ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. PJSC Lukoil's annualized return on capital (ROC %) for the quarter that ended in Sep. 2023 was 31.46%.
As of today (2026-06-24), PJSC Lukoil's WACC % is 0.00%. PJSC Lukoil's ROC % is 0.00% (calculated using TTM income statement data).
PJSC Lukoil earns returns that do not match up to its cost of capital. It will destroy value as it grows.
PJSC Lukoil (BUE:LKOD LI) 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, PJSC Lukoil's WACC % is 0.00%. PJSC Lukoil's ROC % is 0.00% (calculated using TTM income statement data).
PJSC Lukoil 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.
PJSC Lukoil ROC % Related Terms
PJSC Lukoil ROC % Historical Data
* Premium members only.
The historical data trend for PJSC Lukoil'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 (Sep. 2023) 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.
PJSC Lukoil (BUE:LKOD LI) has a ROC % of 31.46% as of Sep. 2023. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on PJSC Lukoil and its competitors.
Is PJSC Lukoil's ROC % too high?
PJSC Lukoil's current ROC % is 31.46%. The Oil & Gas industry median ROC % is 3.63. PJSC Lukoil's value of 31.46% is 767.9% above this industry median. Overall, PJSC Lukoil has a GF Score™ of 17/100, reflecting its overall financial health beyond just this single metric.
How does PJSC Lukoil's ROC % compare to XOM and CVX?
PJSC Lukoil's ROC % of 31.46% can be compared against companies in the Oil & Gas industry. The industry median ROC % is 3.63. PJSC Lukoil's value of 31.46% is 767.9% 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 an Oil & Gas company?
The median ROC % among Oil & Gas companies is 3.63, based on 998 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. PJSC Lukoil's current ROC % of 31.46% is 767.9% 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 PJSC Lukoil 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. PJSC Lukoil's current ROC % is 31.46%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PJSC Lukoil stock overvalued right now?
PJSC Lukoil (BUE:LKOD LI) has a current ROC % of 31.46%. The current ROC % is 31.46% and 767.9% above the Oil & Gas industry median of 3.63. PJSC Lukoil's overall GF Score™ is 17/100. 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 PJSC Lukoil (BUE:LKOD LI), the current ROC % is 31.46% as of Sep. 2023. 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.
PJSC Lukoil directs the financial decisions and operations of the main group's subsidiaries. Altogether, Lukoil is an integrated oil company that has exposure to the entire range of activities in the oil and gas cycle from exploration to sales of refined products. Exploration and production activities are conducted with assets located in Russia, Iraq, and Uzbekistan, on offshore and onshore fields. Lukoil brings an array of petroleum products to the market through its refinery unit, including gasoline, medium distillates, dark petroleum products, lubricants, and other related products. Russia constitutes a significant portion of the group's distribution network; however, its products penetrate a number of different markets in Europe and the Americas.
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