ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Swiss Re AG's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 3.53%.
As of today (2026-06-25), Swiss Re AG's WACC % is 3.27%. Swiss Re AG's ROC % is 3.82% (calculated using TTM income statement data).
Swiss Re AG generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
Swiss Re AG (OTCPK:SSREY) 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, Swiss Re AG's WACC % is 3.27%. Swiss Re AG's ROC % is 3.82% (calculated using TTM income statement data).
Swiss Re AG generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
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.
Swiss Re AG ROC % Related Terms
Swiss Re AG ROC % Historical Data
* Premium members only.
The historical data trend for Swiss Re AG'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 EBIT 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.
Swiss Re AG (SSREY) has a ROC % of 3.53% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Swiss Re AG and its competitors.
Is Swiss Re AG's ROC % too high?
Swiss Re AG's current ROC % is 3.53%. The Insurance industry median ROC % is 3.36. Swiss Re AG's value of 3.53% is 5.1% above this industry median. Overall, Swiss Re AG has a GF Score™ of 63/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Swiss Re AG's ROC % compare to RGA and EG?
Swiss Re AG's ROC % of 3.53% can be compared against companies in the Insurance industry. The industry median ROC % is 3.36. Swiss Re AG's value of 3.53% is 5.1% 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 an Insurance company?
The median ROC % among Insurance companies is 3.36, based on 368 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. Swiss Re AG's current ROC % of 3.53% is 5.1% 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 Swiss Re AG and its competitors. For the Insurance industry, the median ROC % is 3.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Swiss Re AG's current ROC % is 3.53%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Swiss Re AG stock overvalued right now?
Based on GuruFocus' analysis, Swiss Re AG (SSREY) is currently considered Modestly Overvalued. The stock's GF Value™ is $33.30, compared to a current price of $38.99 — trading 17.1% above its estimated fair value. The current ROC % is 3.53% and 5.1% above the Insurance industry median of 3.36. Swiss Re AG's overall GF Score™ is 63/100 with 2 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 Swiss Re AG (SSREY), the current ROC % is 3.53% 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 Swiss Re AG (SSREY) Overvalued in 2026?
Based on GuruFocus' analysis, Swiss Re AG stock appears to be overvalued.
The current stock price of $38.99 is trading 17.1% above its estimated GF Value™ of $33.30.
GuruFocus considers Swiss Re AG to be Modestly Overvalued.
Key valuation signals for SSREY:
ROC %: 3.53%
GF Value™: $33.30 vs. price of $38.99 (17.1% above fair value)
Industry Position: 5.1% above the Insurance median
No single metric tells the full story. See the SSREY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Swiss Re is a reinsurer that has three core divisions: P&C reinsurance, life and health reinsurance, and corporate solutions. Swiss Re was founded in 1863 when the general manager of Helvetia sought to stem the flow of reinsurance premiums outside Switzerland. Moritz Grossmann argued he could cut the premiums paid to foreign firms, still make a profit, and pay mid-single-digit dividends. Swiss Re is now the second-largest reinsurer in the world by market capitalization, with 80 offices around the world and approximately 15,000 employees. While the business did lose its way in the early part of the millennium, led by an investment banker who heavily invested in securitizations, Swiss Re has recently focused on establishing quality within its three core divisions.
63GF Score
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