ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Zhaojin Mining Industry Co's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 14.39%.
As of today (2026-06-25), Zhaojin Mining Industry Co's WACC % is 8.67%. Zhaojin Mining Industry Co's ROC % is 5.42% (calculated using TTM income statement data).
Zhaojin Mining Industry Co earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Zhaojin Mining Industry Co (FRA:ZVL) 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, Zhaojin Mining Industry Co's WACC % is 8.67%. Zhaojin Mining Industry Co's ROC % is 5.42% (calculated using TTM income statement data).
Zhaojin Mining Industry Co 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.
* 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 (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.
Zhaojin Mining Industry Co (FRA:ZVL) has a ROC % of 14.39% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Zhaojin Mining Industry Co and its competitors.
Is Zhaojin Mining Industry Co's ROC % too high?
Zhaojin Mining Industry Co's current ROC % is 14.39%. Overall, Zhaojin Mining Industry Co has a GF Score™ of 89/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Zhaojin Mining Industry Co's ROC % compare to NEM and AU?
Zhaojin Mining Industry Co's ROC % of 14.39% 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 Zhaojin Mining Industry Co and its competitors. Zhaojin Mining Industry Co's current ROC % is 14.39%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zhaojin Mining Industry Co stock overvalued right now?
Based on GuruFocus' analysis, Zhaojin Mining Industry Co (FRA:ZVL) is currently considered Possible Value Trap. The stock's GF Value™ is €3.20, compared to a current price of €2.04 — trading 36.3% below its estimated fair value. The current ROC % is 14.39%. Zhaojin Mining Industry Co's overall GF Score™ is 89/100 with 4 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 Zhaojin Mining Industry Co (FRA:ZVL), the current ROC % is 14.39% 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 Zhaojin Mining Industry Co (FRA:ZVL) Overvalued in 2026?
Based on GuruFocus' analysis, Zhaojin Mining Industry Co stock appears to be undervalued.
The current stock price of €2.04 is trading 36.3% below its estimated GF Value™ of €3.20.
GuruFocus considers Zhaojin Mining Industry Co to be Possible Value Trap.
Key valuation signals for FRA:ZVL:
ROC %: 14.39%
GF Value™: €3.20 vs. price of €2.04 (36.3% below fair value)
No single metric tells the full story. See the FRA:ZVL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zhaojin Mining Industry Co Ltd is engaged in the mining, processing, smelting, and sale of gold and silver products. The company has three reportable operating segments as follows: the Gold operations segment consists of gold mining and smelting operations; the Copper operations segment consists of copper mining and smelting operations; the Others segment comprises, principally, the Group's other investment activities, operation of a finance company, operation and catering services of a hotel, exploration services, engineering design and consulting services, and overseas operations.
89GF Score
Get the complete analysis for FRA:ZVL
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:ZVL has been successfully added to your 
