PTEL (Pegasus Tel) ROC %: -6.50% (As of Sep. 2012)

What is Pegasus Tel ROC %?

Pegasus Tel PTEL ROC % is -6.50% as of Sep. 2012.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Pegasus Tel's annualized return on capital (ROC %) for the quarter that ended in Sep. 2012 was -6.50%.

As of today (2026-06-24), Pegasus Tel's WACC % is 0.00%. Pegasus Tel's ROC % is 0.00% (calculated using TTM income statement data). Pegasus Tel earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Pegasus Tel (OTCPK:PTEL) 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, Pegasus Tel's WACC % is 0.00%. Pegasus Tel's ROC % is 0.00% (calculated using TTM income statement data). Pegasus Tel 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.

Pegasus Tel ROC % Related Terms

Pegasus Tel ROC % Historical Data

* Premium members only.

The historical data trend for Pegasus Tel'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.

Pegasus Tel ROC % Chart

Pegasus Tel Annual Data

Trend

Dec06

Dec07

Dec09

Dec10

Dec11

ROC %

-266.67

-269.57

-53.70

-28.71

-18,775.40

Pegasus Tel Quarterly Data
	Jun07	Sep07	Dec07	Mar08	Jun08	Sep08	Jun09	Sep09	Dec09	Mar10	Jun10	Sep10	Dec10	Mar11	Jun11	Sep11	Dec11	Mar12	Jun12	Sep12
ROC %	Get a 7-Day Free Trial															-24,509.47	2,597.83	-25.26	-134.48	-6.50

Pegasus Tel ROC % Calculation

Pegasus Tel's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2011 is calculated as:

	ROC % (A: Dec. 2011 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2010 )	+	Invested Capital (A: Dec. 2011 ))	/ count )
=	-17.555 * ( 1 - 0% )	/	( (0.141	+	0.046)	/ 2 )
=	-17.555	/	0.0935
=	-18,775.40 %

where

	Invested Capital		(A: Dec. 2010 )
=	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	))
=	0.001	-	0.072	-	( 0	-	max(0, 0.213	-	0.001	+	0	))
=	0.141

	Invested Capital		(A: Dec. 2011 )
=	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	))
=	0.001	-	0.097	-	( 0	-	max(0, 0.143	-	0.001	+	0	))
=	0.046

Pegasus Tel's annualized Return on Capital (ROC %) for the quarter that ended in Sep. 2012 is calculated as:

	ROC % (Q: Sep. 2012 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2012 )	+	Invested Capital (Q: Sep. 2012 ))	/ count )
=	-0.012 * ( 1 - 0% )	/	( (0.183	+	0.186)	/ 2 )
=	-0.012	/	0.1845
=	-6.50 %

where

	Invested Capital		(Q: Jun. 2012 )
=	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	))
=	0.124	-	0.104	-	( 0.122	-	max(0, 0.287	-	0.124	+	0.122	))
=	0.183

	Invested Capital		(Q: Sep. 2012 )
=	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	))
=	0.124	-	0.107	-	( 0.124	-	max(0, 0.293	-	0.124	+	0.124	))
=	0.186

Note: The Operating Income data used here is four times the quarterly (Sep. 2012) data. The tax rate is limited to between 0% and 100%.

Frequently Asked Questions Learn more about ROC % →

What does a ROC % of -6.50% mean?

Pegasus Tel (PTEL) has a ROC % of -6.50% as of Sep. 2012. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Pegasus Tel and its competitors.

Is Pegasus Tel's ROC % too high?

Pegasus Tel's current ROC % is -6.50%.

How does Pegasus Tel's ROC % compare to FULO and DIRV?

Pegasus Tel's ROC % of -6.50% can be compared against companies in the Diversified Financial Services 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 Diversified Financial Services company?

A good ROC % depends on the Diversified Financial Services 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 Pegasus Tel and its competitors. Pegasus Tel's current ROC % is -6.50%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Pegasus Tel stock overvalued right now?

Pegasus Tel (PTEL) has a current ROC % of -6.50%. The current ROC % is -6.50%. 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 Pegasus Tel (PTEL), the current ROC % is -6.50% as of Sep. 2012. 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.

Pegasus Tel Business Description

Industry Financial Services Diversified Financial Services

Comparable Companies FULO DIRV TOWTF INVT TWER DTGI MTSL WPCS KONE SLXXF TEUM VLTC CCOP GLOW CLRI TELLF OTEL SYTE FSNN VPLM

Address Bloemendallseweg 69, North Holland, NLD, 2061

Pegasus Tel Inc is in the acquisition & development stage for mineral projects in the western U.S.