PDFS (PDF Solutions) ROCE %: 7.86% (As of Mar. 2026)

What is PDF Solutions ROCE %?

PDF Solutions PDFS +5.02% 77 ROCE % is 7.86% as of Mar. 2026. GuruFocus rates PDFS with a GF Score™ of 77/100 and a GF Value™ of $41.59 (Significantly 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. PDF Solutions's annualized ROCE % for the quarter that ended in Mar. 2026 was 7.86%.

PDF Solutions (NAS:PDFS) 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.

PDF Solutions ROCE % Related Terms

PDF Solutions ROCE % Historical Data

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The historical data trend for PDF Solutions'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.

PDF Solutions ROCE % Chart

PDF Solutions Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

ROCE %

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-6.66

-0.93

2.12

2.66

2.38

PDF Solutions 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															-3.70	1.59	5.60	4.43	7.86

77GF Score

PDF Solutions Inc PDFS

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PDF Solutions ROCE % Calculation

PDF Solutions'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 )
	=	7.156	/	( ( (315.289 - 60.542)	+	(418.697 - 71.891) )	/ 2 )
	=	7.156	/	( (254.747	+	346.806)	/ 2 )
	=	7.156	/	300.7765
	=	2.38 %

PDF Solutions'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 )
	=	27.62	/	( ( (418.697 - 71.891)	+	(430.564 - 74.967) )	/ 2 )
	=	27.62	/	( ( 346.806	+	355.597 )	/ 2 )
	=	27.62	/	351.2015
	=	7.86 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

Frequently Asked Questions Learn more about ROCE % →

What does a ROCE % of 7.86% mean?

PDF Solutions (PDFS) has a ROCE % of 7.86% as of Mar. 2026.

Is PDF Solutions' ROCE % too high?

PDF Solutions' current ROCE % is 7.86%. The Software industry median ROCE % is 5.27. PDF Solutions' value of 7.86% is 49.1% above this industry median. Overall, PDF Solutions has a GF Score™ of 77/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.

How does PDF Solutions' ROCE % compare to SPSC and EVCM?

PDF Solutions' ROCE % of 7.86% can be compared against companies in the Software industry. The industry median ROCE % is 5.27. PDF Solutions' value of 7.86% is 49.1% 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 a Software company?

The median ROCE % among Software companies is 5.27, based on 2,711 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. PDF Solutions's current ROCE % of 7.86% is 49.1% 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 Software industry, the median ROCE % is 5.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PDF Solutions's current ROCE % is 7.86%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is PDF Solutions stock overvalued right now?

Based on GuruFocus' analysis, PDF Solutions (PDFS) is currently considered Significantly Overvalued. The stock's GF Value™ is $41.59, compared to a current price of $63.61 — trading 52.9% above its estimated fair value. The current ROCE % is 7.86% and 49.1% above the Software industry median of 5.27. PDF Solutions' overall GF Score™ is 77/100 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 PDF Solutions (PDFS), the current ROCE % is 7.86% 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 PDF Solutions (PDFS) Overvalued in 2026?

Based on GuruFocus' analysis, PDF Solutions stock appears to be overvalued. The current stock price of $63.61 is trading 52.9% above its estimated GF Value™ of $41.59. GuruFocus considers PDF Solutions to be Significantly Overvalued.

Key valuation signals for PDFS:

ROCE %: 7.86%
GF Value™: $41.59 vs. price of $63.61 (52.9% above fair value)
GF Score™: 77/100 with 6 warning signs
Industry Position: 49.1% above the Software median

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

PDF Solutions Business Description

Industry Technology Software

Comparable Companies SPSC EVCM ALKT PLUS VERX GRND ALRM WLTH INTA ASAN XTER:SAP CRM SHOP UBER NOW ADBE CDNS INTU ADP SNOW

Other Exchanges PD9:Germany

Address 2858 De La Cruz Boulevard, Santa Clara, CA, USA, 95050

Website https://www.pdf.com

PDF Solutions Inc provides products and services designed to empower organizations across the semiconductor and electronics ecosystem to connect, collect, manage, and analyze data about design, equipment, manufacturing, and test to improve the yield and quality of their products and operational efficiency. The Company's products, services, and solutions include proprietary software, physical intellectual property (IP) for integrated circuit (IC) designs, electrical measurement hardware tools, methodologies, and professional services.

77GF Score

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$63.61

Price

$41.59

GF Value

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