ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Aisha Steel Mills's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was 4.14%.
As of today (2026-06-24), Aisha Steel Mills's WACC % is 7.28%. Aisha Steel Mills's ROC % is 2.01% (calculated using TTM income statement data).
Aisha Steel Mills earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Aisha Steel Mills (KAR:ASL) 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, Aisha Steel Mills's WACC % is 7.28%. Aisha Steel Mills's ROC % is 2.01% (calculated using TTM income statement data).
Aisha Steel Mills 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.
Aisha Steel Mills ROC % Related Terms
Aisha Steel Mills ROC % Historical Data
* Premium members only.
The historical data trend for Aisha Steel Mills'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 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.
Aisha Steel Mills (KAR:ASL) has a ROC % of 4.14% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Aisha Steel Mills and its competitors.
Is Aisha Steel Mills' ROC % too high?
Aisha Steel Mills' current ROC % is 4.14%. The Steel industry median ROC % is 2.61. Aisha Steel Mills' value of 4.14% is 58.6% above this industry median. Overall, Aisha Steel Mills has a GF Score™ of 58/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Aisha Steel Mills' ROC % compare to NUE and STLD?
Aisha Steel Mills' ROC % of 4.14% can be compared against companies in the Steel industry. The industry median ROC % is 2.61. Aisha Steel Mills' value of 4.14% is 58.6% 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 Steel company?
The median ROC % among Steel companies is 2.61, based on 625 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. Aisha Steel Mills's current ROC % of 4.14% is 58.6% 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 Aisha Steel Mills and its competitors. For the Steel industry, the median ROC % is 2.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Aisha Steel Mills's current ROC % is 4.14%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aisha Steel Mills stock overvalued right now?
Based on GuruFocus' analysis, Aisha Steel Mills (KAR:ASL) is currently considered Fairly Valued. The stock's GF Value™ is ₨13.07, compared to a current price of ₨13.37 — trading 2.3% above its estimated fair value. The current ROC % is 4.14% and 58.6% above the Steel industry median of 2.61. Aisha Steel Mills' overall GF Score™ is 58/100 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 Aisha Steel Mills (KAR:ASL), the current ROC % is 4.14% 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 Aisha Steel Mills (KAR:ASL) Overvalued in 2026?
Based on GuruFocus' analysis, Aisha Steel Mills stock appears to be overvalued.
The current stock price of ₨13.37 is trading 2.3% above its estimated GF Value™ of ₨13.07.
GuruFocus considers Aisha Steel Mills to be Fairly Valued.
Key valuation signals for KAR:ASL:
ROC %: 4.14%
GF Value™: ₨13.07 vs. price of ₨13.37 (2.3% above fair value)
No single metric tells the full story. See the KAR:ASL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Aisha Steel Mills Ltd is involved in manufacturing and selling cold rolled steel coils and sheets to the industrial, engineering, and manufacturing industries in Pakistan. Its product offerings include hot-dipped galvanized steel coils, cold-rolled steel coils, and others. The company geographically operates in Pakistan, North America, Middle East, Europe and Asia. The majority of revenue is derived from Pakistan.
58GF Score
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