ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. GCL Technology Holdings's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 2.42%.
As of today (2026-06-25), GCL Technology Holdings's WACC % is 7.61%. GCL Technology Holdings's ROC % is -1.40% (calculated using TTM income statement data).
GCL Technology Holdings earns returns that do not match up to its cost of capital. It will destroy value as it grows.
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, GCL Technology Holdings's WACC % is 7.61%. GCL Technology Holdings's ROC % is -1.40% (calculated using TTM income statement data).
GCL Technology Holdings 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 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.
GCL Technology Holdings (GCPEF) has a ROC % of 2.42% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on GCL Technology Holdings and its competitors.
Is GCL Technology Holdings' ROC % too high?
GCL Technology Holdings' current ROC % is 2.42%. The Semiconductors industry median ROC % is 3.71. GCL Technology Holdings' value of 2.42% is 34.8% below this industry median. Overall, GCL Technology Holdings has a GF Score™ of 50/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does GCL Technology Holdings' ROC % compare to FSLR and NXT?
GCL Technology Holdings' ROC % of 2.42% can be compared against companies in the Semiconductors industry. The industry median ROC % is 3.71. GCL Technology Holdings' value of 2.42% is 34.8% below 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 3.71, 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. GCL Technology Holdings's current ROC % of 2.42% is 34.8% below 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 GCL Technology Holdings and its competitors. For the Semiconductors industry, the median ROC % is 3.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. GCL Technology Holdings's current ROC % is 2.42%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is GCL Technology Holdings stock overvalued right now?
Based on GuruFocus' analysis, GCL Technology Holdings (GCPEF) is currently considered Modestly Undervalued. The stock's GF Value™ is $0.12, compared to a current price of $0.11 — trading 11.8% below its estimated fair value. The current ROC % is 2.42% and 34.8% below the Semiconductors industry median of 3.71. GCL Technology Holdings' overall GF Score™ is 50/100 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 GCL Technology Holdings (GCPEF), the current ROC % is 2.42% 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 GCL Technology Holdings (GCPEF) Overvalued in 2026?
Based on GuruFocus' analysis, GCL Technology Holdings stock appears to be undervalued.
The current stock price of $0.11 is trading 11.8% below its estimated GF Value™ of $0.12.
GuruFocus considers GCL Technology Holdings to be Modestly Undervalued.
Key valuation signals for GCPEF:
ROC %: 2.42%
GF Value™: $0.12 vs. price of $0.11 (11.8% below fair value)
Industry Position: 34.8% below the Semiconductors median
No single metric tells the full story. See the GCPEF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
GCL Technology Holdings Ltd is an investment holding company. The company principally engaged in the manufacturing and sales of polysilicon and wafers for the solar industry; and the sales of electricity, development and operation of solar projects. It is in manufacturing and the sales of polysilicon and wafers and developing, owning and operation of solar farm. It has two reportable segments Solar material business mainly manufactures and sales of polysilicon and wafer product to companies operating in the solar industry, and Solar farm business operates solar farms located in the USA and the PRC. The majority of revenue comes from Solar material business. It has presence in The PRC, India, Vietnam, USA, and Others, of which majority of revenue comes from The PRC.
50GF Score
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