SVSO (SheerVision) ROC %: 12.92% (As of May. 2010)


What is SheerVision ROC %?

SheerVision SVSO ROC % is 12.92% as of May. 2010.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. SheerVision's annualized return on capital (ROC %) for the quarter that ended in May. 2010 was 12.92%.

As of today (2026-06-25), SheerVision's WACC % is 0.00%. SheerVision's ROC % is 0.00% (calculated using TTM income statement data). SheerVision earns returns that do not match up to its cost of capital. It will destroy value as it grows.

SheerVision  (OTCPK:SVSO) 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, SheerVision's WACC % is 0.00%. SheerVision's ROC % is 0.00% (calculated using TTM income statement data). SheerVision 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.

SheerVision ROC % Related Terms

SheerVision ROC % Historical Data

* Premium members only.

The historical data trend for SheerVision'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.

SheerVision ROC % Chart

SheerVision Annual Data
Trend Jun00 Jun01 Jun02 Jun03 Jun04 Jun05 Aug06 Aug07 Aug08 Aug09
ROC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -168.83 -1,249.78 -628.87 -79.17 -54.36

SheerVision Quarterly Data
Jun05 Sep05 Dec05 Mar06 Aug06 Nov06 Feb07 May07 Aug07 Nov07 Feb08 May08 Aug08 Nov08 Feb09 May09 Aug09 Nov09 Feb10 May10
ROC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -107.27 -75.26 -52.91 -145.19 12.92

SheerVision ROC % Calculation

SheerVision's annualized Return on Capital (ROC %) for the fiscal year that ended in Aug. 2009 is calculated as:

ROC % (A: Aug. 2009 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Aug. 2008 ) + Invested Capital (A: Aug. 2009 ))/ count )
=-0.156 * ( 1 - 0% )/( (0.306 + 0.268)/ 2 )
=-0.156/0.287
=-54.36 %

where

Invested Capital(A: Aug. 2008 )
=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))
=0.961 - 1.067 - ( 0.112 - max(0, 1.223 - 0.811+0.112))
=0.306

Invested Capital(A: Aug. 2009 )
=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))
=0.838 - 1.298 - ( 0.018 - max(0, 1.431 - 0.703+0.018))
=0.268

SheerVision's annualized Return on Capital (ROC %) for the quarter that ended in May. 2010 is calculated as:

ROC % (Q: May. 2010 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Feb. 2010 ) + Invested Capital (Q: May. 2010 ))/ count )
=0.052 * ( 1 - 0% )/( (0.601 + 0.204)/ 2 )
=0.052/0.4025
=12.92 %

where

Invested Capital(Q: Feb. 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))
=0.76 - 1.49 - ( 0 - max(0, 1.978 - 0.647+0))
=0.601

Invested Capital(Q: May. 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))
=0.782 - 1.558 - ( 0 - max(0, 1.658 - 0.678+0))
=0.204

Note: The Operating Income data used here is four times the quarterly (May. 2010) 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 12.92% mean?
SheerVision (SVSO) has a ROC % of 12.92% as of May. 2010. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on SheerVision and its competitors.
Is SheerVision's ROC % too high?
SheerVision's current ROC % is 12.92%. The Medical Devices & Instruments industry median ROC % is 1.27. SheerVision's value of 12.92% is 917.3% above this industry median.
How does SheerVision's ROC % compare to LENSF and WHSI?
SheerVision's ROC % of 12.92% can be compared against companies in the Medical Devices & Instruments industry. The industry median ROC % is 1.27. SheerVision's value of 12.92% is 917.3% 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 Medical Devices & Instruments company?
The median ROC % among Medical Devices & Instruments companies is 1.27, based on 847 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. SheerVision's current ROC % of 12.92% is 917.3% 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 SheerVision and its competitors. For the Medical Devices & Instruments industry, the median ROC % is 1.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SheerVision's current ROC % is 12.92%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SheerVision stock overvalued right now?
SheerVision (SVSO) has a current ROC % of 12.92%. The current ROC % is 12.92% and 917.3% above the Medical Devices & Instruments industry median of 1.27. 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 SheerVision (SVSO), the current ROC % is 12.92% as of May. 2010. 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.

SheerVision Business Description

Address 4030 Palos Verdes Drive N., Suite 104, Rolling Hills, CA, USA, 90274
SheerVision Inc designs, manufactures, markets, and sells proprietary surgical loupes and headlight systems to the dental, medical, and veterinary markets throughout the world. The company sells its products through distributors and e-commerce Website.