ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Land Securities Group's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was 3.46%.
As of today (2026-06-25), Land Securities Group's WACC % is 7.13%. Land Securities Group's ROC % is 3.53% (calculated using TTM income statement data).
Land Securities Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Land Securities Group (CHIX:LANDl) 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, Land Securities Group's WACC % is 7.13%. Land Securities Group's ROC % is 3.53% (calculated using TTM income statement data).
Land Securities Group 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 (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.
Land Securities Group (CHIX:LANDL) has a ROC % of 3.46% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Land Securities Group and its competitors.
Is Land Securities Group's ROC % too high?
Land Securities Group's current ROC % is 3.46%. The REITs industry median ROC % is 3.74. Land Securities Group's value of 3.46% is 7.5% below this industry median. Overall, Land Securities Group has a GF Score™ of 67/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Land Securities Group's ROC % compare to VICI and WPC?
Land Securities Group's ROC % of 3.46% can be compared against companies in the REITs industry. The industry median ROC % is 3.74. Land Securities Group's value of 3.46% is 7.5% 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. Land Securities Group's current ROC % of 3.46% is 7.5% 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 Land Securities Group 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. Land Securities Group's current ROC % is 3.46%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Land Securities Group stock overvalued right now?
Based on GuruFocus' analysis, Land Securities Group (CHIX:LANDL) is currently considered Fairly Valued. The stock's GF Value™ is £6.22, compared to a current price of £6.57 — trading 5.5% above its estimated fair value. The current ROC % is 3.46% and 7.5% below the REITs industry median of 3.74. Land Securities Group's overall GF Score™ is 67/100 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 Land Securities Group (CHIX:LANDL), the current ROC % is 3.46% 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 Land Securities Group (CHIX:LANDL) Overvalued in 2026?
Based on GuruFocus' analysis, Land Securities Group stock appears to be overvalued.
The current stock price of £6.57 is trading 5.5% above its estimated GF Value™ of £6.22.
GuruFocus considers Land Securities Group to be Fairly Valued.
Key valuation signals for CHIX:LANDL:
ROC %: 3.46%
GF Value™: £6.22 vs. price of £6.57 (5.5% above fair value)
No single metric tells the full story. See the CHIX:LANDL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Land Securities Group PLC is a real estate investment trust engaged in buying, selling, developing, and managing commercial property in the United Kingdom. The company's real estate portfolio is made up of office, retail, and leisure spaces in the London and Greater London regions. Office locations in London's West End, offices in the City of London, and shopping centers comprise the majority of the value of Land Securities' total assets. The company derives nearly all of its revenue in the form of rental income from medium- to long-term leases with tenants. Land Securities' overall net rental income is fairly evenly split between revenue from its London office properties and its retail properties in Greater London. It segments as Office-led, Retail-led, Residential-led and Other assets.
67GF Score
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