WSM for Information Technology Co (SAU:9595) ROC %: 3.13% (As of Dec. 2025)


SAU:9595 WSM for Information Technology Co SAU:9595
19 GF Score
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What is WSM for Information Technology Co ROC %?

WSM for Information Technology Co SAU:9595 +0.45% 19 ROC % is 3.13% as of Dec. 2025. GuruFocus rates SAU:9595 with a GF Score™ of 19/100. The stock has 1 warning sign 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 %. WSM for Information Technology Co's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 3.13%.

As of today (2026-07-01), WSM for Information Technology Co's WACC % is 9.53%. WSM for Information Technology Co's ROC % is 9.08% (calculated using TTM income statement data). WSM for Information Technology Co earns returns that do not match up to its cost of capital. It will destroy value as it grows.

WSM for Information Technology Co  (SAU:9595) 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, WSM for Information Technology Co's WACC % is 9.53%. WSM for Information Technology Co's ROC % is 9.08% (calculated using TTM income statement data). WSM for Information Technology Co 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.

WSM for Information Technology Co ROC % Related Terms

WSM for Information Technology Co ROC % Historical Data

* Premium members only.

The historical data trend for WSM for Information Technology Co'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.

WSM for Information Technology Co ROC % Chart

WSM for Information Technology Co Annual Data
Trend Dec23 Dec24 Dec25
ROC %
27.17 6.14 9.94

WSM for Information Technology Co Semi-Annual Data
Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROC % Get a 7-Day Free Trial 25.48 10.37 1.14 14.80 3.13
SAU:9595
19GF Score
WSM for Information Technology Co SAU:9595
ROC % is just one metric. See GF Score™, valuation, warning signs, and more.
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WSM for Information Technology Co ROC % Calculation

WSM for Information Technology Co's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2025 is calculated as:

ROC % (A: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2024 ) + Invested Capital (A: Dec. 2025 ))/ count )
=5.004 * ( 1 - 19.2% )/( (35.988 + 45.388)/ 2 )
=4.043232/40.688
=9.94 %

where

Invested Capital(A: Dec. 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))
=70.018 - 13.217 - ( 20.813 - max(0, 19.683 - 42.418+20.813))
=35.988

Invested Capital(A: Dec. 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))
=70.967 - 8.789 - ( 16.79 - max(0, 13.202 - 45.129+16.79))
=45.388

WSM for Information Technology Co's annualized Return on Capital (ROC %) for the quarter that ended in Dec. 2025 is calculated as:

ROC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2025 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=2.586 * ( 1 - 40.91% )/( (52.187 + 45.388)/ 2 )
=1.5280674/48.7875
=3.13 %

where

Invested Capital(Q: Jun. 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))
=70.903 - 7.857 - ( 10.859 - max(0, 12.895 - 44.527+10.859))
=52.187

Invested Capital(Q: Dec. 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))
=70.967 - 8.789 - ( 16.79 - max(0, 13.202 - 45.129+16.79))
=45.388

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.

Frequently Asked Questions Learn more about ROC % →
What does a ROC % of 3.13% mean?
WSM for Information Technology Co (SAU:9595) has a ROC % of 3.13% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on WSM for Information Technology Co and its competitors.
Is WSM for Information Technology Co's ROC % too high?
WSM for Information Technology Co's current ROC % is 3.13%. The Business Services industry median ROC % is 5.99. WSM for Information Technology Co's value of 3.13% is 47.7% below this industry median. Overall, WSM for Information Technology Co has a GF Score™ of 19/100, reflecting its overall financial health beyond just this single metric.
How does WSM for Information Technology Co's ROC % compare to VRSK and EFX?
WSM for Information Technology Co's ROC % of 3.13% can be compared against companies in the Business Services industry. The industry median ROC % is 5.99. WSM for Information Technology Co's value of 3.13% is 47.7% below 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 Business Services company?
The median ROC % among Business Services companies is 5.99, based on 1,075 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. WSM for Information Technology Co's current ROC % of 3.13% is 47.7% below 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 WSM for Information Technology Co and its competitors. For the Business Services industry, the median ROC % is 5.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. WSM for Information Technology Co's current ROC % is 3.13%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is WSM for Information Technology Co stock overvalued right now?
WSM for Information Technology Co (SAU:9595) has a current ROC % of 3.13%. The current ROC % is 3.13% and 47.7% below the Business Services industry median of 5.99. WSM for Information Technology Co's overall GF Score™ is 19/100 with 1 warning sign 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 WSM for Information Technology Co (SAU:9595), the current ROC % is 3.13% 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.

WSM for Information Technology Co Business Description

Address Imam Saud bin Faisal Road, P.O. Box: 3558, Al Malqa District, Riyadh, SAU, 13522
WSM for Information Technology Co is a company that operates in the field of technical consulting and digital solutions in the Kingdom of Saudi Arabia. Wsm service delivery relies on experiences utilizing the latest technologies and world-wide practices and aligns with the aspirations of its clients. It also benefits from numerous International and local alliances and partnerships that enhance its service package and enable its clients from organizations, entities, and sectors to develop their businesses and increase their productivity.
19GF Score

Get the complete analysis for SAU:9595

ROC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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