ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Flerie AB's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was -1.59%.
As of today (2026-06-29), Flerie AB's WACC % is -0.40%. Flerie AB's ROC % is -1.10% (calculated using TTM income statement data).
Flerie AB earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Flerie AB (FRA:1NP1) 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, Flerie AB's WACC % is -0.40%. Flerie AB's ROC % is -1.10% (calculated using TTM income statement data).
Flerie AB 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.
Flerie AB ROC % Related Terms
Flerie AB ROC % Historical Data
* Premium members only.
The historical data trend for Flerie AB'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.
Flerie AB (FRA:1NP1) has a ROC % of -1.59% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Flerie AB and its competitors.
Is Flerie AB's ROC % too high?
Flerie AB's current ROC % is -1.59%. Overall, Flerie AB has a GF Score™ of 27/100, reflecting its overall financial health beyond just this single metric.
How does Flerie AB's ROC % compare to VRTX and REGN?
Flerie AB's ROC % of -1.59% 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 Flerie AB and its competitors. Flerie AB's current ROC % is -1.59%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Flerie AB stock overvalued right now?
Flerie AB (FRA:1NP1) has a current ROC % of -1.59%. The current ROC % is -1.59%. Flerie AB's overall GF Score™ is 27/100 with 1 warning sign 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 Flerie AB (FRA:1NP1), the current ROC % is -1.59% 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.
Flerie AB is a pharmaceutical company focusing on immunological diseases with great medical needs for new treatment options. The portfolio of the company includes Immuno-Oncology, metabolic diseases, and biologics development and manufacturing organizations. It operates in two segments The Product Development segment, and The Commercial Growth segment. The Product Development segment consists of early and mid-stage biotech and pharma companies advancing their products and technologies toward clinical proofof-concept and marketing approvals. The Commercial Growth segment consists of companies already selling products or services, showcasing their ability to generate increasing revenues ahead of reaching sustainable profitability.
27GF Score
Get the complete analysis for FRA:1NP1
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
FRA:1NP1 has been successfully added to your 
