IPST (IP Strategy Holdings) ROC %: -10.06% (As of Mar. 2026)

What is IP Strategy Holdings ROC %?

IP Strategy Holdings IPST -11.33% 10 ROC % is -10.06% as of Mar. 2026. GuruFocus rates IPST with a GF Score™ of 10/100. The stock has 6 warning signs investors should review.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. IP Strategy Holdings's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was -10.06%.

As of today (2026-06-26), IP Strategy Holdings's WACC % is 11.30%. IP Strategy Holdings's ROC % is -8.18% (calculated using TTM income statement data). IP Strategy Holdings earns returns that do not match up to its cost of capital. It will destroy value as it grows.

IP Strategy Holdings (NAS:IPST) 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, IP Strategy Holdings's WACC % is 11.30%. IP Strategy Holdings's ROC % is -8.18% (calculated using TTM income statement data). IP Strategy 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.

IP Strategy Holdings ROC % Related Terms

IP Strategy Holdings ROC % Historical Data

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The historical data trend for IP Strategy Holdings'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.

IP Strategy Holdings ROC % Chart

IP Strategy Holdings Annual Data

Trend

Dec21

Dec22

Dec23

Dec24

Dec25

ROC %

-34.07

-38.02

-19.56

-28.05

-17.67

IP Strategy Holdings Quarterly Data
	Dec21	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
ROC %	Get a 7-Day Free Trial											-31.34	-83.56	-1.48	-2.44	-10.06

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IP Strategy Holdings ROC % Calculation

IP Strategy Holdings's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2025 is calculated as:

	ROC % (A: Dec. 2025 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2024 )	+	Invested Capital (A: Dec. 2025 ))	/ count )
=	-12.356 * ( 1 - 0.01% )	/	( (30.224	+	109.632)	/ 2 )
=	-12.3547644	/	69.928
=	-17.67 %

where

	Invested Capital		(A: Dec. 2024 )
=	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	))
=	28	-	7.668	-	( 0.453	-	max(0, 13.812	-	3.92	+	0.453	))
=	30.224

	Invested Capital		(A: Dec. 2025 )
=	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	))
=	108.758	-	5.264	-	( 0.245	-	max(0, 8.885	-	2.747	+	0.245	))
=	109.632

IP Strategy Holdings's annualized Return on Capital (ROC %) for the quarter that ended in Mar. 2026 is calculated as:

	ROC % (Q: Mar. 2026 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Dec. 2025 )	+	Invested Capital (Q: Mar. 2026 ))	/ count )
=	-7.692 * ( 1 - 0% )	/	( (109.632	+	43.252)	/ 2 )
=	-7.692	/	76.442
=	-10.06 %

where

	Invested Capital		(Q: Dec. 2025 )
=	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	))
=	108.758	-	5.264	-	( 0.245	-	max(0, 8.885	-	2.747	+	0.245	))
=	109.632

	Invested Capital		(Q: Mar. 2026 )
=	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	))
=	42.77	-	4.488	-	( 0.093	-	max(0, 8.791	-	3.821	+	0.093	))
=	43.252

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data. The tax rate is limited to between 0% and 100%.

Frequently Asked Questions Learn more about ROC % →

What does a ROC % of -10.06% mean?

IP Strategy Holdings (IPST) has a ROC % of -10.06% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on IP Strategy Holdings and its competitors.

Is IP Strategy Holdings' ROC % too high?

IP Strategy Holdings' current ROC % is -10.06%. Overall, IP Strategy Holdings has a GF Score™ of 10/100, reflecting its overall financial health beyond just this single metric.

How does IP Strategy Holdings' ROC % compare to ABTS and MWAI?

IP Strategy Holdings' ROC % of -10.06% can be compared against companies in the Capital Markets industry. The industry median ROC % is 1.23. 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 Capital Markets company?

The median ROC % among Capital Markets companies is 1.23, based on 694 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 IP Strategy Holdings and its competitors. For the Capital Markets industry, the median ROC % is 1.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. IP Strategy Holdings's current ROC % is -10.06%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is IP Strategy Holdings stock overvalued right now?

IP Strategy Holdings (IPST) has a current ROC % of -10.06%. The current ROC % is -10.06%. IP Strategy Holdings' overall GF Score™ is 10/100 with 6 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 IP Strategy Holdings (IPST), the current ROC % is -10.06% as of Mar. 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.

IP Strategy Holdings Business Description

Industry Financial Services Capital Markets

Comparable Companies ABTS MWAI PMAX WAI LMFA BTMCQ BEGI ITEX MNTR LGHL MS GS SCHW HOOD ASX:MQG SHSE:600030 BSP:BPAC3 SZSE:300059 IBKR SHSE:601211

Address 9668 Bujacich Road, Gig Harbor, WA, USA, 98332

Website https://www.ipstrategy.co

IP Strategy Holdings Inc operate a diversified business centered on digital asset-based infrastructure and intellectual property (IP) management, supplemented by a legacy craft spirits operating segment. The Company provides public market investors with broad exposure to the around $80 trillion programmable intellectual property economy in a regulated equity format. Its treasury reserve of $IP tokens provides direct participation in the Story ecosystem, which enables on-chain registration, licensing, and monetization of intellectual property.

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