Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. APT Electronics Co's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 9.48%.
As of today (2026-08-20), APT Electronics Co's WACC % is 8.60%. APT Electronics Co's ROC % is 6.10% (calculated using TTM income statement data).
APT Electronics Co 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, APT Electronics Co's WACC % is 8.60%. APT Electronics Co's ROC % is 6.10% (calculated using TTM income statement data).
APT Electronics 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.
APT Electronics Co ROC % Related Terms
APT Electronics Co ROC % Historical Data
* Premium members only.
The historical data trend for APT Electronics Co'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.
APT Electronics Co (HKSE:02551) has a ROC % of 9.48% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on APT Electronics Co and its competitors.
Is APT Electronics Co's ROC % too high?
APT Electronics Co's current ROC % is 9.48%. The Hardware industry median ROC % is 4.37. APT Electronics Co's value of 9.48% is 117.2% above this industry median. Overall, APT Electronics Co has a GF Score™ of 17/100, reflecting its overall financial health beyond just this single metric.
How does APT Electronics Co's ROC % compare to APH and GLW?
APT Electronics Co's ROC % of 9.48% can be compared against companies in the Hardware industry. The industry median ROC % is 4.37. APT Electronics Co's value of 9.48% is 117.2% 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 Hardware company?
The median ROC % among Hardware companies is 4.37, based on 2,444 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. APT Electronics Co's current ROC % of 9.48% is 117.2% 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 APT Electronics Co and its competitors. For the Hardware industry, the median ROC % is 4.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. APT Electronics Co's current ROC % is 9.48%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is APT Electronics Co stock overvalued right now?
APT Electronics Co (HKSE:02551) has a current ROC % of 9.48%. The current ROC % is 9.48% and 117.2% above the Hardware industry median of 4.37. APT Electronics Co's overall GF Score™ is 17/100 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 APT Electronics Co (HKSE:02551), the current ROC % is 9.48% 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.
APT Electronics Co Ltd provides intelligent vision products and system solutions encompassing intelligent automotive vision, high-end lighting and advance display. Leveraging industry insights and proactive approaches to technological innovation, the company houses a broad array of LED+ technologies that integrate LED technologies with integrated circuits (ICs), electronic control, software, sensors, optics and others. Its energy-efficient and rapidly evolving LED+ technologies further empower its intelligent vision products and systems, enabling the company to penetrate high-value, high-growth markets.
17GF Score
Get the complete analysis for HKSE:02551
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
HKSE:02551 has been successfully added to your 
