ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Alamos Gold's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was 15.05%.
As of today (2026-06-26), Alamos Gold's WACC % is 13.73%. Alamos Gold's ROC % is 16.44% (calculated using TTM income statement data).
Alamos Gold generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
Alamos Gold (LTS:0UGS) 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, Alamos Gold's WACC % is 13.73%. Alamos Gold's ROC % is 16.44% (calculated using TTM income statement data).
Alamos Gold generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
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.
Alamos Gold ROC % Related Terms
Alamos Gold ROC % Historical Data
* Premium members only.
The historical data trend for Alamos Gold'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.
Alamos Gold (LTS:0UGS) has a ROC % of 15.05% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Alamos Gold and its competitors.
Is Alamos Gold's ROC % too high?
Alamos Gold's current ROC % is 15.05%. Overall, Alamos Gold has a GF Score™ of 94/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Alamos Gold's ROC % compare to NEM and AU?
Alamos Gold's ROC % of 15.05% can be compared against companies in the Metals & Mining 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 Metals & Mining company?
A good ROC % depends on the Metals & Mining 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 Alamos Gold and its competitors. Alamos Gold's current ROC % is 15.05%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alamos Gold stock overvalued right now?
Based on GuruFocus' analysis, Alamos Gold (LTS:0UGS) is currently considered Modestly Undervalued. The stock's GF Value™ is C$50.53, compared to a current price of C$43.92 — trading 13.1% below its estimated fair value. The current ROC % is 15.05%. Alamos Gold's overall GF Score™ is 94/100 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 Alamos Gold (LTS:0UGS), the current ROC % is 15.05% 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 Alamos Gold (LTS:0UGS) Overvalued in 2026?
Based on GuruFocus' analysis, Alamos Gold stock appears to be undervalued.
The current stock price of C$43.92 is trading 13.1% below its estimated GF Value™ of C$50.53.
GuruFocus considers Alamos Gold to be Modestly Undervalued.
Key valuation signals for LTS:0UGS:
ROC %: 15.05%
GF Value™: C$50.53 vs. price of C$43.92 (13.1% below fair value)
No single metric tells the full story. See the LTS:0UGS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Alamos Gold Inc acquires, explores, and produces gold and other precious metals, and operates in two principal geographic areas: Canada and Mexico. The company has three operating segments being Young-Davidson, Island Gold District's operation operates in Canada, and the Mulatos mine operates in Sonora, Mexico. The company generates maximum revenue from the Island Gold District mines.
94GF Score
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