Houston American Energy (FRA:8H6) ROCE %: -176.88% (As of Sep. 2025)

What is Houston American Energy ROCE %?

Houston American Energy FRA:8H6 -5.56% 36 ROCE % is -176.88% as of Sep. 2025. GuruFocus rates FRA:8H6 with a GF Score™ of 36/100 and a GF Value™ of €7.93. The stock has 5 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. Houston American Energy's annualized ROCE % for the quarter that ended in Sep. 2025 was -176.88%.

Houston American Energy (FRA:8H6) 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.

Houston American Energy ROCE % Related Terms

Houston American Energy ROCE % Historical Data

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The historical data trend for Houston American Energy'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.

Houston American Energy ROCE % Chart

Houston American Energy Annual Data

Trend

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

ROCE %

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-60.26

-12.21

-7.24

-15.45

-36.76

Houston American Energy Quarterly Data
	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25
ROCE %	Get a 7-Day Free Trial															-6.49	-55.73	-74.03	-91.02	-176.88

36GF Score

Houston American Energy Corp FRA:8H6

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

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Houston American Energy ROCE % Calculation

Houston American Energy's annualized ROCE % for the fiscal year that ended in Dec. 2024 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Dec. 2024 )		(A: Dec. 2023 )		(A: Dec. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Dec. 2024 )		(A: Dec. 2023 )		(A: Dec. 2024 )
	=	-2.456	/	( ( (9.518 - 0.228)	+	(4.204 - 0.132) )	/ 2 )
	=	-2.456	/	( (9.29	+	4.072)	/ 2 )
	=	-2.456	/	6.681
	=	-36.76 %

Houston American Energy's ROCE % of for the quarter that ended in Sep. 2025 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Sep. 2025 )		(Q: Jun. 2025 )		(Q: Sep. 2025 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Sep. 2025 )		(Q: Jun. 2025 )		(Q: Sep. 2025 )
	=	-23.592	/	( ( (7.557 - 0.21)	+	(24.565 - 5.237) )	/ 2 )
	=	-23.592	/	( ( 7.347	+	19.328 )	/ 2 )
	=	-23.592	/	13.3375
	=	-176.88 %

(1) Note: The EBIT data used here is four times the quarterly (Sep. 2025) EBIT data.

Frequently Asked Questions Learn more about ROCE % →

What does a ROCE % of -176.88% mean?

Houston American Energy (FRA:8H6) has a ROCE % of -176.88% as of Sep. 2025.

Is Houston American Energy's ROCE % too high?

Houston American Energy's current ROCE % is -176.88%. Overall, Houston American Energy has a GF Score™ of 36/100, reflecting its overall financial health beyond just this single metric.

How does Houston American Energy's ROCE % compare to PVL and EP?

Houston American Energy's ROCE % of -176.88% can be compared against companies in the Oil & Gas industry. The industry median ROCE % is 6.85. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good ROCE % for an Oil & Gas company?

The median ROCE % among Oil & Gas companies is 6.85, based on 981 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. 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 Oil & Gas industry, the median ROCE % is 6.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Houston American Energy's current ROCE % is -176.88%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Houston American Energy stock overvalued right now?

Houston American Energy (FRA:8H6) has a current ROCE % of -176.88%. The stock's GF Value™ is €7.93, compared to a current price of €1.70 — trading 78.6% below its estimated fair value. The current ROCE % is -176.88%. Houston American Energy's overall GF Score™ is 36/100 with 5 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 Houston American Energy (FRA:8H6), the current ROCE % is -176.88% as of Sep. 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 Houston American Energy (FRA:8H6) Overvalued in 2026?

Based on GuruFocus' analysis, Houston American Energy stock appears to be undervalued. The current stock price of €1.70 is trading 78.6% below its estimated GF Value™ of €7.93.

Key valuation signals for FRA:8H6:

ROCE %: -176.88%
GF Value™: €7.93 vs. price of €1.70 (78.6% below fair value)
GF Score™: 36/100 with 5 warning signs

No single metric tells the full story. See the FRA:8H6 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Houston American Energy Business Description

Industry Energy Oil & Gas

Comparable Companies PVL EP LRDC NRT CRT PROP CJAX VOC PRT PED HKSE:00883 COP TSX:CNQ EOG MIC:NVTK FANG OXY EQT ASX:WDS EXE

Address 801 Travis Street, Suite 1425, Houston, TX, USA, 77002

Website https://www.houstonamerican.com

Houston American Energy Corp is an independent oil and gas company focused on the development, exploration, exploitation, acquisition, and production of natural gas and crude oil properties. Its properties, and operations, are in the U.S. Permian Basin, the U.S. Gulf Coast region, particularly Louisiana, and the South American country of Colombia. Geographically, the company currently has operations in two geographical areas, the United States, from where it derives maximum revenue, and Colombia.

36GF Score

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€1.70

Price

€7.93

GF Value

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