Alfa Laval AB (FRA:AA9) ROCE %: 16.41% (As of Mar. 2026)


FRA:AA9 Alfa Laval AB FRA:AA9
91 GF Score
Price €49.88
GF Value €43.49
Valuation Modestly Overvalued
! 6 Warning Signs
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What is Alfa Laval AB ROCE %?

Alfa Laval AB FRA:AA9 -2.20% 91 ROCE % is 16.41% as of Mar. 2026. GuruFocus rates FRA:AA9 with a GF Score™ of 91/100 and a GF Value™ of €43.49 (Modestly Overvalued). The stock has 6 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. Alfa Laval AB's annualized ROCE % for the quarter that ended in Mar. 2026 was 16.41%.

Alfa Laval AB  (FRA:AA9) 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.

Alfa Laval AB ROCE % Related Terms

Alfa Laval AB ROCE % Historical Data

* Premium members only.

The historical data trend for Alfa Laval AB'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.

Alfa Laval AB ROCE % Chart

Alfa Laval AB Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.98 13.17 16.93 18.84 20.28

Alfa Laval AB 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 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 20.04 20.01 21.23 19.80 16.41
FRA:AA9
91GF Score
Alfa Laval AB FRA:AA9
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Alfa Laval AB ROCE % Calculation

Alfa Laval AB's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=1081.479/( ( (7720.243 - 2734.595) + (9020.229 - 3341.567) )/ 2 )
=1081.479/( (4985.648+5678.662)/ 2 )
=1081.479/5332.155
=20.28 %

Alfa Laval AB'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 )
=996.72/( ( (9020.229 - 3341.567) + (9489.822 - 3022.839) )/ 2 )
=996.72/( ( 5678.662 + 6466.983 )/ 2 )
=996.72/6072.8225
=16.41 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) 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 16.41% mean?
Alfa Laval AB (FRA:AA9) has a ROCE % of 16.41% as of Mar. 2026.
Is Alfa Laval AB's ROCE % too high?
Alfa Laval AB's current ROCE % is 16.41%. The Industrial Products industry median ROCE % is 7.10. Alfa Laval AB's value of 16.41% is 131.1% above this industry median. Overall, Alfa Laval AB has a GF Score™ of 91/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Alfa Laval AB's ROCE % compare to GEV and ETN?
Alfa Laval AB's ROCE % of 16.41% can be compared against companies in the Industrial Products industry. The industry median ROCE % is 7.10. Alfa Laval AB's value of 16.41% is 131.1% 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 an Industrial Products company?
The median ROCE % among Industrial Products companies is 7.10, based on 3,032 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. Alfa Laval AB's current ROCE % of 16.41% is 131.1% 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 Industrial Products industry, the median ROCE % is 7.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alfa Laval AB's current ROCE % is 16.41%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alfa Laval AB stock overvalued right now?
Based on GuruFocus' analysis, Alfa Laval AB (FRA:AA9) is currently considered Modestly Overvalued. The stock's GF Value™ is €43.49, compared to a current price of €49.88 — trading 14.7% above its estimated fair value. The current ROCE % is 16.41% and 131.1% above the Industrial Products industry median of 7.10. Alfa Laval AB's overall GF Score™ is 91/100 with 6 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 Alfa Laval AB (FRA:AA9), the current ROCE % is 16.41% 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 Alfa Laval AB (FRA:AA9) Overvalued in 2026?

Based on GuruFocus' analysis, Alfa Laval AB stock appears to be overvalued. The current stock price of €49.88 is trading 14.7% above its estimated GF Value™ of €43.49. GuruFocus considers Alfa Laval AB to be Modestly Overvalued.

Key valuation signals for FRA:AA9:

  • ROCE %: 16.41%
  • GF Value™: €43.49 vs. price of €49.88 (14.7% above fair value)
  • GF Score™: 91/100 with 6 warning signs
  • Industry Position: 131.1% above the Industrial Products median

No single metric tells the full story. See the FRA:AA9 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Alfa Laval AB Business Description

Address Rudeboksvagen 1, P.O. Box 73, Lund, SWE, SE-221 00
Alfa Laval is a leading manufacturer of highly engineered equipment, primarily in the areas of separation, heat transfer, and fluid handling, used by a diverse range of customers spanning the food, water, energy, and marine industries. These products play a key role in a number of industrial processes, and Alfa Laval enjoys a leading position in all three areas. Alfa Laval's history stretches back 140 years to when its first separator was developed. The company is listed on the Stockholm stock exchange.
91GF Score

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

€49.88
Price
€43.49
GF Value