ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Nanoco Group's annualized return on capital (ROC %) for the quarter that ended in Jan. 2026 was 33.60%.
As of today (2026-06-26), Nanoco Group's WACC % is 3.56%. Nanoco Group's ROC % is 6.60% (calculated using TTM income statement data).
Nanoco Group generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
Nanoco Group (FRA:GXG) 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, Nanoco Group's WACC % is 3.56%. Nanoco Group's ROC % is 6.60% (calculated using TTM income statement data).
Nanoco Group generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
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.
Nanoco Group ROC % Related Terms
Nanoco Group ROC % Historical Data
* Premium members only.
The historical data trend for Nanoco Group'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 two times the semi-annual (Jan. 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.
Nanoco Group (FRA:GXG) has a ROC % of 33.60% as of Jan. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Nanoco Group and its competitors.
Is Nanoco Group's ROC % too high?
Nanoco Group's current ROC % is 33.60%. The Semiconductors industry median ROC % is 3.74. Nanoco Group's value of 33.60% is 798.4% above this industry median.
How does Nanoco Group's ROC % compare to LRCX and AMAT?
Nanoco Group's ROC % of 33.60% can be compared against companies in the Semiconductors industry. The industry median ROC % is 3.74. Nanoco Group's value of 33.60% is 798.4% above 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 Semiconductors company?
The median ROC % among Semiconductors companies is 3.74, based on 1,012 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. Nanoco Group's current ROC % of 33.60% is 798.4% above 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 Nanoco Group and its competitors. For the Semiconductors industry, the median ROC % is 3.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nanoco Group's current ROC % is 33.60%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nanoco Group stock overvalued right now?
Based on GuruFocus' analysis, Nanoco Group (FRA:GXG) is currently considered Significantly Undervalued. The stock's GF Value™ is €0.30, compared to a current price of €0.03 — trading 89% below its estimated fair value. The current ROC % is 33.60% and 798.4% above the Semiconductors industry median of 3.74. 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 Nanoco Group (FRA:GXG), the current ROC % is 33.60% as of Jan. 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.
Nanoco Group PLC is a UK-based company which is engaged in research, development, and manufacturing of heavy-metal-free quantum dots and semiconductor nanoparticles. Its products include CFQD quantum dots, Heatwave quantum dots, and nanoparticles which offer the potential for display, lighting, solar and biological imaging applications. The company's revenue comes from joint development agreements, individual project development programs and the sale of quantum dot products. Geographically, the company generates majority of its revenue from its business in South Korea and also has its presence in Taiwan, France, United States, United Kingdom, Japan and other countries.
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