Himalayan General Insurance Co (XNEP:HGI) ROC %: 0.00% (As of Jul. 2022)

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XNEP:HGI Himalayan General Insurance Co Ltd XNEP:HGI
25 GF Score
Price NPR520.00
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What is Himalayan General Insurance Co ROC %?

Himalayan General Insurance Co XNEP:HGI 25 ROC % is 0.00% as of Jul. 2022. GuruFocus rates XNEP:HGI with a GF Score™ of 25/100.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Himalayan General Insurance Co's annualized return on capital (ROC %) for the quarter that ended in Jul. 2022 was 0.00%.

As of today (2026-08-15), Himalayan General Insurance Co's WACC % is 0.00%. Himalayan General Insurance Co's ROC % is 0.00% (calculated using TTM income statement data). Himalayan General Insurance Co earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Himalayan General Insurance Co  (XNEP:HGI) 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, Himalayan General Insurance Co's WACC % is 0.00%. Himalayan General Insurance Co's ROC % is 0.00% (calculated using TTM income statement data). Himalayan General Insurance Co 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.


Himalayan General Insurance Co ROC % Related Terms


Himalayan General Insurance Co ROC % Historical Data

* Premium members only.

The historical data trend for Himalayan General Insurance Co'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.

Himalayan General Insurance Co ROC % Chart

Himalayan General Insurance Co Annual Data
Trend Jul13 Jul14 Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22
ROC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.20 5.32 3.31 1.39 0.00

Himalayan General Insurance Co Quarterly Data
Oct17 Jan18 Apr18 Jul18 Oct18 Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22
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 0.00 0.00 0.00 0.00 0.00
XNEP:HGI
25GF Score
Himalayan General Insurance Co Ltd XNEP:HGI
ROC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Himalayan General Insurance Co ROC % Calculation

Himalayan General Insurance Co's annualized Return on Capital (ROC %) for the fiscal year that ended in Jul. 2022 is calculated as:

ROC % (A: Jul. 2022 )
=NOPAT/Average Invested Capital
=EBIT * ( 1 - Tax Rate % )/( (Invested Capital (A: Jul. 2021 ) + Invested Capital (A: Jul. 2022 ))/ count )
=0 * ( 1 - 30% )/( (2583.71725 + 3086.7926)/ 2 )
=0/2835.254925
=0.00 %

where

Invested Capital(A: Jul. 2021 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
=2676.493 - 84.842 - ( 37.607 - 5% * 593.465 )
=2583.71725

Invested Capital(A: Jul. 2022 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
=3398.036 - 0 - ( 349.007 - 5% * 755.272 )
=3086.7926

Himalayan General Insurance Co's annualized Return on Capital (ROC %) for the quarter that ended in Jul. 2022 is calculated as:

ROC % (Q: Jul. 2022 )
=NOPAT/Average Invested Capital
=EBIT * ( 1 - Tax Rate % )/( (Invested Capital (Q: Apr. 2022 ) + Invested Capital (Q: Jul. 2022 ))/ count )
=0 * ( 1 - 30% )/( (2790.2902 + 3062.47515)/ 2 )
=0/2926.382675
=0.00 %

where

Invested Capital(Q: Apr. 2022 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
=2940.15 - 0 - ( 158.091 - 5% * 164.624 )
=2790.2902

Invested Capital(Q: Jul. 2022 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
=3398.036 - 0 - ( 349.007 - 5% * 268.923 )
=3062.47515

Note: The EBIT data used here is four times the quarterly (Jul. 2022) 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 0.00% mean?
Himalayan General Insurance Co (XNEP:HGI) has a ROC % of 0.00% as of Jul. 2022. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Himalayan General Insurance Co and its competitors.
Is Himalayan General Insurance Co's ROC % too high?
Himalayan General Insurance Co's current ROC % is 0.00%. Overall, Himalayan General Insurance Co has a GF Score™ of 25/100, reflecting its overall financial health beyond just this single metric.
How does Himalayan General Insurance Co's ROC % compare to CB and PGR?
Himalayan General Insurance Co's ROC % of 0.00% can be compared against companies in the Insurance industry. The industry median ROC % is 3.35. 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 Insurance company?
The median ROC % among Insurance companies is 3.35, based on 369 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. 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 Himalayan General Insurance Co and its competitors. For the Insurance industry, the median ROC % is 3.35 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Himalayan General Insurance Co's current ROC % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Himalayan General Insurance Co stock overvalued right now?
Himalayan General Insurance Co (XNEP:HGI) has a current ROC % of 0.00%. The current ROC % is 0.00%. Himalayan General Insurance Co's overall GF Score™ is 25/100. 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 Himalayan General Insurance Co (XNEP:HGI), the current ROC % is 0.00% as of Jul. 2022. 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.

Himalayan General Insurance Co Business Description

Address HGI House, Babar Mahal, G.P.O. Box 148, Kathmandu, NPL
Himalayan General Insurance Co Ltd operates as an insurance company. It is engaged in the business of underwriting non-life insurance. The company's business segments are Fire, Marine, Motor, Engineering, Aviation, Miscellaneous, Agriculture and Micro segments.
25GF Score

Get the complete analysis for XNEP:HGI

ROC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

NPR520.00
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