ELRA (Elray Resources) ROC %: -4.39% (As of Sep. 2018)

What is Elray Resources ROC %?

Elray Resources ELRA ROC % is -4.39% as of Sep. 2018.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Elray Resources's annualized return on capital (ROC %) for the quarter that ended in Sep. 2018 was -4.39%.

As of today (2026-06-24), Elray Resources's WACC % is 0.00%. Elray Resources's ROC % is 0.00% (calculated using TTM income statement data). Elray Resources earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Elray Resources (OTCPK:ELRA) 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, Elray Resources's WACC % is 0.00%. Elray Resources's ROC % is 0.00% (calculated using TTM income statement data). Elray Resources 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.

Elray Resources ROC % Related Terms

Elray Resources ROC % Historical Data

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The historical data trend for Elray Resources'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.

Elray Resources ROC % Chart

Elray Resources Annual Data

Trend

Mar08

Dec09

Dec10

Dec11

Dec12

Dec13

Dec14

Dec15

Dec16

Dec17

ROC %

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-104.16

-60.92

-52.63

-9.92

-13.85

Elray Resources Quarterly Data
	Dec13	Mar14	Jun14	Sep14	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17	Jun17	Sep17	Dec17	Mar18	Jun18	Sep18
ROC %	Get a 7-Day Free Trial															-18.27	-12.15	-16.10	-6.22	-4.39

Elray Resources ROC % Calculation

Elray Resources's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2017 is calculated as:

	ROC % (A: Dec. 2017 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2016 )	+	Invested Capital (A: Dec. 2017 ))	/ count )
=	-0.567 * ( 1 - 0% )	/	( (4.544	+	3.643)	/ 2 )
=	-0.567	/	4.0935
=	-13.85 %

where

	Invested Capital		(A: Dec. 2016 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	0.091	-	5.434	-	( 0.018	-	max(0, 9.965	-	0.078	+	0.018	))
=	4.544

	Invested Capital		(A: Dec. 2017 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	0.255	-	6.998	-	( 0.023	-	max(0, 10.633	-	0.247	+	0.023	))
=	3.643

Elray Resources's annualized Return on Capital (ROC %) for the quarter that ended in Sep. 2018 is calculated as:

	ROC % (Q: Sep. 2018 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2018 )	+	Invested Capital (Q: Sep. 2018 ))	/ count )
=	-0.3 * ( 1 - 0% )	/	( (5.335	+	8.339)	/ 2 )
=	-0.3	/	6.837
=	-4.39 %

where

	Invested Capital		(Q: Jun. 2018 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	0.43	-	6.067	-	( 0.017	-	max(0, 11.376	-	0.404	+	0.017	))
=	5.335

	Invested Capital		(Q: Sep. 2018 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	0.495	-	6.452	-	( 0.018	-	max(0, 14.764	-	0.468	+	0.018	))
=	8.339

Note: The Operating Income data used here is four times the quarterly (Sep. 2018) data. The tax rate is limited to between 0% and 100%.

Frequently Asked Questions Learn more about ROC % →

What does a ROC % of -4.39% mean?

Elray Resources (ELRA) has a ROC % of -4.39% as of Sep. 2018. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Elray Resources and its competitors.

Is Elray Resources' ROC % too high?

Elray Resources' current ROC % is -4.39%.

How does Elray Resources' ROC % compare to GMERD and CGLD?

Elray Resources' ROC % of -4.39% can be compared against companies in the Travel & Leisure industry. The industry median ROC % is 3.74. 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 Travel & Leisure company?

The median ROC % among Travel & Leisure companies is 3.74, based on 833 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 Elray Resources and its competitors. For the Travel & Leisure industry, the median ROC % is 3.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elray Resources's current ROC % is -4.39%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Elray Resources stock overvalued right now?

Elray Resources (ELRA) has a current ROC % of -4.39%. The current ROC % is -4.39%. 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 Elray Resources (ELRA), the current ROC % is -4.39% as of Sep. 2018. 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.

Elray Resources Business Description

Industry Consumer Cyclical Travel & Leisure

Comparable Companies GMERD CGLD BLTO BRVO EGT DDE NWGI CPHC GMBL GPIC INSE WBAI GDEN EVRI JKPTF GCGMF EVVTY SGMS AYA WIMHY

Address 3651 Lindell Road, Suite D131, Las Vegas, NV, USA, 89103

Website https://www.elraygaming.com

Elray Resources Inc offers turnkey e-commerce solutions and provides strategic marketing and consulting services around the world. The company also offers marketing and support services for online gaming businesses.