Lovisa Holdings (ASX:LOV) ROCE %: 38.31% (As of Dec. 2025)

What is Lovisa Holdings ROCE %?

Lovisa Holdings ASX:LOV +0.69% 97 ROCE % is 38.31% as of Dec. 2025. GuruFocus rates ASX:LOV with a GF Score™ of 97/100 and a GF Value™ of A$39.35 (Significantly Undervalued). The stock has 2 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Lovisa Holdings's annualized ROCE % for the quarter that ended in Dec. 2025 was 38.31%.

Lovisa Holdings (ASX:LOV) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Lovisa Holdings ROCE % Related Terms

Lovisa Holdings ROCE % Historical Data

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The historical data trend for Lovisa Holdings's ROCE % 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.

Lovisa Holdings ROCE % Chart

Lovisa Holdings Annual Data

Trend

Jun16

Jun17

Jun18

Jun19

Jun20

Jun21

Jun22

Jun23

Jun24

Jun25

ROCE %

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22.39

38.24

33.08

32.26

30.84

Lovisa Holdings Semi-Annual Data
	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23	Jun24	Dec24	Jun25	Dec25
ROCE %	Get a 7-Day Free Trial															40.44	23.47	43.53	20.52	38.31

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Lovisa Holdings Ltd ASX:LOV

ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.

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Lovisa Holdings ROCE % Calculation

Lovisa Holdings's annualized ROCE % for the fiscal year that ended in Jun. 2025 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Jun. 2025 )		(A: Jun. 2024 )		(A: Jun. 2025 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Jun. 2025 )		(A: Jun. 2024 )		(A: Jun. 2025 )
	=	139.144	/	( ( (532.799 - 139.837)	+	(698.433 - 189.022) )	/ 2 )
	=	139.144	/	( (392.962	+	509.411)	/ 2 )
	=	139.144	/	451.1865
	=	30.84 %

Lovisa Holdings's ROCE % of for the quarter that ended in Dec. 2025 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Dec. 2025 )		(Q: Jun. 2025 )		(Q: Dec. 2025 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Dec. 2025 )		(Q: Jun. 2025 )		(Q: Dec. 2025 )
	=	196.952	/	( ( (698.433 - 189.022)	+	(737.934 - 219.083) )	/ 2 )
	=	196.952	/	( ( 509.411	+	518.851 )	/ 2 )
	=	196.952	/	514.131
	=	38.31 %

(1) Note: The EBIT data used here is two times the semi-annual (Dec. 2025) EBIT data.

Frequently Asked Questions Learn more about ROCE % →

What does a ROCE % of 38.31% mean?

Lovisa Holdings (ASX:LOV) has a ROCE % of 38.31% as of Dec. 2025.

Is Lovisa Holdings' ROCE % too high?

Lovisa Holdings' current ROCE % is 38.31%. The Retail - Cyclical industry median ROCE % is 7.58. Lovisa Holdings' value of 38.31% is 405.4% above this industry median. Overall, Lovisa Holdings has a GF Score™ of 97/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.

How does Lovisa Holdings' ROCE % compare to CASY and WSM?

Lovisa Holdings' ROCE % of 38.31% can be compared against companies in the Retail - Cyclical industry. The industry median ROCE % is 7.58. Lovisa Holdings' value of 38.31% is 405.4% 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 ROCE % for a Retail - Cyclical company?

The median ROCE % among Retail - Cyclical companies is 7.58, based on 1,117 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lovisa Holdings's current ROCE % of 38.31% is 405.4% 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 ROCE % mean?

A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Retail - Cyclical industry, the median ROCE % is 7.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lovisa Holdings's current ROCE % is 38.31%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Lovisa Holdings stock overvalued right now?

Based on GuruFocus' analysis, Lovisa Holdings (ASX:LOV) is currently considered Significantly Undervalued. The stock's GF Value™ is A$39.35, compared to a current price of A$23.25 — trading 40.9% below its estimated fair value. The current ROCE % is 38.31% and 405.4% above the Retail - Cyclical industry median of 7.58. Lovisa Holdings' overall GF Score™ is 97/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is ROCE % calculated?

ROCE % is calculated from a company's financial statements. For Lovisa Holdings (ASX:LOV), the current ROCE % is 38.31% as of Dec. 2025. 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 Lovisa Holdings (ASX:LOV) Overvalued in 2026?

Based on GuruFocus' analysis, Lovisa Holdings stock appears to be undervalued. The current stock price of A$23.25 is trading 40.9% below its estimated GF Value™ of A$39.35. GuruFocus considers Lovisa Holdings to be Significantly Undervalued.

Key valuation signals for ASX:LOV:

ROCE %: 38.31%
GF Value™: A$39.35 vs. price of A$23.25 (40.9% below fair value)
GF Score™: 97/100 with 2 warning signs
Industry Position: 405.4% above the Retail - Cyclical median

No single metric tells the full story. See the ASX:LOV stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Lovisa Holdings Business Description

Industry Consumer Cyclical Retail - Cyclical

Comparable Companies ASX:SUL ASX:NCK ASX:TPW ASX:BLX ASX:BAP ASX:ADH ASX:BBN ASX:CCV ASX:JYC ASX:SSG TSX:ATD XJAM:ASBH CASY WSM ULTA DKS SHSE:601888 TSCO BBY ADX:ADNOCDIST

Other Exchanges LO7:Germany

Address 818-820 Glenferrie Road, Level 1, Hawthorn, Melbourne, VIC, AUS, 3122

Website https://www.lovisa.com

Lovisa is a global fast-fashion retailer specializing in jewelry. A vertically integrated supply chain allows it to develop, source, and merchandise its exclusive products. Its target customer base is millennials seeking affordable and fashionable jewelry or receiving it as gifts. Lovisa's global network of own-operated and franchised stores span across more than 30 countries. Lovisa's sales growth record is largely underpinned by global store rollouts. The store format and offering is standardized globally, with stores typically in shopping centers and malls with relatively high foot traffic and sales per square meter. Lovisa also operates online stores and in-store piercing services in all its jurisdictions.

97GF Score

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

A$23.25

Price

A$39.35

GF Value

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