ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Jeronimo Martins SGPS's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was 5.72%.
As of today (2026-06-25), Jeronimo Martins SGPS's WACC % is 7.90%. Jeronimo Martins SGPS's ROC % is 7.02% (calculated using TTM income statement data).
Jeronimo Martins SGPS 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, Jeronimo Martins SGPS's WACC % is 7.90%. Jeronimo Martins SGPS's ROC % is 7.02% (calculated using TTM income statement data).
Jeronimo Martins SGPS 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 four times the quarterly (Mar. 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.
Jeronimo Martins SGPS (JRONF) has a ROC % of 5.72% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Jeronimo Martins SGPS and its competitors.
Is Jeronimo Martins SGPS's ROC % too high?
Jeronimo Martins SGPS's current ROC % is 5.72%. The Retail - Defensive industry median ROC % is 5.54. Jeronimo Martins SGPS's value of 5.72% is 3.2% above this industry median. Overall, Jeronimo Martins SGPS has a GF Score™ of 93/100, reflecting its overall financial health beyond just this single metric.
How does Jeronimo Martins SGPS's ROC % compare to SYY and USFD?
Jeronimo Martins SGPS's ROC % of 5.72% can be compared against companies in the Retail - Defensive industry. The industry median ROC % is 5.54. Jeronimo Martins SGPS's value of 5.72% is 3.2% 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 Retail - Defensive company?
The median ROC % among Retail - Defensive companies is 5.54, based on 309 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. Jeronimo Martins SGPS's current ROC % of 5.72% is 3.2% 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 Jeronimo Martins SGPS and its competitors. For the Retail - Defensive industry, the median ROC % is 5.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Jeronimo Martins SGPS's current ROC % is 5.72%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Jeronimo Martins SGPS stock overvalued right now?
Jeronimo Martins SGPS (JRONF) has a current ROC % of 5.72%. The stock's GF Value™ is $30.94, compared to a current price of $23.70 — trading 23.4% below its estimated fair value. The current ROC % is 5.72% and 3.2% above the Retail - Defensive industry median of 5.54. Jeronimo Martins SGPS's overall GF Score™ is 93/100 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 Jeronimo Martins SGPS (JRONF), the current ROC % is 5.72% 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.
Is Jeronimo Martins SGPS (JRONF) Overvalued in 2026?
Based on GuruFocus' analysis, Jeronimo Martins SGPS stock appears to be undervalued.
The current stock price of $23.70 is trading 23.4% below its estimated GF Value™ of $30.94.
Key valuation signals for JRONF:
ROC %: 5.72%
GF Value™: $30.94 vs. price of $23.70 (23.4% below fair value)
Industry Position: 3.2% above the Retail - Defensive median
No single metric tells the full story. See the JRONF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Jeronimo Martins SGPS SA is engaged in food distribution business. It operates food retail business in Poland, Portugal, and Colombia. Its business areas include food distribution, Agribusiness, and Specialised retail. Its segments include Portugal Retail: comprises the business unit of JMR (Pingo Doce supermarkets); Portugal Cash & Carry: includes the business unit Recheio; Poland Retail: the business unit which operates under Biedronka banner in this country; Poland Health and Beauty: includes the Hebe banner business unit in Poland, also includes the operations of its subsidiaries in Czechia and Slovakia; Colombia Retail: the business unit which operates under Ara banner; and Others. It derives the majority of the revenue from Poland Retail business segment.
93GF Score
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