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ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. China Parenting Network Holdings's annualized return on capital (ROC %) for the quarter that ended in Jun. 2026 was %.
As of today (2026-09-20), China Parenting Network Holdings's WACC % is 19.07%. China Parenting Network Holdings's ROC % is 18.54% (calculated using TTM income statement data).
China Parenting Network Holdings earns returns that do not match up to its cost of capital. It will destroy value as it grows.
China Parenting Network Holdings (HKSE:01736) 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, China Parenting Network Holdings's WACC % is 19.07%. China Parenting Network Holdings's ROC % is 18.54% (calculated using TTM income statement data).
China Parenting Network 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.
China Parenting Network Holdings ROC % Related Terms
China Parenting Network Holdings ROC % Historical Data
* 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 (Jun. 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.
China Parenting Network Holdings (HKSE:01736) has a ROC % of % as of Jun. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on China Parenting Network Holdings and its competitors.
Is China Parenting Network Holdings' ROC % too high?
China Parenting Network Holdings' current ROC % is %. Overall, China Parenting Network Holdings has a GF Score™ of 29/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does China Parenting Network Holdings' ROC % compare to APP and OMC?
China Parenting Network Holdings' ROC % of % can be compared against companies in the Media - Diversified industry. The industry median ROC % is 1.63. 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 Media - Diversified company?
The median ROC % among Media - Diversified companies is 1.63, based on 1,003 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 China Parenting Network Holdings and its competitors. For the Media - Diversified industry, the median ROC % is 1.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Parenting Network Holdings's current ROC % is %. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Parenting Network Holdings stock overvalued right now?
Based on GuruFocus' analysis, China Parenting Network Holdings (HKSE:01736) is currently considered Modestly Undervalued. The stock's GF Value™ is HK$0.48, compared to a current price of HK$0.40 — trading 16.7% below its estimated fair value. The current ROC % is %. China Parenting Network Holdings' overall GF Score™ is 29/100 with 7 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 China Parenting Network Holdings (HKSE:01736), the current ROC % is % as of Jun. 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.
Is China Parenting Network Holdings (HKSE:01736) Overvalued in 2026?
Based on GuruFocus' analysis, China Parenting Network Holdings stock appears to be undervalued.
The current stock price of HK$0.40 is trading 16.7% below its estimated GF Value™ of HK$0.48.
GuruFocus considers China Parenting Network Holdings to be Modestly Undervalued.
Key valuation signals for HKSE:01736:
ROC %: %
GF Value™: HK$0.48 vs. price of HK$0.40 (16.7% below fair value)
No single metric tells the full story. See the HKSE:01736 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China Parenting Network Holdings Ltd is investment holding. The Company is principally engaged in the provision of marketing and promotional services through the Group's platform, including CI Web, mobile CI Web, Mobile Application Software (APPs) and IPTV APPs and sale of goods. The company has two segments Marketing and promotional services, including advertising services, market research services, and software development services; and Sale of goods, including baby care, personal care, and family care products. The company generates majority of revenue from Marketing and promotional services segment. The Group's operations are principally located in Hong Kong and the PRC. The company generates majority of revenue from PRC.
29GF Score
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