ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Region Group's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 4.74%.
As of today (2026-06-25), Region Group's WACC % is 9.10%. Region Group's ROC % is 4.70% (calculated using TTM income statement data).
Region Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Region Group (OTCPK:SCPAF) 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, Region Group's WACC % is 9.10%. Region Group's ROC % is 4.70% (calculated using TTM income statement data).
Region Group 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.
Region Group ROC % Related Terms
Region Group ROC % Historical Data
* Premium members only.
The historical data trend for Region Group'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.
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.
Region Group (SCPAF) has a ROC % of 4.74% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Region Group and its competitors.
Is Region Group's ROC % too high?
Region Group's current ROC % is 4.74%. The REITs industry median ROC % is 3.74. Region Group's value of 4.74% is 26.7% above this industry median. Overall, Region Group has a GF Score™ of 73/100, reflecting its overall financial health beyond just this single metric.
How does Region Group's ROC % compare to SPG and O?
Region Group's ROC % of 4.74% can be compared against companies in the REITs industry. The industry median ROC % is 3.74. Region Group's value of 4.74% is 26.7% 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 REITs company?
The median ROC % among REITs companies is 3.74, based on 750 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. Region Group's current ROC % of 4.74% is 26.7% 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 Region Group and its competitors. For the REITs industry, the median ROC % is 3.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Region Group's current ROC % is 4.74%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Region Group stock overvalued right now?
Region Group (SCPAF) has a current ROC % of 4.74%. The stock's GF Value™ is $1.44, compared to a current price of $1.55 — trading 7.6% above its estimated fair value. The current ROC % is 4.74% and 26.7% above the REITs industry median of 3.74. Region Group's overall GF Score™ is 73/100 with 8 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 Region Group (SCPAF), the current ROC % is 4.74% 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 Region Group (SCPAF) Overvalued in 2026?
Based on GuruFocus' analysis, Region Group stock appears to be overvalued.
The current stock price of $1.55 is trading 7.6% above its estimated GF Value™ of $1.44.
Key valuation signals for SCPAF:
ROC %: 4.74%
GF Value™: $1.44 vs. price of $1.55 (7.6% above fair value)
No single metric tells the full story. See the SCPAF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Region Group specializes in leasing out convenience-focused properties that offer everyday goods and services. More than half of the rent is derived from specialty tenants, which are mostly non-discretionary, such as food and liquor, pharmacy and healthcare, and general services. Typically, specialty rent increases at a fixed rate of 4% per year. In contrast, anchor leases, which contribute the other half of Region's rental income, grows at a slower pace. Among anchor tenants, 50% pay a base rent plus a percentage of their sales turnover, and 50% pay a constant base rent which is usually reviewed every five years. Region's development pipeline is relatively small. The group typically undertakes development on behalf of a capital partner, or upgrades and refurbishes existing centers.
73GF Score
Get the complete analysis for SCPAF
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
SCPAF has been successfully added to your 
