ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Mercury Industries Bhd's annualized return on capital (ROC %) for the quarter that ended in Mar. 2026 was 5.92%.
As of today (2026-06-25), Mercury Industries Bhd's WACC % is 1.73%. Mercury Industries Bhd's ROC % is 19.05% (calculated using TTM income statement data).
Mercury Industries Bhd 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.
Mercury Industries Bhd (XKLS:8192) 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, Mercury Industries Bhd's WACC % is 1.73%. Mercury Industries Bhd's ROC % is 19.05% (calculated using TTM income statement data).
Mercury Industries Bhd 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.
* 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 (Mar. 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.
Mercury Industries Bhd (XKLS:8192) has a ROC % of 5.92% as of Mar. 2026. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Mercury Industries Bhd and its competitors.
Is Mercury Industries Bhd's ROC % too high?
Mercury Industries Bhd's current ROC % is 5.92%. The Construction industry median ROC % is 4.65. Mercury Industries Bhd's value of 5.92% is 27.3% above this industry median. Overall, Mercury Industries Bhd has a GF Score™ of 57/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Mercury Industries Bhd's ROC % compare to PWR and FIX?
Mercury Industries Bhd's ROC % of 5.92% can be compared against companies in the Construction industry. The industry median ROC % is 4.65. Mercury Industries Bhd's value of 5.92% is 27.3% 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 Construction company?
The median ROC % among Construction companies is 4.65, based on 1,755 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. Mercury Industries Bhd's current ROC % of 5.92% is 27.3% 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 Mercury Industries Bhd and its competitors. For the Construction industry, the median ROC % is 4.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mercury Industries Bhd's current ROC % is 5.92%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mercury Industries Bhd stock overvalued right now?
Based on GuruFocus' analysis, Mercury Industries Bhd (XKLS:8192) is currently considered Possible Value Trap. The stock's GF Value™ is RM6.61, compared to a current price of RM0.60 — trading 90.9% below its estimated fair value. The current ROC % is 5.92% and 27.3% above the Construction industry median of 4.65. Mercury Industries Bhd's overall GF Score™ is 57/100 with 3 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 Mercury Industries Bhd (XKLS:8192), the current ROC % is 5.92% as of Mar. 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 Mercury Industries Bhd (XKLS:8192) Overvalued in 2026?
Based on GuruFocus' analysis, Mercury Industries Bhd stock appears to be undervalued.
The current stock price of RM0.60 is trading 90.9% below its estimated GF Value™ of RM6.61.
GuruFocus considers Mercury Industries Bhd to be Possible Value Trap.
Key valuation signals for XKLS:8192:
ROC %: 5.92%
GF Value™: RM6.61 vs. price of RM0.60 (90.9% below fair value)
Industry Position: 27.3% above the Construction median
No single metric tells the full story. See the XKLS:8192 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mercury Industries Bhd is an investment holding company engaged in civil and building construction works. Its principal activities include sourcing and trading building materials and other associated products used in the construction and property development industry. The company's segments are property development, which undertakes the development of commercial and residential properties; investment holding, involving investment holding and provision of management services; and complementary business, covering civil and building construction and trading of building materials. and majority of revenue comes from property development. the company operates in Malaysia.
57GF Score
Get the complete analysis for XKLS:8192
ROC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
XKLS:8192 has been successfully added to your 
