Prosperity Resources (ASX:PSP) ROCE %: 0.00% (As of Jun. 2016)


What is Prosperity Resources ROCE %?

Prosperity Resources ASX:PSP ROCE % is 0.00% as of Jun. 2016. The stock has 4 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. Prosperity Resources's annualized ROCE % for the quarter that ended in Jun. 2016 was 0.00%.

Prosperity Resources  (ASX:PSP) 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.

Prosperity Resources ROCE % Related Terms

Prosperity Resources ROCE % Historical Data

* Premium members only.

The historical data trend for Prosperity Resources'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.

Prosperity Resources ROCE % Chart

Prosperity Resources Annual Data
Trend Jun07 Jun08 Jun09 Jun10 Jun11 Jun12 Jun13 Jun14 Jun15 Jun16
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -38.47 -63.69 -334.78 0.00 0.00

Prosperity Resources Semi-Annual Data
Dec06 Jun07 Dec07 Jun08 Dec08 Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16
ROCE % 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 -594.86 0.00 0.00 0.00 0.00

Prosperity Resources ROCE % Calculation

Prosperity Resources's annualized ROCE % for the fiscal year that ended in Jun. 2016 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Jun. 2016 )  (A: Jun. 2015 )(A: Jun. 2016 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Jun. 2016 )  (A: Jun. 2015 )(A: Jun. 2016 )
=-0.526/( ( (0.215 - 2.174) + (0.205 - 2.686) )/ 2 )
=-0.526/( (-1.959+-2.481)/ 2 )
=-0.526/-2.22
=23.69 %

Prosperity Resources's ROCE % of for the quarter that ended in Jun. 2016 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Jun. 2016 )  (Q: Dec. 2015 )(Q: Jun. 2016 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Jun. 2016 )  (Q: Dec. 2015 )(Q: Jun. 2016 )
=-0.542/( ( (0.208 - 2.443) + (0.205 - 2.686) )/ 2 )
=-0.542/( ( -2.235 + -2.481 )/ 2 )
=-0.542/-2.358
=0 %

(1) Note: The EBIT data used here is two times the semi-annual (Jun. 2016) EBIT data.

* 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 ROCE % →
What does a ROCE % of 0.00% mean?
Prosperity Resources (ASX:PSP) has a ROCE % of 0.00% as of Jun. 2016.
Is Prosperity Resources' ROCE % too high?
Prosperity Resources' current ROCE % is 0.00%.
How does Prosperity Resources' ROCE % compare to competitors?
Prosperity Resources' ROCE % of 0.00% can be compared against companies in the Metals & Mining industry. 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 Metals & Mining company?
A good ROCE % depends on the Metals & Mining industry context. However, ROCE % 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 ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. Prosperity Resources's current ROCE % 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 Prosperity Resources stock overvalued right now?
Prosperity Resources (ASX:PSP) has a current ROCE % of 0.00%. The current ROCE % is 0.00%. 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 Prosperity Resources (ASX:PSP), the current ROCE % is 0.00% as of Jun. 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.

Prosperity Resources Business Description

Prosperity Resources Limited (PSP) is an exploration company for gold and iron ore in the Murchison greenstone belt of Western Australia and copper/gold in the Tennant Creek Goldfield of Northern Territory.