ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Gayatri Projects's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was 3.13%.
As of today (2026-06-29), Gayatri Projects's WACC % is 5.62%. Gayatri Projects's ROC % is -0.75% (calculated using TTM income statement data).
Gayatri Projects earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Gayatri Projects (NSE:GAYAPROJ) 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, Gayatri Projects's WACC % is 5.62%. Gayatri Projects's ROC % is -0.75% (calculated using TTM income statement data).
Gayatri Projects 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.
Gayatri Projects ROC % Related Terms
Gayatri Projects ROC % Historical Data
* Premium members only.
The historical data trend for Gayatri Projects'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.
Gayatri Projects (NSE:GAYAPROJ) has a ROC % of 3.13% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Gayatri Projects and its competitors.
Is Gayatri Projects' ROC % too high?
Gayatri Projects' current ROC % is 3.13%. The Construction industry median ROC % is 4.66. Gayatri Projects' value of 3.13% is 32.8% below this industry median. Overall, Gayatri Projects has a GF Score™ of 41/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Gayatri Projects' ROC % compare to PWR and FIX?
Gayatri Projects' ROC % of 3.13% can be compared against companies in the Construction industry. The industry median ROC % is 4.66. Gayatri Projects' value of 3.13% is 32.8% 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 a Construction company?
The median ROC % among Construction companies is 4.66, based on 1,750 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. Gayatri Projects's current ROC % of 3.13% is 32.8% 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 Gayatri Projects and its competitors. For the Construction industry, the median ROC % is 4.66 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gayatri Projects's current ROC % is 3.13%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gayatri Projects stock overvalued right now?
Based on GuruFocus' analysis, Gayatri Projects (NSE:GAYAPROJ) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹11.73, compared to a current price of ₹21.91 — trading 86.8% above its estimated fair value. The current ROC % is 3.13% and 32.8% below the Construction industry median of 4.66. Gayatri Projects' overall GF Score™ is 41/100 with 6 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 Gayatri Projects (NSE:GAYAPROJ), the current ROC % is 3.13% 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 Gayatri Projects (NSE:GAYAPROJ) Overvalued in 2026?
Based on GuruFocus' analysis, Gayatri Projects stock appears to be overvalued.
The current stock price of ₹21.91 is trading 86.8% above its estimated GF Value™ of ₹11.73.
GuruFocus considers Gayatri Projects to be Significantly Overvalued.
Key valuation signals for NSE:GAYAPROJ:
ROC %: 3.13%
GF Value™: ₹11.73 vs. price of ₹21.91 (86.8% above fair value)
Industry Position: 32.8% below the Construction median
No single metric tells the full story. See the NSE:GAYAPROJ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Gayatri Projects Ltd is an Indian infrastructure company. Its operations predominantly consist of construction and project activities. It executes works in several high-growth sectors within the infrastructure space, such as roads, irrigation, rail, airport development, power, mining, and industrial works. The company also has a presence in EPC (Engineering Procurement and Construction) construction of roads. It generates revenue from construction and contract activities.
41GF Score
Get the complete analysis for NSE:GAYAPROJ
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
NSE:GAYAPROJ has been successfully added to your 
