Africa Resources AB (NGM:AFRI) ROC %: -2.43% (As of Mar. 2026)

What is Africa Resources AB ROC %?

Africa Resources AB NGM:AFRI +4.00% 28 ROC % is -2.43% as of Mar. 2026. GuruFocus rates NGM:AFRI with a GF Score™ of 28/100 and a GF Value™ of kr0.57 (Possible Value Trap). The stock has 3 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 %. Africa Resources AB's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was -2.43%.

As of today (2026-06-27), Africa Resources AB's WACC % is 4.72%. Africa Resources AB's ROC % is -8.98% (calculated using TTM income statement data). Africa Resources AB earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Africa Resources AB (NGM:AFRI) 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, Africa Resources AB's WACC % is 4.72%. Africa Resources AB's ROC % is -8.98% (calculated using TTM income statement data). Africa Resources AB 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.

Africa Resources AB ROC % Related Terms

Africa Resources AB ROC % Historical Data

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The historical data trend for Africa Resources AB'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.

Africa Resources AB ROC % Chart

Africa Resources AB Annual Data

Trend

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

ROC %

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-7.80

-14.16

-11.54

-8.44

-15.71

Africa Resources AB Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
ROC %	Get a 7-Day Free Trial															-19.99	-12.29	-24.35	-8.47	-2.43

28GF Score

Africa Resources AB NGM:AFRI

ROC % is just one metric. See GF Score™, valuation, warning signs, and more.

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Africa Resources AB ROC % Calculation

Africa Resources AB's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2025 is calculated as:

	ROC % (A: Dec. 2025 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2024 )	+	Invested Capital (A: Dec. 2025 ))	/ count )
=	-1.79 * ( 1 - 0% )	/	( (11.627	+	11.163)	/ 2 )
=	-1.79	/	11.395
=	-15.71 %

where

	Invested Capital		(A: Dec. 2024 )
=	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	))
=	11.73	-	0.463	-	( 0.063	-	max(0, 0.468	-	0.108	+	0.063	))
=	11.627

	Invested Capital		(A: Dec. 2025 )
=	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	))
=	10.204	-	0.474	-	( 0.005	-	max(0, 1.451	-	0.018	+	0.005	))
=	11.163

Africa Resources AB's annualized Return on Capital (ROC %) for the quarter that ended in Mar. 2026 is calculated as:

	ROC % (Q: Mar. 2026 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Dec. 2025 )	+	Invested Capital (Q: Mar. 2026 ))	/ count )
=	-0.536 * ( 1 - 0% )	/	( (11.163	+	33.019)	/ 2 )
=	-0.536	/	22.091
=	-2.43 %

where

	Invested Capital		(Q: Dec. 2025 )
=	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	))
=	10.204	-	0.474	-	( 0.005	-	max(0, 1.451	-	0.018	+	0.005	))
=	11.163

	Invested Capital		(Q: Mar. 2026 )
=	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	))
=	32.243	-	0.637	-	( 0.018	-	max(0, 1.497	-	0.084	+	0.018	))
=	33.019

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%.

Frequently Asked Questions Learn more about ROC % →

What does a ROC % of -2.43% mean?

Africa Resources AB (NGM:AFRI) has a ROC % of -2.43% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Africa Resources AB and its competitors.

Is Africa Resources AB's ROC % too high?

Africa Resources AB's current ROC % is -2.43%. Overall, Africa Resources AB has a GF Score™ of 28/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.

How does Africa Resources AB's ROC % compare to HL?

Africa Resources AB's ROC % of -2.43% 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 Africa Resources AB and its competitors. Africa Resources AB's current ROC % is -2.43%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Africa Resources AB stock overvalued right now?

Based on GuruFocus' analysis, Africa Resources AB (NGM:AFRI) is currently considered Possible Value Trap. The stock's GF Value™ is kr0.57, compared to a current price of kr0.13 — trading 77.2% below its estimated fair value. The current ROC % is -2.43%. Africa Resources AB's overall GF Score™ is 28/100 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 Africa Resources AB (NGM:AFRI), the current ROC % is -2.43% 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 Africa Resources AB (NGM:AFRI) Overvalued in 2026?

Based on GuruFocus' analysis, Africa Resources AB stock appears to be undervalued. The current stock price of kr0.13 is trading 77.2% below its estimated GF Value™ of kr0.57. GuruFocus considers Africa Resources AB to be Possible Value Trap.

Key valuation signals for NGM:AFRI:

ROC %: -2.43%
GF Value™: kr0.57 vs. price of kr0.13 (77.2% below fair value)
GF Score™: 28/100 with 3 warning signs

No single metric tells the full story. See the NGM:AFRI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Africa Resources AB Business Description

Industry Basic Materials Metals & Mining

Comparable Companies NGM:CRUST B XSAT:LOVI NGM:MAHVIE LSE:FRES JSE:VAL ISX:AMMN JSE:IMP HL LIM:BUENAVC1 JSE:SSW TSX:CGG JSE:NPH TSX:TFPM TSXV:ARTG LSE:HOC TSX:PPTA SHSE:600172 ISX:MBMA LIM:PODERC1 SZSE:000711

Address Engelbrektsgatan 7, 1 trp, Stockholm, SWE, 11432

Website http://www.africaresources.se

Africa Resources AB is engaged in exploration and extraction of minerals in Africa. The company is developing projects based on collaborations with local expertise and partners.

28GF Score

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ROC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

kr0.13

Price

kr0.57

GF Value

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