Lynas Rare Earths (HAM:LYIC) ROCE %: 5.60% (As of Dec. 2025)


HAM:LYIC Lynas Rare Earths Ltd HAM:LYIC
78 GF Score
Price €11.90
GF Value €8.15
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Lynas Rare Earths ROCE %?

Lynas Rare Earths HAM:LYIC +5.31% 78 ROCE % is 5.60% as of Dec. 2025. GuruFocus rates HAM:LYIC with a GF Score™ of 78/100 and a GF Value™ of €8.15 (Significantly Overvalued). The stock has 3 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. Lynas Rare Earths's annualized ROCE % for the quarter that ended in Dec. 2025 was 5.60%.

Lynas Rare Earths  (HAM:LYIC) 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.

Lynas Rare Earths ROCE % Related Terms

Lynas Rare Earths ROCE % Historical Data

* Premium members only.

The historical data trend for Lynas Rare Earths'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.

Lynas Rare Earths ROCE % Chart

Lynas Rare Earths Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.94 27.80 15.43 4.46 0.75

Lynas Rare Earths 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 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 4.26 4.62 0.93 0.59 5.60
HAM:LYIC
78GF Score
Lynas Rare Earths Ltd HAM:LYIC
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Lynas Rare Earths ROCE % Calculation

Lynas Rare Earths'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 )
=12.028/( ( (1730.26 - 104.464) + (1661.873 - 85.707) )/ 2 )
=12.028/( (1625.796+1576.166)/ 2 )
=12.028/1600.981
=0.75 %

Lynas Rare Earths'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 )
=105.244/( ( (1661.873 - 85.707) + (2266.846 - 85.834) )/ 2 )
=105.244/( ( 1576.166 + 2181.012 )/ 2 )
=105.244/1878.589
=5.60 %

(1) Note: The EBIT data used here is two times the semi-annual (Dec. 2025) 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 5.60% mean?
Lynas Rare Earths (HAM:LYIC) has a ROCE % of 5.60% as of Dec. 2025.
Is Lynas Rare Earths' ROCE % too high?
Lynas Rare Earths' current ROCE % is 5.60%. Overall, Lynas Rare Earths has a GF Score™ of 78/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lynas Rare Earths' ROCE % compare to competitors?
Lynas Rare Earths' ROCE % of 5.60% 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. Lynas Rare Earths's current ROCE % is 5.60%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lynas Rare Earths stock overvalued right now?
Based on GuruFocus' analysis, Lynas Rare Earths (HAM:LYIC) is currently considered Significantly Overvalued. The stock's GF Value™ is €8.15, compared to a current price of €11.90 — trading 46% above its estimated fair value. The current ROCE % is 5.60%. Lynas Rare Earths' overall GF Score™ is 78/100 with 3 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 Lynas Rare Earths (HAM:LYIC), the current ROCE % is 5.60% 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 Lynas Rare Earths (HAM:LYIC) Overvalued in 2026?

Based on GuruFocus' analysis, Lynas Rare Earths stock appears to be overvalued. The current stock price of €11.90 is trading 46% above its estimated GF Value™ of €8.15. GuruFocus considers Lynas Rare Earths to be Significantly Overvalued.

Key valuation signals for HAM:LYIC:

  • ROCE %: 5.60%
  • GF Value™: €8.15 vs. price of €11.90 (46% above fair value)
  • GF Score™: 78/100 with 3 warning signs

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

Lynas Rare Earths Business Description

Address 1 Howard Street, Level 4, Perth, WA, AUS, 6000
Lynas is the largest rare-earth producer outside China. It owns the high-grade Mount Weld deposit in Western Australia and rare-earth processing facilities in Kalgoorlie and Malaysia. We estimate that Mount Weld is the world's lowest-cost producer of separated neodymium and praseodymium, light rare-earth materials, which are sold to customers in the form of neodymium-praseodymium oxide with a mine life exceeding 20 years. As of December 2025, Lynas is also the only producer of separated heavy rare-earth dysprosium and terbium outside China. The company is further expanding NdPr capacity while diversifying into producing additional separated rare-earth materials, including samarium. It also intends to move downstream into rare-earth metal and magnet production.
78GF Score

Get the complete analysis for HAM:LYIC

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

€11.90
Price
€8.15
GF Value