NVL (Novelis) ROCE %: 12.00% (As of Mar. 2024)


What is Novelis ROCE %?

Novelis NVL ROCE % is 12.00% as of Mar. 2024.

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. Novelis's annualized ROCE % for the quarter that ended in Mar. 2024 was 12.00%.

Novelis  (NYSE:NVL) 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.

Novelis ROCE % Related Terms

Novelis ROCE % Historical Data

* Premium members only.

The historical data trend for Novelis'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.

Novelis ROCE % Chart

Novelis Annual Data
Trend Mar08 Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 Mar15 Mar23 Mar24
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.58 6.92 8.52 14.43 11.59

Novelis Quarterly Data
Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Mar23 Jun23 Sep23 Dec23 Mar24
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 12.38 11.94 11.84 10.21 12.00

Novelis ROCE % Calculation

Novelis's annualized ROCE % for the fiscal year that ended in Mar. 2024 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Mar. 2024 )  (A: Mar. 2023 )(A: Mar. 2024 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Mar. 2024 )  (A: Mar. 2023 )(A: Mar. 2024 )
=1116/( ( (14364 - 4899) + (14628 - 4835) )/ 2 )
=1116/( (9465+9793)/ 2 )
=1116/9629
=11.59 %

Novelis's ROCE % of for the quarter that ended in Mar. 2024 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2024 )  (Q: Dec. 2023 )(Q: Mar. 2024 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2024 )  (Q: Dec. 2023 )(Q: Mar. 2024 )
=1180/( ( (14331 - 4457) + (14628 - 4835) )/ 2 )
=1180/( ( 9874 + 9793 )/ 2 )
=1180/9833.5
=12.00 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2024) 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 12.00% mean?
Novelis (NVL) has a ROCE % of 12.00% as of Mar. 2024.
Is Novelis' ROCE % too high?
Novelis' current ROCE % is 12.00%.
How does Novelis' ROCE % compare to ?
Novelis' ROCE % of 12.00% 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. Novelis's current ROCE % is 12.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Novelis stock overvalued right now?
Novelis (NVL) has a current ROCE % of 12.00%. The current ROCE % is 12.00%. 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 Novelis (NVL), the current ROCE % is 12.00% as of Mar. 2024. 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.

Novelis Business Description

Comparable Companies
Address 3560 Lenox Road, Suite 2000, Atlanta, GA, USA, 30326
Novelis Inc is aluminum rolled product producer, with operations on four continents. It acquires and recycles aluminum and processes it into semifinished coils in various tempers, gauges, and widths. Company has four geographical segment North America, Europe, Asia, and South America. Each segment manufactures aluminum sheet and light gauge products and recycles aluminum, while Asia and Europe segments also produce aerospace and industries.