ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. PW Medtech Group's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 1.58%.
As of today (2026-06-26), PW Medtech Group's WACC % is 7.31%. PW Medtech Group's ROC % is 2.54% (calculated using TTM income statement data).
PW Medtech Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.
PW Medtech Group (FRA:PWE) 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, PW Medtech Group's WACC % is 7.31%. PW Medtech Group's ROC % is 2.54% (calculated using TTM income statement data).
PW Medtech Group 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.
PW Medtech Group ROC % Related Terms
PW Medtech Group ROC % Historical Data
* Premium members only.
The historical data trend for PW Medtech 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 (Dec. 2025) 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.
PW Medtech Group (FRA:PWE) has a ROC % of 1.58% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on PW Medtech Group and its competitors.
Is PW Medtech Group's ROC % too high?
PW Medtech Group's current ROC % is 1.58%. The Medical Devices & Instruments industry median ROC % is 1.26. PW Medtech Group's value of 1.58% is 25.4% above this industry median. Overall, PW Medtech Group has a GF Score™ of 82/100, reflecting its overall financial health beyond just this single metric.
How does PW Medtech Group's ROC % compare to ISRG and BDX?
PW Medtech Group's ROC % of 1.58% can be compared against companies in the Medical Devices & Instruments industry. The industry median ROC % is 1.26. PW Medtech Group's value of 1.58% is 25.4% 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 Medical Devices & Instruments company?
The median ROC % among Medical Devices & Instruments companies is 1.26, based on 847 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. PW Medtech Group's current ROC % of 1.58% is 25.4% 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 PW Medtech Group and its competitors. For the Medical Devices & Instruments industry, the median ROC % is 1.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PW Medtech Group's current ROC % is 1.58%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PW Medtech Group stock overvalued right now?
PW Medtech Group (FRA:PWE) has a current ROC % of 1.58%. The stock's GF Value™ is €0.13, compared to a current price of €0.11 — trading 15.4% below its estimated fair value. The current ROC % is 1.58% and 25.4% above the Medical Devices & Instruments industry median of 1.26. PW Medtech Group's overall GF Score™ is 82/100 with 5 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 PW Medtech Group (FRA:PWE), the current ROC % is 1.58% as of Dec. 2025. 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 PW Medtech Group (FRA:PWE) Overvalued in 2026?
Based on GuruFocus' analysis, PW Medtech Group stock appears to be undervalued.
The current stock price of €0.11 is trading 15.4% below its estimated GF Value™ of €0.13.
Key valuation signals for FRA:PWE:
ROC %: 1.58%
GF Value™: €0.13 vs. price of €0.11 (15.4% below fair value)
Industry Position: 25.4% above the Medical Devices & Instruments median
No single metric tells the full story. See the FRA:PWE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
PW Medtech Group Ltd is a medical device company focused on China's medical device industry. The Group operates in infusion sets, blood purification products, and regenerative medical biomaterials. Its products include non-PVC-based infusion sets, precision filter infusion sets, light-resistant infusion sets, intravenous cannula products, insulin needles and pens, high flux and low flux hemodialyzers, hemodiafilters, hemoperfutors, and dialysis machines. Its segments are Infusion Set Business, Blood Purification Business, which represents the R&D, manufacturing, and sales of hemodialysis and blood purification medical devices, and Regenerative Medical Biomaterials Business, which generates maximum revenue. Geographically, it operates in China, North America, India and Others.
82GF Score
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