ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Computer Engineeringnsulting's annualized return on capital (ROC %) for the quarter that ended in Jan. 2026 was 24.54%.
As of today (2026-06-27), Computer Engineeringnsulting's WACC % is 2.83%. Computer Engineeringnsulting's ROC % is 21.22% (calculated using TTM income statement data).
Computer Engineeringnsulting 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.
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, Computer Engineeringnsulting's WACC % is 2.83%. Computer Engineeringnsulting's ROC % is 21.22% (calculated using TTM income statement data).
Computer Engineeringnsulting 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.
Computer Engineeringnsulting ROC % Related Terms
Computer Engineeringnsulting ROC % Historical Data
* 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 four times the quarterly (Jan. 2026) 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.
Computer Engineeringnsulting (TSE:9692) has a ROC % of 24.54% as of Jan. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Computer Engineeringnsulting and its competitors.
Is Computer Engineeringnsulting's ROC % too high?
Computer Engineeringnsulting's current ROC % is 24.54%. The Software industry median ROC % is 3.11. Computer Engineeringnsulting's value of 24.54% is 690.3% above this industry median. Overall, Computer Engineeringnsulting has a GF Score™ of 81/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Computer Engineeringnsulting's ROC % compare to CRM and SHOP?
Computer Engineeringnsulting's ROC % of 24.54% can be compared against companies in the Software industry. The industry median ROC % is 3.11. Computer Engineeringnsulting's value of 24.54% is 690.3% 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 Software company?
The median ROC % among Software companies is 3.11, based on 2,830 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. Computer Engineeringnsulting's current ROC % of 24.54% is 690.3% 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 Computer Engineeringnsulting and its competitors. For the Software industry, the median ROC % is 3.11 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Computer Engineeringnsulting's current ROC % is 24.54%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Computer Engineeringnsulting stock overvalued right now?
Based on GuruFocus' analysis, Computer Engineeringnsulting (TSE:9692) is currently considered Modestly Undervalued. The stock's GF Value™ is 円2,515.67, compared to a current price of 円2,059.00 — trading 18.2% below its estimated fair value. The current ROC % is 24.54% and 690.3% above the Software industry median of 3.11. Computer Engineeringnsulting's overall GF Score™ is 81/100. 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 Computer Engineeringnsulting (TSE:9692), the current ROC % is 24.54% as of Jan. 2026. 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 Computer Engineeringnsulting (TSE:9692) Overvalued in 2026?
Based on GuruFocus' analysis, Computer Engineeringnsulting stock appears to be undervalued.
The current stock price of 円2,059.00 is trading 18.2% below its estimated GF Value™ of 円2,515.67.
GuruFocus considers Computer Engineeringnsulting to be Modestly Undervalued.
Key valuation signals for TSE:9692:
ROC %: 24.54%
GF Value™: 円2,515.67 vs. price of 円2,059.00 (18.2% below fair value)
Industry Position: 690.3% above the Software median
No single metric tells the full story. See the TSE:9692 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Computer Engineering & Consulting Ltd. is a Japan-based company engaged in software development, information technology (IT) management, and verification services. The company's business segment includes: Integration Segment - offers a one-stop service for all aspects of ICT, from planning information systems to infrastructure design, construction, and operation, focusing on traditional system development. Connected Segment- provide system development in the mobility and smart factory sectors, as well as services that analyze and utilize digital data. Solution Segment - Leveraging security technology and data centers, providing products and services to diverse sectors.
81GF Score
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