LMAOW (LMF Acquisition Opportunities) ROC %: -1.30% (As of Jun. 2022)


LMAOW LMF Acquisition Opportunities Inc LMAOW
22 GF Score
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! 2 Warning Signs
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What is LMF Acquisition Opportunities ROC %?

LMF Acquisition Opportunities LMAOW 22 ROC % is -1.30% as of Jun. 2022. GuruFocus rates LMAOW with a GF Score™ of 22/100. 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 %. LMF Acquisition Opportunities's annualized return on capital (ROC %) for the quarter that ended in Jun. 2022 was -1.30%.

As of today (2026-06-25), LMF Acquisition Opportunities's WACC % is 0.00%. LMF Acquisition Opportunities's ROC % is -1.28% (calculated using TTM income statement data). LMF Acquisition Opportunities earns returns that do not match up to its cost of capital. It will destroy value as it grows.

LMF Acquisition Opportunities  (NAS:LMAOW) 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, LMF Acquisition Opportunities's WACC % is 0.00%. LMF Acquisition Opportunities's ROC % is -1.28% (calculated using TTM income statement data). LMF Acquisition Opportunities 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.

LMF Acquisition Opportunities ROC % Related Terms

LMF Acquisition Opportunities ROC % Historical Data

* Premium members only.

The historical data trend for LMF Acquisition Opportunities'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.

LMF Acquisition Opportunities ROC % Chart

LMF Acquisition Opportunities Annual Data
Trend Dec20 Dec21
ROC %
0.00 -2.12

LMF Acquisition Opportunities Quarterly Data
Oct20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
ROC % Get a 7-Day Free Trial -0.79 -1.55 -1.42 -0.83 -1.30
LMAOW
22GF Score
LMF Acquisition Opportunities Inc LMAOW
ROC % is just one metric. See GF Score™, valuation, warning signs, and more.
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LMF Acquisition Opportunities ROC % Calculation

LMF Acquisition Opportunities's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2021 is calculated as:

ROC % (A: Dec. 2021 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2020 ) + Invested Capital (A: Dec. 2021 ))/ count )
=-1.122 * ( 1 - 0% )/( (0.357 + 105.581)/ 2 )
=-1.122/52.969
=-2.12 %

where

Invested Capital(A: Dec. 2020 )
=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))
=0.269 - 0.123 - ( 0.038 - max(0, 0.249 - 0.038+0.038))
=0.357

Invested Capital(A: Dec. 2021 )
=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))
=105.934 - 0.377 - ( 0.052 - max(0, 0.377 - 0.353+0.052))
=105.581

LMF Acquisition Opportunities's annualized Return on Capital (ROC %) for the quarter that ended in Jun. 2022 is calculated as:

ROC % (Q: Jun. 2022 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2022 ) + Invested Capital (Q: Jun. 2022 ))/ count )
=-1.368 * ( 1 - 0% )/( (105.564 + 104.839)/ 2 )
=-1.368/105.2015
=-1.30 %

where

Invested Capital(Q: Mar. 2022 )
=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))
=105.961 - 0.309 - ( 0.088 - max(0, 7.571 - 105.961+0.088))
=105.564

Invested Capital(Q: Jun. 2022 )
=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))
=105.955 - 1.037 - ( 0.079 - max(0, 7.382 - 105.955+0.079))
=104.839

Note: The Operating Income data used here is four times the quarterly (Jun. 2022) 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 -1.30% mean?
LMF Acquisition Opportunities (LMAOW) has a ROC % of -1.30% as of Jun. 2022. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on LMF Acquisition Opportunities and its competitors.
Is LMF Acquisition Opportunities' ROC % too high?
LMF Acquisition Opportunities' current ROC % is -1.30%. Overall, LMF Acquisition Opportunities has a GF Score™ of 22/100, reflecting its overall financial health beyond just this single metric.
How does LMF Acquisition Opportunities' ROC % compare to ENCP and FXCO?
LMF Acquisition Opportunities' ROC % of -1.30% can be compared against companies in the Diversified Financial Services industry. 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 Diversified Financial Services company?
A good ROC % depends on the Diversified Financial Services industry context. 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 LMF Acquisition Opportunities and its competitors. LMF Acquisition Opportunities's current ROC % is -1.30%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LMF Acquisition Opportunities stock overvalued right now?
LMF Acquisition Opportunities (LMAOW) has a current ROC % of -1.30%. The current ROC % is -1.30%. LMF Acquisition Opportunities' overall GF Score™ is 22/100 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 LMF Acquisition Opportunities (LMAOW), the current ROC % is -1.30% as of Jun. 2022. 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.

LMF Acquisition Opportunities Business Description

Address 1200 Platt Street, Suite 1000, Tampa, FL, USA, 33602
LMF Acquisition Opportunities Inc is a blank check company.
22GF Score

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