ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Renze Harvest International's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 1.60%.
As of today (2026-06-29), Renze Harvest International's WACC % is 4.27%. Renze Harvest International's ROC % is 1.40% (calculated using TTM income statement data).
Renze Harvest International earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Renze Harvest International (STU:W2T0) 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, Renze Harvest International's WACC % is 4.27%. Renze Harvest International's ROC % is 1.40% (calculated using TTM income statement data).
Renze Harvest International 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.
* 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.
Renze Harvest International (STU:W2T0) has a ROC % of 1.60% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Renze Harvest International and its competitors.
Is Renze Harvest International's ROC % too high?
Renze Harvest International's current ROC % is 1.60%. The Industrial Distribution industry median ROC % is 6.21. Renze Harvest International's value of 1.60% is 74.2% below this industry median. Overall, Renze Harvest International has a GF Score™ of 42/100, reflecting its overall financial health beyond just this single metric.
How does Renze Harvest International's ROC % compare to GWW and FAST?
Renze Harvest International's ROC % of 1.60% can be compared against companies in the Industrial Distribution industry. The industry median ROC % is 6.21. Renze Harvest International's value of 1.60% is 74.2% 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 an Industrial Distribution company?
The median ROC % among Industrial Distribution companies is 6.21, based on 155 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. Renze Harvest International's current ROC % of 1.60% is 74.2% 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 Renze Harvest International and its competitors. For the Industrial Distribution industry, the median ROC % is 6.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Renze Harvest International's current ROC % is 1.60%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Renze Harvest International stock overvalued right now?
Renze Harvest International (STU:W2T0) has a current ROC % of 1.60%. The stock's GF Value™ is €0.01, compared to a current price of €0.01 — trading right at its estimated fair value. The current ROC % is 1.60% and 74.2% below the Industrial Distribution industry median of 6.21. Renze Harvest International's overall GF Score™ is 42/100 with 7 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 Renze Harvest International (STU:W2T0), the current ROC % is 1.60% 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 Renze Harvest International (STU:W2T0) Overvalued in 2026?
Based on GuruFocus' analysis, Renze Harvest International stock appears to be undervalued.
The current stock price of €0.01 is trading 0% below its estimated GF Value™ of €0.01.
Key valuation signals for STU:W2T0:
ROC %: 1.60%
GF Value™: €0.01 vs. price of €0.01 (0% below fair value)
Industry Position: 74.2% below the Industrial Distribution median
No single metric tells the full story. See the STU:W2T0 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Renze Harvest International Ltd is a holding company in China that reports in four business segments: Automation, Financial services, Property investment and development, and Securities Investment. It generates maximum of its revenue from the Automation segment, which represents the trading of automated production-related equipment trading business in Hong Kong and the PRC. The company has different sources of revenue that include Automation: Sales of automated production products, minus returns, installation, Securities Investment Gains/losses of financial assets at FVTPL, plus commission income from securities, Financial Services: Commission and brokerage income from securities and futures, and Property Investment includes Revenue from property sales, rentals, and management.
42GF Score
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