ERGO (Entia Biosciences) ROC %: -179.44% (As of Dec. 2016)


What is Entia Biosciences ROC %?

Entia Biosciences ERGO ROC % is -179.44% as of Dec. 2016.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Entia Biosciences's annualized return on capital (ROC %) for the quarter that ended in Dec. 2016 was -179.44%.

As of today (2026-07-01), Entia Biosciences's WACC % is 0.00%. Entia Biosciences's ROC % is 0.00% (calculated using TTM income statement data). Entia Biosciences earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Entia Biosciences  (OTCPK:ERGO) 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, Entia Biosciences's WACC % is 0.00%. Entia Biosciences's ROC % is 0.00% (calculated using TTM income statement data). Entia Biosciences 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.

Entia Biosciences ROC % Related Terms

Entia Biosciences ROC % Historical Data

* Premium members only.

The historical data trend for Entia Biosciences'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.

Entia Biosciences ROC % Chart

Entia Biosciences Annual Data
Trend Jul07 Jul08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
ROC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -198.71 -357.12 -208.72 -261.04 -150.48

Entia Biosciences Quarterly Data
Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16
ROC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -122.14 -191.32 -222.86 -204.72 -179.44

Entia Biosciences ROC % Calculation

Entia Biosciences's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2016 is calculated as:

ROC % (A: Dec. 2016 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2015 ) + Invested Capital (A: Dec. 2016 ))/ count )
=-1.167 * ( 1 - 0% )/( (0.6 + 0.951)/ 2 )
=-1.167/0.7755
=-150.48 %

where

Invested Capital(A: Dec. 2015 )
=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))
=0.449 - 0.961 - ( 0.024 - max(0, 1.24 - 0.128+0.024))
=0.6

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))
=0.439 - 1.36 - ( 0.076 - max(0, 2.106 - 0.234+0.076))
=0.951

Entia Biosciences's annualized Return on Capital (ROC %) for the quarter that ended in Dec. 2016 is calculated as:

ROC % (Q: Dec. 2016 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2016 ) + Invested Capital (Q: Dec. 2016 ))/ count )
=-1.344 * ( 1 - 0% )/( (0.547 + 0.951)/ 2 )
=-1.344/0.749
=-179.44 %

where

Invested Capital(Q: Sep. 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))
=0.366 - 1.457 - ( 0.002 - max(0, 1.711 - 0.073+0.002))
=0.547

Invested Capital(Q: 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))
=0.439 - 1.36 - ( 0.076 - max(0, 2.106 - 0.234+0.076))
=0.951

Note: The Operating Income data used here is four times the quarterly (Dec. 2016) 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.

Frequently Asked Questions Learn more about ROC % →
What does a ROC % of -179.44% mean?
Entia Biosciences (ERGO) has a ROC % of -179.44% as of Dec. 2016. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Entia Biosciences and its competitors.
Is Entia Biosciences' ROC % too high?
Entia Biosciences' current ROC % is -179.44%.
How does Entia Biosciences' ROC % compare to OBMP and NSPX?
Entia Biosciences' ROC % of -179.44% can be compared against companies in the Biotechnology industry. 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 Biotechnology company?
A good ROC % depends on the Biotechnology industry context. 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 Entia Biosciences and its competitors. Entia Biosciences's current ROC % is -179.44%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Entia Biosciences stock overvalued right now?
Entia Biosciences (ERGO) has a current ROC % of -179.44%. The current ROC % is -179.44%. 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 Entia Biosciences (ERGO), the current ROC % is -179.44% as of Dec. 2016. 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.

Entia Biosciences Business Description

Address 13565 South West Tualatin-Sherwood Road, Suite 800, Sherwood, OR, USA, 97140
Entia Biosciences Inc operates as a biotechnology company, is engaged in the development, production, and distribution of dietary supplements, nutraceuticals, and medical foods products, principally in the United States of America. It market nutraceutical products under the name GROH and SANO directly to the consumers online. It currently offers natural organic nutraceutical mushroom dietary supplement products, ImmuSANO, GlucoSANO, and GROH, which has been designed to nutritionally support hair follicles and nail beds. It derives its revenue from the sale of its GROH line and mushroom-based nutraceutical dietary supplement products and functional ingredients.