PHRRF (PharmaTher Holdings) ROC %: -444.44% (As of Feb. 2026)

What is PharmaTher Holdings ROC %?

PharmaTher Holdings PHRRF +4.74% ROC % is -444.44% as of Feb. 2026. The stock has 2 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 %. PharmaTher Holdings's annualized return on capital (ROC %) for the quarter that ended in Feb. 2026 was -444.44%.

As of today (2026-06-25), PharmaTher Holdings's WACC % is 22.36%. PharmaTher Holdings's ROC % is -649.60% (calculated using TTM income statement data). PharmaTher Holdings earns returns that do not match up to its cost of capital. It will destroy value as it grows.

PharmaTher Holdings (OTCPK:PHRRF) 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, PharmaTher Holdings's WACC % is 22.36%. PharmaTher Holdings's ROC % is -649.60% (calculated using TTM income statement data). PharmaTher Holdings 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.

PharmaTher Holdings ROC % Related Terms

PharmaTher Holdings ROC % Historical Data

* Premium members only.

The historical data trend for PharmaTher Holdings'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.

PharmaTher Holdings ROC % Chart

PharmaTher Holdings Annual Data

Trend

May21

May22

May23

May24

May25

ROC %

-71,385.79

-120,824.44

-198,000.00

-2,442.16

-687.54

PharmaTher Holdings Quarterly Data
	May21	Aug21	Nov21	Feb22	May22	Aug22	Nov22	Feb23	May23	Aug23	Nov23	Feb24	May24	Aug24	Nov24	Feb25	May25	Aug25	Nov25	Feb26
ROC %	Get a 7-Day Free Trial															-632.91	-1,056.66	-675.00	-428.57	-444.44

PharmaTher Holdings ROC % Calculation

PharmaTher Holdings's annualized Return on Capital (ROC %) for the fiscal year that ended in May. 2025 is calculated as:

	ROC % (A: May. 2025 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: May. 2024 )	+	Invested Capital (A: May. 2025 ))	/ count )
=	-1.131 * ( 1 - 0% )	/	( (0.184	+	0.145)	/ 2 )
=	-1.131	/	0.1645
=	-687.54 %

where

	Invested Capital		(A: May. 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	))
=	1.895	-	0.185	-	( 1.683	-	max(0, 0.185	-	1.711	+	1.683	))
=	0.184

	Invested Capital		(A: May. 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	))
=	0.966	-	0.264	-	( 0.81	-	max(0, 0.264	-	0.821	+	0.81	))
=	0.145

PharmaTher Holdings's annualized Return on Capital (ROC %) for the quarter that ended in Feb. 2026 is calculated as:

	ROC % (Q: Feb. 2026 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Nov. 2025 )	+	Invested Capital (Q: Feb. 2026 ))	/ count )
=	-0.62 * ( 1 - 0% )	/	( (0.137	+	0.142)	/ 2 )
=	-0.62	/	0.1395
=	-444.44 %

where

	Invested Capital		(Q: Nov. 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	))
=	0.697	-	0.316	-	( 0.549	-	max(0, 0.316	-	0.56	+	0.549	))
=	0.137

	Invested Capital		(Q: Feb. 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	))
=	0.779	-	0.388	-	( 0.631	-	max(0, 0.388	-	0.637	+	0.631	))
=	0.142

Note: The Operating Income data used here is four times the quarterly (Feb. 2026) data. The tax rate is limited to between 0% and 100%.

Frequently Asked Questions Learn more about ROC % →

What does a ROC % of -444.44% mean?

PharmaTher Holdings (PHRRF) has a ROC % of -444.44% as of Feb. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on PharmaTher Holdings and its competitors.

Is PharmaTher Holdings' ROC % too high?

PharmaTher Holdings' current ROC % is -444.44%.

How does PharmaTher Holdings' ROC % compare to VRTX and REGN?

PharmaTher Holdings' ROC % of -444.44% can be compared against companies in the Biotechnology 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 Biotechnology company?

A good ROC % depends on the Biotechnology 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 PharmaTher Holdings and its competitors. PharmaTher Holdings's current ROC % is -444.44%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is PharmaTher Holdings stock overvalued right now?

PharmaTher Holdings (PHRRF) has a current ROC % of -444.44%. The current ROC % is -444.44%. 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 PharmaTher Holdings (PHRRF), the current ROC % is -444.44% as of Feb. 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.

PharmaTher Holdings Business Description

Industry Healthcare Biotechnology

Comparable Companies TSX:APS XCNQ:HEAL TSXV:IOT TSXV:KNE TSXV:XRTX TSXV:QPT XCNQ:MOOD TSX:CSCI XCNQ:GLOW TSXV:RKV VRTX REGN XBRU:UCB XBRU:ARGX XKRX:207940 ALNY RVMD ASX:CSL ONC XKRX:068270

Other Exchanges NCC0:Germany PHRM:Canada

Address 82 Richmond Street East, Toronto, ON, CAN, M5C 1P1

Website https://www.pharmather.com

PharmaTher Holdings Ltd is a specialty life sciences company focused on the research and development of psychedelic pharmaceuticals for FDA approval to treat mental health, neurological, and pain disorders. Its product pipeline includes Ketamine, KETABET, Microneedle Patch and others.