Teras Resources (TSXV:TRA.H) ROC %: -789.33% (As of Feb. 2023)

What is Teras Resources ROC %?

Teras Resources TSXV:TRA.H ROC % is -789.33% as of Feb. 2023.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Teras Resources's annualized return on capital (ROC %) for the quarter that ended in Feb. 2023 was -789.33%.

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

Teras Resources (TSXV:TRA.H) 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, Teras Resources's WACC % is 0.00%. Teras Resources's ROC % is 0.00% (calculated using TTM income statement data). Teras Resources 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.

Teras Resources ROC % Related Terms

Teras Resources ROC % Historical Data

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The historical data trend for Teras Resources'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.

Teras Resources ROC % Chart

Teras Resources Annual Data

Trend

May13

May14

May15

May16

May17

May18

May19

May20

May21

May22

ROC %

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-3.31

-3.05

-2.26

-4.76

-6.06

Teras Resources Quarterly Data
	May18	Aug18	Nov18	Feb19	May19	Aug19	Nov19	Feb20	May20	Aug20	Nov20	Feb21	May21	Aug21	Nov21	Feb22	May22	Aug22	Nov22	Feb23
ROC %	Get a 7-Day Free Trial															-4.76	-14.26	-1,143.66	-941.50	-789.33

Teras Resources ROC % Calculation

Teras Resources's annualized Return on Capital (ROC %) for the fiscal year that ended in May. 2022 is calculated as:

	ROC % (A: May. 2022 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: May. 2021 )	+	Invested Capital (A: May. 2022 ))	/ count )
=	-0.802 * ( 1 - 0% )	/	( (26.4	+	0.07)	/ 2 )
=	-0.802	/	13.235
=	-6.06 %

where

	Invested Capital		(A: May. 2021 )
=	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	))
=	26.677	-	0.5	-	( 0.695	-	max(0, 1	-	0.777	+	0.695	))
=	26.4

	Invested Capital		(A: May. 2022 )
=	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	))
=	0.722	-	0.798	-	( 0.618	-	max(0, 0.798	-	0.652	+	0.618	))
=	0.07

Teras Resources's annualized Return on Capital (ROC %) for the quarter that ended in Feb. 2023 is calculated as:

	ROC % (Q: Feb. 2023 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Nov. 2022 )	+	Invested Capital (Q: Feb. 2023 ))	/ count )
=	-0.592 * ( 1 - 0% )	/	( (0.075	+	0.075)	/ 2 )
=	-0.592	/	0.075
=	-789.33 %

where

	Invested Capital		(Q: Nov. 2022 )
=	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	))
=	0.42	-	0.864	-	( 0.327	-	max(0, 0.864	-	0.345	+	0.327	))
=	0.075

	Invested Capital		(Q: Feb. 2023 )
=	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	))
=	0.344	-	0.933	-	( 0.251	-	max(0, 0.933	-	0.269	+	0.251	))
=	0.075

Note: The Operating Income data used here is four times the quarterly (Feb. 2023) data. The tax rate is limited to between 0% and 100%.

Frequently Asked Questions Learn more about ROC % →

What does a ROC % of -789.33% mean?

Teras Resources (TSXV:TRA.H) has a ROC % of -789.33% as of Feb. 2023. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Teras Resources and its competitors.

Is Teras Resources' ROC % too high?

Teras Resources' current ROC % is -789.33%.

How does Teras Resources' ROC % compare to GRMC and IMII?

Teras Resources' ROC % of -789.33% can be compared against companies in the Metals & Mining industry. 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 Metals & Mining company?

A good ROC % depends on the Metals & Mining industry context. However, ROC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. 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 Teras Resources and its competitors. Teras Resources's current ROC % is -789.33%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Teras Resources stock overvalued right now?

Teras Resources (TSXV:TRA.H) has a current ROC % of -789.33%. The current ROC % is -789.33%. 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 Teras Resources (TSXV:TRA.H), the current ROC % is -789.33% as of Feb. 2023. 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.

Teras Resources Business Description

Industry Basic Materials Metals & Mining

Comparable Companies GRMC IMII GLNS STAL OSCI MNGG GKIN AGDXF BMXI ALGLF SHSE:601899 NEM TSX:ABX TSX:AEM TSX:FNV TSX:WPM MIC:PLZL SHSE:600547 JSE:GFI ASX:NST

Address 206, 6025 - 12th Street S.E, Calgary, AB, CAN, T2H 1K1

Website https://www.teras.ca

Teras Resources Inc is a junior mining exploration & development company. The company is involved in the acquisition and exploration of mineral property interests in Montana, Nevada, and Cahuilla in California. The company explores gold, silver, and base metals. Its projects include Cahuilla Gold/Silver, Corral Canyon, Gold Point, Superstition, Sunny Slope, and Watseka.