ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Tecan Group AG's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 3.47%.
As of today (2026-07-05), Tecan Group AG's WACC % is 7.57%. Tecan Group AG's ROC % is 3.15% (calculated using TTM income statement data).
Tecan Group AG earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Tecan Group AG (LTS:0QLN) 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, Tecan Group AG's WACC % is 7.57%. Tecan Group AG's ROC % is 3.15% (calculated using TTM income statement data).
Tecan Group AG 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.
Tecan Group AG ROC % Related Terms
Tecan Group AG ROC % Historical Data
* Premium members only.
The historical data trend for Tecan Group AG'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 two times the semi-annual (Dec. 2025) 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.
Tecan Group AG (LTS:0QLN) has a ROC % of 3.47% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Tecan Group AG and its competitors.
Is Tecan Group AG's ROC % too high?
Tecan Group AG's current ROC % is 3.47%. The Medical Devices & Instruments industry median ROC % is 1.26. Tecan Group AG's value of 3.47% is 176.5% above this industry median. Overall, Tecan Group AG has a GF Score™ of 73/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Tecan Group AG's ROC % compare to ISRG and BDX?
Tecan Group AG's ROC % of 3.47% can be compared against companies in the Medical Devices & Instruments industry. The industry median ROC % is 1.26. Tecan Group AG's value of 3.47% is 176.5% 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 Medical Devices & Instruments company?
The median ROC % among Medical Devices & Instruments companies is 1.26, based on 846 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. Tecan Group AG's current ROC % of 3.47% is 176.5% 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 Tecan Group AG and its competitors. For the Medical Devices & Instruments industry, the median ROC % is 1.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tecan Group AG's current ROC % is 3.47%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tecan Group AG stock overvalued right now?
Based on GuruFocus' analysis, Tecan Group AG (LTS:0QLN) is currently considered Modestly Undervalued. The stock's GF Value™ is CHF244.11, compared to a current price of CHF176.73 — trading 27.6% below its estimated fair value. The current ROC % is 3.47% and 176.5% above the Medical Devices & Instruments industry median of 1.26. Tecan Group AG's overall GF Score™ is 73/100 with 8 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 Tecan Group AG (LTS:0QLN), the current ROC % is 3.47% as of Dec. 2025. 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 Tecan Group AG (LTS:0QLN) Overvalued in 2026?
Based on GuruFocus' analysis, Tecan Group AG stock appears to be undervalued.
The current stock price of CHF176.73 is trading 27.6% below its estimated GF Value™ of CHF244.11.
GuruFocus considers Tecan Group AG to be Modestly Undervalued.
Key valuation signals for LTS:0QLN:
ROC %: 3.47%
GF Value™: CHF244.11 vs. price of CHF176.73 (27.6% below fair value)
Industry Position: 176.5% above the Medical Devices & Instruments median
No single metric tells the full story. See the LTS:0QLN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tecan Group AG sells automated laboratory instruments and solutions for the diagnostics and life sciences research markets. The firm operates in two segments; The Life Sciences Business (end-customer business) segment supplies end users with automated workflow solutions directly. These solutions include laboratory instruments, software packages, application know-how, services, consumables, and spare parts, The partnering Business (OEM business) segment develops and manufactures OEM instruments and components that are distributed by partner companies under their names. A majority proportion of Tecan's revenue is generated in the Americas and Europe followed by Asia Specific.
73GF Score
Get the complete analysis for LTS:0QLN
ROC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
LTS:0QLN has been successfully added to your 
