ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Nexi SpA's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 4.41%.
As of today (2026-06-25), Nexi SpA's WACC % is 7.83%. Nexi SpA's ROC % is 3.80% (calculated using TTM income statement data).
Nexi SpA earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Nexi SpA (MIL:NEXI) 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, Nexi SpA's WACC % is 7.83%. Nexi SpA's ROC % is 3.80% (calculated using TTM income statement data).
Nexi SpA 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.
Nexi SpA ROC % Related Terms
Nexi SpA ROC % Historical Data
* Premium members only.
The historical data trend for Nexi SpA'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.
Nexi SpA (MIL:NEXI) has a ROC % of 4.41% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Nexi SpA and its competitors.
Is Nexi SpA's ROC % too high?
Nexi SpA's current ROC % is 4.41%. The Software industry median ROC % is 3.12. Nexi SpA's value of 4.41% is 41.3% above this industry median. Overall, Nexi SpA has a GF Score™ of 64/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Nexi SpA's ROC % compare to MSFT and ORCL?
Nexi SpA's ROC % of 4.41% can be compared against companies in the Software industry. The industry median ROC % is 3.12. Nexi SpA's value of 4.41% is 41.3% 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 Software company?
The median ROC % among Software companies is 3.12, based on 2,828 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. Nexi SpA's current ROC % of 4.41% is 41.3% 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 Nexi SpA and its competitors. For the Software industry, the median ROC % is 3.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nexi SpA's current ROC % is 4.41%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nexi SpA stock overvalued right now?
Based on GuruFocus' analysis, Nexi SpA (MIL:NEXI) is currently considered Possible Value Trap. The stock's GF Value™ is €5.28, compared to a current price of €3.51 — trading 33.5% below its estimated fair value. The current ROC % is 4.41% and 41.3% above the Software industry median of 3.12. Nexi SpA's overall GF Score™ is 64/100 with 3 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 Nexi SpA (MIL:NEXI), the current ROC % is 4.41% 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 Nexi SpA (MIL:NEXI) Overvalued in 2026?
Based on GuruFocus' analysis, Nexi SpA stock appears to be undervalued.
The current stock price of €3.51 is trading 33.5% below its estimated GF Value™ of €5.28.
GuruFocus considers Nexi SpA to be Possible Value Trap.
Key valuation signals for MIL:NEXI:
ROC %: 4.41%
GF Value™: €5.28 vs. price of €3.51 (33.5% below fair value)
Industry Position: 41.3% above the Software median
No single metric tells the full story. See the MIL:NEXI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nexi is a payment services provider offering merchant acquiring, card issuing, and digital banking services across Europe. Nexi's services cover the entire payment chain excluding the card scheme. It offers its acquiring and issuing services either in partnerships with banks, providing point-of-sale terminals, processing, or issuing services on their behalf or directly to merchants.
64GF Score
Get the complete analysis for MIL:NEXI
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
MIL:NEXI has been successfully added to your 
