HGGG (hhgregg) ROC %: -12.10% (As of Mar. 2016)


What is hhgregg ROC %?

hhgregg HGGG ROC % is -12.10% as of Mar. 2016.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. hhgregg's annualized return on capital (ROC %) for the quarter that ended in Mar. 2016 was -12.10%.

As of today (2026-07-08), hhgregg's WACC % is 0.00%. hhgregg's ROC % is 0.00% (calculated using TTM income statement data). hhgregg earns returns that do not match up to its cost of capital. It will destroy value as it grows.

hhgregg  (OTCPK:HGGG) 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, hhgregg's WACC % is 0.00%. hhgregg's ROC % is 0.00% (calculated using TTM income statement data). hhgregg 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.

hhgregg ROC % Related Terms

hhgregg ROC % Historical Data

* Premium members only.

The historical data trend for hhgregg'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.

hhgregg ROC % Chart

hhgregg Annual Data
Trend Mar07 Mar08 Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 Mar15 Mar16
ROC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.37 6.46 0.81 -15.53 -12.10

hhgregg Semi-Annual Data
Mar03 Mar04 Mar05 Mar06 Mar07 Mar08 Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 Mar15 Mar16
ROC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 14.37 6.46 0.81 -15.53 -12.10

hhgregg ROC % Calculation

hhgregg's annualized Return on Capital (ROC %) for the fiscal year that ended in Mar. 2016 is calculated as:

ROC % (A: Mar. 2016 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Mar. 2015 ) + Invested Capital (A: Mar. 2016 ))/ count )
=-30.815 * ( 1 - 0% )/( (278.362 + 230.805)/ 2 )
=-30.815/254.5835
=-12.10 %

where

Invested Capital(A: Mar. 2015 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=467.629 - 158.866 - ( 30.401 - max(0, 214.097 - 328.393+30.401))
=278.362

Invested Capital(A: Mar. 2016 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=385.352 - 150.844 - ( 3.703 - max(0, 194.079 - 293.768+3.703))
=230.805

hhgregg's annualized Return on Capital (ROC %) for the quarter that ended in Mar. 2016 is calculated as:

ROC % (Q: Mar. 2016 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2015 ) + Invested Capital (Q: Mar. 2016 ))/ count )
=-30.815 * ( 1 - 0% )/( (278.362 + 230.805)/ 2 )
=-30.815/254.5835
=-12.10 %

where

Invested Capital(Q: Mar. 2015 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=467.629 - 158.866 - ( 30.401 - max(0, 214.097 - 328.393+30.401))
=278.362

Invested Capital(Q: Mar. 2016 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=385.352 - 150.844 - ( 3.703 - max(0, 194.079 - 293.768+3.703))
=230.805

Note: The Operating Income data used here is one times the annual (Mar. 2016) 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.

Frequently Asked Questions Learn more about ROC % →
What does a ROC % of -12.10% mean?
hhgregg (HGGG) has a ROC % of -12.10% as of Mar. 2016. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on hhgregg and its competitors.
Is hhgregg's ROC % too high?
hhgregg's current ROC % is -12.10%.
How does hhgregg's ROC % compare to POLCQ and ORLY?
hhgregg's ROC % of -12.10% can be compared against companies in the Retail - Cyclical industry. The industry median ROC % is 4.39. 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 Retail - Cyclical company?
The median ROC % among Retail - Cyclical companies is 4.39, based on 1,104 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. 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 hhgregg and its competitors. For the Retail - Cyclical industry, the median ROC % is 4.39 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. hhgregg's current ROC % is -12.10%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is hhgregg stock overvalued right now?
hhgregg (HGGG) has a current ROC % of -12.10%. The current ROC % is -12.10%. 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 hhgregg (HGGG), the current ROC % is -12.10% as of Mar. 2016. 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.

hhgregg Business Description

Address 160 West Carmel Drive, Suite 263, Carmel, IN, USA, 46240
hhgregg Inc is a part of the retail sector. It is a multi-regional retailer which provides an extensive selection of premium appliances, consumer electronics, home products and computers and tablets in its brick-and-mortar stores in the United States via hhgregg.com. The company's sales are categorized into four products; Appliances, which include refrigerators, cooking ranges, dishwashers; Consumer electronics such as 4K and OLED televisions and audio systems; Home Products which include furniture and mattresses and computer systems.