Himalayan Hydropower (XNEP:HHL) ROC %: 0.00% (As of . 20)

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XNEP:HHL Himalayan Hydropower Ltd XNEP:HHL
24 GF Score
Price NPR334.00
! 1 Warning Sign
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What is Himalayan Hydropower ROC %?

Himalayan Hydropower XNEP:HHL -1.04% 24 ROC % is 0.00% as of . 20. GuruFocus rates XNEP:HHL with a GF Score™ of 24/100. The stock has 1 warning sign investors should review.

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 Hydropower's annualized return on capital (ROC %) for the quarter that ended in . 20 was 0.00%.

As of today (2026-08-05), Himalayan Hydropower's WACC % is 10.06%. Himalayan Hydropower's ROC % is 0.00% (calculated using TTM income statement data). Himalayan Hydropower earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Himalayan Hydropower  (XNEP:HHL) 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 Hydropower's WACC % is 10.06%. Himalayan Hydropower's ROC % is 0.00% (calculated using TTM income statement data). Himalayan Hydropower 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 Hydropower ROC % Related Terms


Himalayan Hydropower ROC % Historical Data

* Premium members only.

The historical data trend for Himalayan Hydropower'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 Hydropower ROC % Chart

Himalayan Hydropower Annual Data
Trend
ROC %

Himalayan Hydropower Semi-Annual Data
ROC %
XNEP:HHL
24GF Score
Himalayan Hydropower Ltd XNEP:HHL
ROC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Himalayan Hydropower ROC % Calculation

Himalayan Hydropower's annualized Return on Capital (ROC %) for the fiscal year that ended in . 20 is calculated as:

ROC % (A: . 20 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: . 20 ) + Invested Capital (A: . 20 ))/ count )
= * ( 1 - % )/( ( + )/ )
=/
= %

where

Himalayan Hydropower's annualized Return on Capital (ROC %) for the quarter that ended in . 20 is calculated as:

ROC % (Q: . 20 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: . 20 ) + Invested Capital (Q: . 20 ))/ count )
= * ( 1 - % )/( ( + )/ )
=/
= %

where

Note: The Operating Income data used here is one times the annual (. 20) 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 Hydropower (XNEP:HHL) has a ROC % of 0.00% as of . 20. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Himalayan Hydropower and its competitors.
Is Himalayan Hydropower's ROC % too high?
Himalayan Hydropower's current ROC % is 0.00%. Overall, Himalayan Hydropower has a GF Score™ of 24/100, reflecting its overall financial health beyond just this single metric.
How does Himalayan Hydropower's ROC % compare to competitors?
Himalayan Hydropower's ROC % of 0.00% can be compared against companies in the Utilities - Independent Power Producers industry. The industry median ROC % is 2.26. 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 Utilities - Independent Power Producers company?
The median ROC % among Utilities - Independent Power Producers companies is 2.26, based on 434 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 Hydropower and its competitors. For the Utilities - Independent Power Producers industry, the median ROC % is 2.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Himalayan Hydropower'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 Hydropower stock overvalued right now?
Himalayan Hydropower (XNEP:HHL) has a current ROC % of 0.00%. The current ROC % is 0.00%. Himalayan Hydropower's overall GF Score™ is 24/100 with 1 warning sign 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 Himalayan Hydropower (XNEP:HHL), the current ROC % is 0.00% as of . 20. 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 Hydropower Business Description

Address Buddhanagar 10, Kathmandu, NPL
Himalayan Hydropower Ltd engages in developing hydropower electricity. The objectives of the company are to generate electricity by connecting to the national grid. It holds an interest in the Namarjun Madi Hydropower Project (12 MW).
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Get the complete analysis for XNEP:HHL

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

NPR334.00
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