Octopus Digital (KAR:OCTOPUS) ROC %: 0.00% (As of . 20)


KAR:OCTOPUS Octopus Digital Ltd KAR:OCTOPUS
13 GF Score
Price ₨34.26
! 1 Warning Sign
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What is Octopus Digital ROC %?

Octopus Digital KAR:OCTOPUS -2.70% 13 ROC % is 0.00% as of . 20. GuruFocus rates KAR:OCTOPUS with a GF Score™ of 13/100. The stock has 1 warning sign 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 %. Octopus Digital's annualized return on capital (ROC %) for the quarter that ended in . 20 was 0.00%.

As of today (2026-06-30), Octopus Digital's WACC % is 10.06%. Octopus Digital's ROC % is 0.00% (calculated using TTM income statement data). Octopus Digital earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Octopus Digital  (KAR:OCTOPUS) 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, Octopus Digital's WACC % is 10.06%. Octopus Digital's ROC % is 0.00% (calculated using TTM income statement data). Octopus Digital 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.

Octopus Digital ROC % Related Terms

Octopus Digital ROC % Historical Data

* Premium members only.

The historical data trend for Octopus Digital'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.

Octopus Digital ROC % Chart

Octopus Digital Annual Data
Trend
ROC %

Octopus Digital Semi-Annual Data
ROC %
KAR:OCTOPUS
13GF Score
Octopus Digital Ltd KAR:OCTOPUS
ROC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Octopus Digital ROC % Calculation

Octopus Digital's annualized Return on Capital (ROC %) for the fiscal year that ended in . 20 is calculated as:

ROC % (A: . 20 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: . 20 ) + Invested Capital (A: . 20 ))/ count )
= * ( 1 - % )/( ( + )/ )
=/
= %

where

Invested Capital(A: . 20 )
=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))
= - - ( - max(0, - +))
=

Invested Capital(A: . 20 )
=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))
= - - ( - max(0, - +))
=

Octopus Digital's annualized Return on Capital (ROC %) for the quarter that ended in . 20 is calculated as:

ROC % (Q: . 20 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: . 20 ) + Invested Capital (Q: . 20 ))/ count )
= * ( 1 - % )/( ( + )/ )
=/
= %

where

Invested Capital(Q: . 20 )
=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))
= - - ( - max(0, - +))
=

Invested Capital(Q: . 20 )
=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))
= - - ( - max(0, - +))
=

Note: The Operating Income data used here is one times the annual (. 20) 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.

Frequently Asked Questions Learn more about ROC % →
What does a ROC % of 0.00% mean?
Octopus Digital (KAR:OCTOPUS) has a ROC % of 0.00% as of . 20. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Octopus Digital and its competitors.
Is Octopus Digital's ROC % too high?
Octopus Digital's current ROC % is 0.00%. Overall, Octopus Digital has a GF Score™ of 13/100, reflecting its overall financial health beyond just this single metric.
How does Octopus Digital's ROC % compare to MSFT and ORCL?
Octopus Digital's ROC % of 0.00% can be compared against companies in the Software industry. The industry median ROC % is 3.04. 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 Software company?
The median ROC % among Software companies is 3.04, based on 2,826 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 Octopus Digital and its competitors. For the Software industry, the median ROC % is 3.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Octopus Digital's current ROC % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Octopus Digital stock overvalued right now?
Octopus Digital (KAR:OCTOPUS) has a current ROC % of 0.00%. The current ROC % is 0.00%. Octopus Digital's overall GF Score™ is 13/100 with 1 warning sign 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 Octopus Digital (KAR:OCTOPUS), the current ROC % is 0.00% as of . 20. 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.

Octopus Digital Business Description

Address Main Multan Road, 19 km, The Avanceon Building, Satluj Block Green Forts 2, Lahore, PB, PAK, 54660
Octopus Digital Ltd activities includes Development of industrial IoT data platforms; Creation of cloud-based industrial data lakes; Integration of OT, IT, and enterprise data systems; Deployment of artificial intelligence and machine learning solutions; Development of digital twin and asset performance analytics solutions; Implementation of industrial data dashboards and analytics platforms; Digitalization of industrial workflows and operational processes. Its industries are Fleet and vehicles; Infrastructure; Manufacturing; Oil, gas and Energy; Textile and Apparels; and Utilities. The company has presence in Pakistan, Qatar, Dubai, and King of Saudi Arabia.
13GF Score

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ROC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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