital's ROC % compare to IVR and RWT?
BrightSpire Capital's ROC % of 0.71% can be compared against companies in the REITs industry. The industry median ROC % is 3.74. BrightSpire Capital's value of 0.71% is 81% 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 REITs company?
The median ROC % among REITs companies is 3.74, based on 750 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. BrightSpire Capital's current ROC % of 0.71% is 81% 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 BrightSpire Capital and its competitors. For the REITs industry, the median ROC % is 3.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. BrightSpire Capital's current ROC % is 0.71%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BrightSpire Capital stock overvalued right now?
Based on GuruFocus' analysis, BrightSpire Capital (BRSP) is currently considered Fairly Valued. The stock's GF Value™ is $5.48, compared to a current price of $5.56 — trading 1.4% above its estimated fair value. The current ROC % is 0.71% and 81% below the REITs industry median of 3.74. BrightSpire Capital's overall GF Score™ is 67/100 with 10 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 BrightSpire Capital (BRSP), the current ROC % is 0.71% 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 BrightSpire Capital (BRSP) Overvalued in 2026?
Based on GuruFocus' analysis, BrightSpire Capital stock appears to be overvalued.
The current stock price of $5.56 is trading 1.4% above its estimated GF Value™ of $5.48.
GuruFocus considers BrightSpire Capital to be Fairly Valued.
Key valuation signals for BRSP:
ROC %: 0.71%
GF Value™: $5.48 vs. price of $5.56 (1.4% above fair value)
No single metric tells the full story. See the BRSP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
BrightSpire Capital Inc is an internally-managed commercial real estate credit REIT focused on originating, acquiring, financing and managing a diversified portfolio of commercial real estate debt and net lease real estate investments predominantly in the United States. CRE debt investments consist of first mortgage loans with the objective of generating consistent risk-adjusted returns. The operating segments of the company are Senior and Mezzanine Loans and Preferred Equity, Net Leased and Other Real Estate, Corporate and Other. Geographically, the company generates revenue from the United States.
67GF Score
Get the complete analysis for BRSP
ROC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BRSP has been successfully added to your 
