Paragon Resources (LSE:PAR) ROCE %: -491.06% (As of May. 2014)


What is Paragon Resources ROCE %?

Paragon Resources LSE:PAR ROCE % is -491.06% as of May. 2014.

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. Paragon Resources's annualized ROCE % for the quarter that ended in May. 2014 was -491.06%.

Paragon Resources  (LSE:PAR) 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.

Paragon Resources ROCE % Related Terms

Paragon Resources ROCE % Historical Data

* Premium members only.

The historical data trend for Paragon Resources'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.

Paragon Resources ROCE % Chart

Paragon Resources Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 May13 May14
ROCE %
Get a 7-Day Free Trial -343.07 -71.19 -41.83 0.00 0.00

Paragon Resources Semi-Annual Data
Jun10 Dec10 Jun11 Dec11 Jun12 Nov13 May14 Nov14
ROCE % Get a 7-Day Free Trial -154.08 45.28 -281.05 -491.06 0.00

Paragon Resources ROCE % Calculation

Paragon Resources's annualized ROCE % for the fiscal year that ended in May. 2014 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: May. 2014 )  (A: May. 2013 )(A: May. 2014 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: May. 2014 )  (A: May. 2013 )(A: May. 2014 )
=-0.357/( ( (0.281 - 0.581) + (0.019 - 0.049) )/ 2 )
=-0.357/( (-0.3+-0.03)/ 2 )
=-0.357/-0.165
=216.36 %

Paragon Resources's ROCE % of for the quarter that ended in May. 2014 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: May. 2014 )  (Q: Nov. 2013 )(Q: May. 2014 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: May. 2014 )  (Q: Nov. 2013 )(Q: May. 2014 )
=-0.302/( ( (0.215 - 0.062) + (0.019 - 0.049) )/ 2 )
=-0.302/( ( 0.153 + -0.03 )/ 2 )
=-0.302/0.0615
=-491.06 %

(1) Note: The EBIT data used here is two times the semi-annual (May. 2014) 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 -491.06% mean?
Paragon Resources (LSE:PAR) has a ROCE % of -491.06% as of May. 2014.
Is Paragon Resources' ROCE % too high?
Paragon Resources' current ROCE % is -491.06%.
How does Paragon Resources' ROCE % compare to competitors?
Paragon Resources' ROCE % of -491.06% can be compared against companies in the Conglomerates industry. The industry median ROCE % is 6.90. 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 Conglomerates company?
The median ROCE % among Conglomerates companies is 6.90, based on 556 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 Conglomerates industry, the median ROCE % is 6.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paragon Resources's current ROCE % is -491.06%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Paragon Resources stock overvalued right now?
Paragon Resources (LSE:PAR) has a current ROCE % of -491.06%. The current ROCE % is -491.06%. 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 Paragon Resources (LSE:PAR), the current ROCE % is -491.06% as of May. 2014. 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.

Paragon Resources Business Description