ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. South Port New Zealand's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 17.78%.
As of today (2026-06-26), South Port New Zealand's WACC % is 8.80%. South Port New Zealand's ROC % is 8.75% (calculated using TTM income statement data).
South Port New Zealand earns returns that do not match up to its cost of capital. It will destroy value as it grows.
South Port New Zealand (NZSE:SPN) 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, South Port New Zealand's WACC % is 8.80%. South Port New Zealand's ROC % is 8.75% (calculated using TTM income statement data).
South Port New Zealand 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.
* 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.
South Port New Zealand (NZSE:SPN) has a ROC % of 17.78% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on South Port New Zealand and its competitors.
Is South Port New Zealand's ROC % too high?
South Port New Zealand's current ROC % is 17.78%. The Transportation industry median ROC % is 4.69. South Port New Zealand's value of 17.78% is 279.1% above this industry median. Overall, South Port New Zealand has a GF Score™ of 96/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does South Port New Zealand's ROC % compare to competitors?
South Port New Zealand's ROC % of 17.78% can be compared against companies in the Transportation industry. The industry median ROC % is 4.69. South Port New Zealand's value of 17.78% is 279.1% 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 Transportation company?
The median ROC % among Transportation companies is 4.69, based on 994 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. South Port New Zealand's current ROC % of 17.78% is 279.1% 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 South Port New Zealand and its competitors. For the Transportation industry, the median ROC % is 4.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. South Port New Zealand's current ROC % is 17.78%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is South Port New Zealand stock overvalued right now?
Based on GuruFocus' analysis, South Port New Zealand (NZSE:SPN) is currently considered Fairly Valued. The stock's GF Value™ is NZ$8.41, compared to a current price of NZ$8.45 — trading 0.5% above its estimated fair value. The current ROC % is 17.78% and 279.1% above the Transportation industry median of 4.69. South Port New Zealand's overall GF Score™ is 96/100 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 South Port New Zealand (NZSE:SPN), the current ROC % is 17.78% 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 South Port New Zealand (NZSE:SPN) Overvalued in 2026?
Based on GuruFocus' analysis, South Port New Zealand stock appears to be overvalued.
The current stock price of NZ$8.45 is trading 0.5% above its estimated GF Value™ of NZ$8.41.
GuruFocus considers South Port New Zealand to be Fairly Valued.
Key valuation signals for NZSE:SPN:
ROC %: 17.78%
GF Value™: NZ$8.41 vs. price of NZ$8.45 (0.5% above fair value)
Industry Position: 279.1% above the Transportation median
No single metric tells the full story. See the NZSE:SPN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
South Port New Zealand Ltd offers a wide range of marine services, cargo and container shipping, and on-site warehousing for domestic and international customers. It serves key export and import industries in the Southland region, including aluminium, timber, fisheries, dairy, meat, wood chips, stock food, cement, alumina, fertiliser, and petroleum products. South Port is publicly listed on the New Zealand Stock Exchange and is majority-owned by Environment Southland. It also operates an intermodal freight center to facilitate efficient product distribution within the Southland and Otago regions. The majority of revenue comes from the Cargo and logistics services.
96GF Score
Get the complete analysis for NZSE:SPN
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
NZSE:SPN has been successfully added to your 
