Orient Rental Modaraba (KAR:ORM) ROC %: 0.00% (As of . 20)


KAR:ORM Orient Rental Modaraba KAR:ORM
13 GF Score
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! 2 Warning Signs
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What is Orient Rental Modaraba ROC %?

Orient Rental Modaraba KAR:ORM +1.35% 13 ROC % is 0.00% as of . 20. GuruFocus rates KAR:ORM with a GF Score™ of 13/100. The stock has 2 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 %. Orient Rental Modaraba's annualized return on capital (ROC %) for the quarter that ended in . 20 was 0.00%.

As of today (2026-06-26), Orient Rental Modaraba's WACC % is 10.04%. Orient Rental Modaraba's ROC % is 0.00% (calculated using TTM income statement data). Orient Rental Modaraba earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Orient Rental Modaraba  (KAR:ORM) 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, Orient Rental Modaraba's WACC % is 10.04%. Orient Rental Modaraba's ROC % is 0.00% (calculated using TTM income statement data). Orient Rental Modaraba 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.


Orient Rental Modaraba ROC % Related Terms


Orient Rental Modaraba ROC % Historical Data

* Premium members only.

The historical data trend for Orient Rental Modaraba'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.

Orient Rental Modaraba ROC % Chart

Orient Rental Modaraba Annual Data
Trend
ROC %

Orient Rental Modaraba Semi-Annual Data
ROC %
KAR:ORM
13GF Score
Orient Rental Modaraba KAR:ORM
ROC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Orient Rental Modaraba ROC % Calculation

Orient Rental Modaraba'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

Orient Rental Modaraba'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

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?
Orient Rental Modaraba (KAR:ORM) 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 Orient Rental Modaraba and its competitors.
Is Orient Rental Modaraba's ROC % too high?
Orient Rental Modaraba's current ROC % is 0.00%. Overall, Orient Rental Modaraba has a GF Score™ of 13/100, reflecting its overall financial health beyond just this single metric.
How does Orient Rental Modaraba's ROC % compare to URI and SUNB?
Orient Rental Modaraba's ROC % of 0.00% can be compared against companies in the Business Services industry. The industry median ROC % is 5.93. 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 Business Services company?
The median ROC % among Business Services companies is 5.93, based on 1,075 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 Orient Rental Modaraba and its competitors. For the Business Services industry, the median ROC % is 5.93 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Orient Rental Modaraba'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 Orient Rental Modaraba stock overvalued right now?
Orient Rental Modaraba (KAR:ORM) has a current ROC % of 0.00%. The current ROC % is 0.00%. Orient Rental Modaraba's overall GF Score™ is 13/100 with 2 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 Orient Rental Modaraba (KAR:ORM), 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.

Orient Rental Modaraba Business Description

Address Plot No SC-5, Sector 15, 1st Floor, Sulaiman Centre, Brookes Chowrangi, Korangi Industrial Area, Karachi, PB, PAK
Orient Rental Modaraba is engaged in providing equipment rental solutions, operation, and maintenance services. The equipment for rental includes a fleet of Power Generation Equipment, Commercial Vehicle, Material Handling Equipment and Construction Machinery. The rental solution is provided locally as well as internationally. It is also engaged in providing Operation and Maintenance(O and M) services to customers who own the equipment and require O and M service providers for maintenance.
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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