ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Ramdevbaba Solvent's annualized return on capital (ROC %) for the quarter that ended in Mar. 2025 was 5.49%.
As of today (2026-06-28), Ramdevbaba Solvent's WACC % is 7.25%. Ramdevbaba Solvent's ROC % is 5.49% (calculated using TTM income statement data).
Ramdevbaba Solvent earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Ramdevbaba Solvent (NSE:RBS) 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, Ramdevbaba Solvent's WACC % is 7.25%. Ramdevbaba Solvent's ROC % is 5.49% (calculated using TTM income statement data).
Ramdevbaba Solvent 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.
Ramdevbaba Solvent ROC % Related Terms
Ramdevbaba Solvent ROC % Historical Data
* Premium members only.
The historical data trend for Ramdevbaba Solvent'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 one times the annual (Mar. 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.
Ramdevbaba Solvent (NSE:RBS) has a ROC % of 5.49% as of Mar. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Ramdevbaba Solvent and its competitors.
Is Ramdevbaba Solvent's ROC % too high?
Ramdevbaba Solvent's current ROC % is 5.49%. The Consumer Packaged Goods industry median ROC % is 5.13. Ramdevbaba Solvent's value of 5.49% is 7% above this industry median. Overall, Ramdevbaba Solvent has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Ramdevbaba Solvent's ROC % compare to KHC and GIS?
Ramdevbaba Solvent's ROC % of 5.49% can be compared against companies in the Consumer Packaged Goods industry. The industry median ROC % is 5.13. Ramdevbaba Solvent's value of 5.49% is 7% 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 Consumer Packaged Goods company?
The median ROC % among Consumer Packaged Goods companies is 5.13, based on 1,945 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. Ramdevbaba Solvent's current ROC % of 5.49% is 7% 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 Ramdevbaba Solvent and its competitors. For the Consumer Packaged Goods industry, the median ROC % is 5.13 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ramdevbaba Solvent's current ROC % is 5.49%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ramdevbaba Solvent stock overvalued right now?
Ramdevbaba Solvent (NSE:RBS) has a current ROC % of 5.49%. The current ROC % is 5.49% and 7% above the Consumer Packaged Goods industry median of 5.13. Ramdevbaba Solvent's overall GF Score™ is 12/100 with 5 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 Ramdevbaba Solvent (NSE:RBS), the current ROC % is 5.49% as of Mar. 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.
Ramdevbaba Solvent Ltd is engaged in the business of manufacturing, distribution, marketing and selling of Physically Refined Rice Bran Oil. It manufactures and sells Rice Bran Oil to FMCG companies. The company manufactures Rice Bran Oil under its own brands Tulsi and Sehat and sells through distributors who in turn sell to various retailers across Maharashtra. The company also produces De-oiled Rice Bran (DORB), which is a by-product in the extraction of Rice Bran Oil, and sells the same as cattle feed, poultry feed, and fish feed in the States of Maharashtra, Goa, Gujarat, Madhya Pradesh, Andhra Pradesh, Telangana, Karnataka, Kerala and Tamil Nadu. The company generates all of its revenue from the sale of products.
12GF Score
Get the complete analysis for NSE:RBS
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:RBS has been successfully added to your 