DRS Data & Research Services (LSE:DRSA) ROCE %: -23.24% (As of Dec. 2015)


What is DRS Data & Research Services ROCE %?

DRS Data & Research Services LSE:DRSA ROCE % is -23.24% as of Dec. 2015. 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. DRS Data & Research Services's annualized ROCE % for the quarter that ended in Dec. 2015 was -23.24%.

DRS Data & Research Services  (LSE:DRSA) 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.

DRS Data & Research Services ROCE % Related Terms

DRS Data & Research Services ROCE % Historical Data

* Premium members only.

The historical data trend for DRS Data & Research Services'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.

DRS Data & Research Services ROCE % Chart

DRS Data & Research Services Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.43 15.54 13.59 -19.36 -34.84

DRS Data & Research Services Semi-Annual Data
Jun06 Dec06 Jun07 Dec07 Jun08 Dec08 Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15
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 40.25 -59.48 20.60 -47.04 -23.24

DRS Data & Research Services ROCE % Calculation

DRS Data & Research Services's annualized ROCE % for the fiscal year that ended in Dec. 2015 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2015 )  (A: Dec. 2014 )(A: Dec. 2015 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2015 )  (A: Dec. 2014 )(A: Dec. 2015 )
=-2.65/( ( (10.79 - 1.946) + (9.508 - 3.14) )/ 2 )
=-2.65/( (8.844+6.368)/ 2 )
=-2.65/7.606
=-34.84 %

DRS Data & Research Services's ROCE % of for the quarter that ended in Dec. 2015 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Dec. 2015 )  (Q: Jun. 2015 )(Q: Dec. 2015 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Dec. 2015 )  (Q: Jun. 2015 )(Q: Dec. 2015 )
=-1.56/( ( (12.377 - 5.321) + (9.508 - 3.14) )/ 2 )
=-1.56/( ( 7.056 + 6.368 )/ 2 )
=-1.56/6.712
=-23.24 %

(1) Note: The EBIT data used here is two times the semi-annual (Dec. 2015) 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 -23.24% mean?
DRS Data & Research Services (LSE:DRSA) has a ROCE % of -23.24% as of Dec. 2015.
Is DRS Data & Research Services' ROCE % too high?
DRS Data & Research Services' current ROCE % is -23.24%.
How does DRS Data & Research Services' ROCE % compare to competitors?
DRS Data & Research Services' ROCE % of -23.24% can be compared against companies in the Business Services industry. The industry median ROCE % is 8.82. 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 Business Services company?
The median ROCE % among Business Services companies is 8.82, based on 1,070 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 Business Services industry, the median ROCE % is 8.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DRS Data & Research Services's current ROCE % is -23.24%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DRS Data & Research Services stock overvalued right now?
DRS Data & Research Services (LSE:DRSA) has a current ROCE % of -23.24%. The current ROCE % is -23.24%. 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 DRS Data & Research Services (LSE:DRSA), the current ROCE % is -23.24% as of Dec. 2015. 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.

DRS Data & Research Services Business Description

DRS Data & Research Services PLC was incorporated on August 1, 1969. The Company is engaged in the provision of data capture services, the manufacture, sale and support of optical and image scanning equipment, design and printing of documentation used for data capture and associated software and bureau services.