PGNT (Paragon Technologies) ROC %: -22.96% (As of Dec. 2008)


What is Paragon Technologies ROC %?

Paragon Technologies PGNT ROC % is -22.96% as of Dec. 2008.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Paragon Technologies's annualized return on capital (ROC %) for the quarter that ended in Dec. 2008 was -22.96%.

As of today (2026-06-27), Paragon Technologies's WACC % is 0.00%. Paragon Technologies's ROC % is 0.00% (calculated using TTM income statement data). Paragon Technologies earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Paragon Technologies  (OTCPK:PGNT) 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, Paragon Technologies's WACC % is 0.00%. Paragon Technologies's ROC % is 0.00% (calculated using TTM income statement data). Paragon Technologies 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.


Paragon Technologies ROC % Related Terms


Paragon Technologies ROC % Historical Data

* Premium members only.

The historical data trend for Paragon Technologies'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.

Paragon Technologies ROC % Chart

Paragon Technologies Annual Data
Trend Feb99 Dec00 Dec01 Dec02 Dec03 Dec04 Dec05 Dec06 Dec07 Dec08
ROC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1.14 -0.88 -18.13 0.00 -31.90

Paragon Technologies Quarterly Data
Mar04 Jun04 Sep04 Dec04 Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08
ROC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -24.05 18.24 -62.10 -52.10 -22.96

Paragon Technologies ROC % Calculation

Paragon Technologies's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2008 is calculated as:

ROC % (A: Dec. 2008 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2007 ) + Invested Capital (A: Dec. 2008 ))/ count )
=-0.574 * ( 1 - 0% )/( (0.756 + 2.843)/ 2 )
=-0.574/1.7995
=-31.90 %

where

Paragon Technologies's annualized Return on Capital (ROC %) for the quarter that ended in Dec. 2008 is calculated as:

ROC % (Q: Dec. 2008 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2008 ) + Invested Capital (Q: Dec. 2008 ))/ count )
=-0.556 * ( 1 - 5.68% )/( (1.725 + 2.843)/ 2 )
=-0.5244192/2.284
=-22.96 %

where

Note: The Operating Income data used here is four times the quarterly (Dec. 2008) 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.

Frequently Asked Questions Learn more about ROC % →
What does a ROC % of -22.96% mean?
Paragon Technologies (PGNT) has a ROC % of -22.96% as of Dec. 2008. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Paragon Technologies and its competitors.
Is Paragon Technologies' ROC % too high?
Paragon Technologies' current ROC % is -22.96%.
How does Paragon Technologies' ROC % compare to AMMX and ARTW?
Paragon Technologies' ROC % of -22.96% can be compared against companies in the Hardware industry. The industry median ROC % is 4.12. 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 Hardware company?
The median ROC % among Hardware companies is 4.12, based on 2,444 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. 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 Paragon Technologies and its competitors. For the Hardware industry, the median ROC % is 4.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paragon Technologies's current ROC % is -22.96%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Paragon Technologies stock overvalued right now?
Paragon Technologies (PGNT) has a current ROC % of -22.96%. The current ROC % is -22.96%. 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 Paragon Technologies (PGNT), the current ROC % is -22.96% as of Dec. 2008. 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.

Paragon Technologies Business Description

Address 101 Larry Holmes Drive, Suite 500, Easton, PA, USA, 18042
Paragon Technologies Inc is a diversified holding company composed of three business segments: Automation, Distribution, and Real Estate. In addition, it may also invest its cash balance in marketable securities. The company generates a majority of its revenue from the Distribution segment, in which it distributes servers, workstations, storage, networking, high-end printers, high-end audio visual and power protection systems, notebook computers, desktop computers, printers, projectors, gaming, and accessories. Under this segment, it also sells consumer electronics and home appliances and provides services such as managed services, printing, electronic documents management, electronic invoicing, and high-capacity storage solutions to businesses.