ESE (ESCO Technologies) ROCE %: 9.78% (As of Mar. 2026)

What is ESCO Technologies ROCE %?

ESCO Technologies ESE +1.00% 82 ROCE % is 9.78% as of Mar. 2026. GuruFocus rates ESE with a GF Score™ of 82/100 and a GF Value™ of $186.16 (Significantly Overvalued). The stock has 7 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. ESCO Technologies's annualized ROCE % for the quarter that ended in Mar. 2026 was 9.78%.

ESCO Technologies (NYSE:ESE) 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.

ESCO Technologies ROCE % Related Terms

ESCO Technologies ROCE % Historical Data

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The historical data trend for ESCO Technologies'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.

ESCO Technologies ROCE % Chart

ESCO Technologies Annual Data

Trend

Sep16

Sep17

Sep18

Sep19

Sep20

Sep21

Sep22

Sep23

Sep24

Sep25

ROCE %

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6.86

8.43

8.81

10.23

10.05

ESCO Technologies Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
ROCE %	Get a 7-Day Free Trial															9.85	9.31	13.16	8.11	9.78

82GF Score

ESCO Technologies Inc ESE

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ESCO Technologies ROCE % Calculation

ESCO Technologies's annualized ROCE % for the fiscal year that ended in Sep. 2025 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Sep. 2025 )		(A: Sep. 2024 )		(A: Sep. 2025 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Sep. 2025 )		(A: Sep. 2024 )		(A: Sep. 2025 )
	=	170.355	/	( ( (1838.62 - 349.854)	+	(2410.388 - 508.148) )	/ 2 )
	=	170.355	/	( (1488.766	+	1902.24)	/ 2 )
	=	170.355	/	1695.503
	=	10.05 %

ESCO Technologies's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Mar. 2026 )		(Q: Dec. 2025 )		(Q: Mar. 2026 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Mar. 2026 )		(Q: Dec. 2025 )		(Q: Mar. 2026 )
	=	185.052	/	( ( (2398.999 - 518.393)	+	(2405.805 - 500.365) )	/ 2 )
	=	185.052	/	( ( 1880.606	+	1905.44 )	/ 2 )
	=	185.052	/	1893.023
	=	9.78 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

Frequently Asked Questions Learn more about ROCE % →

What does a ROCE % of 9.78% mean?

ESCO Technologies (ESE) has a ROCE % of 9.78% as of Mar. 2026.

Is ESCO Technologies' ROCE % too high?

ESCO Technologies' current ROCE % is 9.78%. The Hardware industry median ROCE % is 5.82. ESCO Technologies' value of 9.78% is 68% above this industry median. Overall, ESCO Technologies has a GF Score™ of 82/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.

How does ESCO Technologies' ROCE % compare to ST and NOVT?

ESCO Technologies' ROCE % of 9.78% can be compared against companies in the Hardware industry. The industry median ROCE % is 5.82. ESCO Technologies' value of 9.78% is 68% 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 Hardware company?

The median ROCE % among Hardware companies is 5.82, based on 2,445 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. ESCO Technologies's current ROCE % of 9.78% is 68% 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 Hardware industry, the median ROCE % is 5.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ESCO Technologies's current ROCE % is 9.78%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is ESCO Technologies stock overvalued right now?

Based on GuruFocus' analysis, ESCO Technologies (ESE) is currently considered Significantly Overvalued. The stock's GF Value™ is $186.16, compared to a current price of $346.51 — trading 86.1% above its estimated fair value. The current ROCE % is 9.78% and 68% above the Hardware industry median of 5.82. ESCO Technologies' overall GF Score™ is 82/100 with 7 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 ESCO Technologies (ESE), the current ROCE % is 9.78% as of Mar. 2026. 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 ESCO Technologies (ESE) Overvalued in 2026?

Based on GuruFocus' analysis, ESCO Technologies stock appears to be overvalued. The current stock price of $346.51 is trading 86.1% above its estimated GF Value™ of $186.16. GuruFocus considers ESCO Technologies to be Significantly Overvalued.

Key valuation signals for ESE:

ROCE %: 9.78%
GF Value™: $186.16 vs. price of $346.51 (86.1% above fair value)
GF Score™: 82/100 with 7 warning signs
Industry Position: 68% above the Hardware median

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

ESCO Technologies Business Description

Industry Technology Hardware

Comparable Companies ST NOVT CGNX VNT ITRI BMI TRMB VPG ITRN MLAB TSE:6861 COHR KEYS GRMN TPE:2360 TDY OSTO:HEXA B MKSI FTV SZSE:002414

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Address 645 Maryville Centre Drive, Suite 300, Saint Louis, MO, USA, 63141-5855

Website https://www.escotechnologies.com

ESCO Technologies Inc sells engineered products and systems for utility, industrial, aerospace, and commercial applications. The firm operates in three segments: Aerospace & Defense (A&D), Utility Solutions Group (USG), and RF Test & Measurement (Test). The Aerospace and Defense segment designs and manufactures specialty filtration and naval products. The USG segment provides diagnostic testing solutions. The Test segment provides its customers with the ability to identify, measure, and contain magnetic, electromagnetic, and acoustic energy.

82GF Score

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$346.51

Price

$186.16

GF Value

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