ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. S.P. Korolev Rocket and Space Public Energia OJC's annualized return on capital (ROC %) for the quarter that ended in Jun. 2023 was 0.03%.
S.P. Korolev Rocket and Space Public Energia OJC (MIC:RKKE) 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, S.P. Korolev Rocket and Space Public Energia OJC's WACC % is 0.00%. S.P. Korolev Rocket and Space Public Energia OJC's ROC % is 0.00% (calculated using TTM income statement data).
S.P. Korolev Rocket and Space Public Energia OJC 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.
S.P. Korolev Rocket and Space Public Energia OJC ROC % Related Terms
S.P. Korolev Rocket and Space Public Energia OJC ROC % Historical Data
* 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.
S.P. Korolev Rocket and Space Public Energia OJC ROC % Chart
S.P. Korolev Rocket and Space Public Energia OJC Annual Data
Note:
The Operating Income data used here is two times the semi-annual (Jun. 2023) 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.
S.P. Korolev Rocket and Space Public Energia OJC (MIC:RKKE) has a ROC % of 0.03% as of Jun. 2023. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on S.P. Korolev Rocket and Space Public Energia OJC and its competitors.
Is S.P. Korolev Rocket and Space Public Energia OJC's ROC % too high?
S.P. Korolev Rocket and Space Public Energia OJC's current ROC % is 0.03%. The Aerospace & Defense industry median ROC % is 4.24. S.P. Korolev Rocket and Space Public Energia OJC's value of 0.03% is 99.3% below this industry median. Overall, S.P. Korolev Rocket and Space Public Energia OJC has a GF Score™ of 17/100, reflecting its overall financial health beyond just this single metric.
How does S.P. Korolev Rocket and Space Public Energia OJC's ROC % compare to RTX and LMT?
S.P. Korolev Rocket and Space Public Energia OJC's ROC % of 0.03% can be compared against companies in the Aerospace & Defense industry. The industry median ROC % is 4.24. S.P. Korolev Rocket and Space Public Energia OJC's value of 0.03% is 99.3% below 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 an Aerospace & Defense company?
The median ROC % among Aerospace & Defense companies is 4.24, based on 354 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. S.P. Korolev Rocket and Space Public Energia OJC's current ROC % of 0.03% is 99.3% below 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 S.P. Korolev Rocket and Space Public Energia OJC and its competitors. For the Aerospace & Defense industry, the median ROC % is 4.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. S.P. Korolev Rocket and Space Public Energia OJC's current ROC % is 0.03%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is S.P. Korolev Rocket and Space Public Energia OJC stock overvalued right now?
S.P. Korolev Rocket and Space Public Energia OJC (MIC:RKKE) has a current ROC % of 0.03%. The current ROC % is 0.03% and 99.3% below the Aerospace & Defense industry median of 4.24. S.P. Korolev Rocket and Space Public Energia OJC's overall GF Score™ is 17/100. 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 S.P. Korolev Rocket and Space Public Energia OJC (MIC:RKKE), the current ROC % is 0.03% as of Jun. 2023. 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.
S.P. Korolev Rocket and Space Public Energia OJC Business Description
S.P. Korolev Rocket and Space Public Corporation Energia OJC engaged in research and development of space technologies. It develops & manufactures operational use of manned space systems, rocket systems, armament & military equipment.
17GF Score
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