ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Soma Gold's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was -1.88%.
As of today (2026-07-04), Soma Gold's WACC % is 12.77%. Soma Gold's ROC % is 5.50% (calculated using TTM income statement data).
Soma Gold earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Soma Gold (FRA:8PR1) 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, Soma Gold's WACC % is 12.77%. Soma Gold's ROC % is 5.50% (calculated using TTM income statement data).
Soma Gold 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.
Soma Gold ROC % Related Terms
Soma Gold ROC % Historical Data
* Premium members only.
The historical data trend for Soma Gold'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.
Soma Gold (FRA:8PR1) has a ROC % of -1.88% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Soma Gold and its competitors.
Is Soma Gold's ROC % too high?
Soma Gold's current ROC % is -1.88%. Overall, Soma Gold has a GF Score™ of 36/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Soma Gold's ROC % compare to NEM and AU?
Soma Gold's ROC % of -1.88% can be compared against companies in the Metals & Mining 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 Metals & Mining company?
A good ROC % depends on the Metals & Mining 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 Soma Gold and its competitors. Soma Gold's current ROC % is -1.88%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Soma Gold stock overvalued right now?
Based on GuruFocus' analysis, Soma Gold (FRA:8PR1) is currently considered Fairly Valued. The stock's GF Value™ is €0.41, compared to a current price of €0.41 — trading 0.5% below its estimated fair value. The current ROC % is -1.88%. Soma Gold's overall GF Score™ is 36/100 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 Soma Gold (FRA:8PR1), the current ROC % is -1.88% 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 Soma Gold (FRA:8PR1) Overvalued in 2026?
Based on GuruFocus' analysis, Soma Gold stock appears to be undervalued.
The current stock price of €0.41 is trading 0.5% below its estimated GF Value™ of €0.41.
GuruFocus considers Soma Gold to be Fairly Valued.
Key valuation signals for FRA:8PR1:
ROC %: -1.88%
GF Value™: €0.41 vs. price of €0.41 (0.5% below fair value)
No single metric tells the full story. See the FRA:8PR1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Soma Gold Corp is engaged in the acquisition, exploration, and development of mineral properties. It operates El Bagre Gold Mining Complex. The El Bagre operations consist of a gold processing plant, the La Ye and Los Mangos operating underground gold mines, and the Cordero mine development project. The company produces dore which contains both gold and silver. The dore is further processed to produce refined metals. The company operates in segments: Colombia; Brazil; and Corporate and Others, of which it derives maximum revenue from Columbia.
36GF Score
Get the complete analysis for FRA:8PR1
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:8PR1 has been successfully added to your 
