Istmo Compania de Reaseguros (XPTY:REIS) ROC %: -23.17% (As of Sep. 2016)

What is Istmo Compania de Reaseguros ROC %?

Istmo Compania de Reaseguros XPTY:REIS ROC % is -23.17% as of Sep. 2016.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Istmo Compania de Reaseguros's annualized return on capital (ROC %) for the quarter that ended in Sep. 2016 was -23.17%.

As of today (2026-06-26), Istmo Compania de Reaseguros's WACC % is 0.00%. Istmo Compania de Reaseguros's ROC % is 0.00% (calculated using TTM income statement data). Istmo Compania de Reaseguros earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Istmo Compania de Reaseguros (XPTY:REIS) 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, Istmo Compania de Reaseguros's WACC % is 0.00%. Istmo Compania de Reaseguros's ROC % is 0.00% (calculated using TTM income statement data). Istmo Compania de Reaseguros 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.

Istmo Compania de Reaseguros ROC % Related Terms

Istmo Compania de Reaseguros ROC % Historical Data

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The historical data trend for Istmo Compania de Reaseguros'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.

Istmo Compania de Reaseguros ROC % Chart

Istmo Compania de Reaseguros Annual Data

Trend

Dec09

Dec10

Dec11

Dec12

Dec13

Dec14

Dec15

ROC %

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5.12

4.34

4.43

4.61

-0.05

Istmo Compania de Reaseguros Quarterly Data
	Dec09	Dec10	Dec11	Dec12	Dec13	Mar14	Jun14	Sep14	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16
ROC %	Get a 7-Day Free Trial											-6.88	0.35	-1.64	-8.90	-23.17

Istmo Compania de Reaseguros ROC % Calculation

Istmo Compania de Reaseguros's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2015 is calculated as:

	ROC % (A: Dec. 2015 )
=	NOPAT	/	Average Invested Capital
=	EBIT * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2014 )	+	Invested Capital (A: Dec. 2015 ))	/ count )
=	-0.177 * ( 1 - 0% )	/	( (323.91295	+	330.14805)	/ 2 )
=	-0.177	/	327.0305
=	-0.05 %

where

	Invested Capital		(A: Dec. 2014 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Balance Sheet Cash And Cash Equivalents	-	5% * Revenue )
=	379.468	-	44.056	-	( 17.762	-	5% * 125.259 )
=	323.91295

	Invested Capital		(A: Dec. 2015 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Balance Sheet Cash And Cash Equivalents	-	5% * Revenue )
=	422.087	-	71.699	-	( 24.275	-	5% * 80.701 )
=	330.14805

Istmo Compania de Reaseguros's annualized Return on Capital (ROC %) for the quarter that ended in Sep. 2016 is calculated as:

	ROC % (Q: Sep. 2016 )
=	NOPAT	/	Average Invested Capital
=	EBIT * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2016 )	+	Invested Capital (Q: Sep. 2016 ))	/ count )
=	-71.972 * ( 1 - 0.8% )	/	( (321.1725	+	294.98525)	/ 2 )
=	-71.396224	/	308.078875
=	-23.17 %

where

	Invested Capital		(Q: Jun. 2016 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Balance Sheet Cash And Cash Equivalents	-	5% * Revenue )
=	418.131	-	68.119	-	( 30.284	-	5% * 28.89 )
=	321.1725

	Invested Capital		(Q: Sep. 2016 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Balance Sheet Cash And Cash Equivalents	-	5% * Revenue )
=	413.916	-	72.383	-	( 46.79	-	5% * 4.845 )
=	294.98525

Note: The EBIT data used here is four times the quarterly (Sep. 2016) data. The tax rate is limited to between 0% and 100%.

Frequently Asked Questions Learn more about ROC % →

What does a ROC % of -23.17% mean?

Istmo Compania de Reaseguros (XPTY:REIS) has a ROC % of -23.17% as of Sep. 2016. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Istmo Compania de Reaseguros and its competitors.

Is Istmo Compania de Reaseguros' ROC % too high?

Istmo Compania de Reaseguros' current ROC % is -23.17%.

How does Istmo Compania de Reaseguros' ROC % compare to BCRH and OXBR?

Istmo Compania de Reaseguros' ROC % of -23.17% can be compared against companies in the Insurance industry. The industry median ROC % is 3.36. 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 3.36, based on 368 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 Istmo Compania de Reaseguros and its competitors. For the Insurance industry, the median ROC % is 3.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Istmo Compania de Reaseguros's current ROC % is -23.17%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Istmo Compania de Reaseguros stock overvalued right now?

Istmo Compania de Reaseguros (XPTY:REIS) has a current ROC % of -23.17%. The current ROC % is -23.17%. 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 Istmo Compania de Reaseguros (XPTY:REIS), the current ROC % is -23.17% as of Sep. 2016. 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.

Istmo Compania de Reaseguros Business Description

Industry Financial Services Insurance

Comparable Companies KAR:PAKRI BCRH ISX:MREI MUS:OUIS SGX:S49 BAH:ARIG SAU:8311 STC:BIC SAU:8200 BKK:THREL XKLS:6459 OXBR TSXV:TIL BKK:THRE WMIH XLJU:POSR TPE:2851 MHLD XKRX:003690 TPRE

Address Av Paseo Roberto Motta, Costa del Este, PO Box 0816-03239, Pacific Vista Street, No. PH-51, Panama, PAN

Website http://www.istmore.com

Istmo Compania de Reaseguros Inc is a Panamanian reinsurance company. The Company offers reinsurance, insurance and specialized services.