VFRM (Veritas Farms) ROCE %: -112.92% (As of Sep. 2023)

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VFRM Veritas Farms Inc VFRM
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What is Veritas Farms ROCE %?

Veritas Farms VFRM 12 ROCE % is -112.92% as of Sep. 2023. GuruFocus rates VFRM with a GF Score™ of 12/100.

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. Veritas Farms's annualized ROCE % for the quarter that ended in Sep. 2023 was -112.92%.

Veritas Farms  (OTCPK:VFRM) 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.

Veritas Farms ROCE % Related Terms

Veritas Farms ROCE % Historical Data

* Premium members only.

The historical data trend for Veritas Farms'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.

Veritas Farms ROCE % Chart

Veritas Farms Annual Data
Trend Jan16 Jan17 Dec18 Dec19 Dec20 Dec21 Dec22
ROCE %
Get a 7-Day Free Trial -122.37 -118.97 -70.78 -91.92 -93.01

Veritas Farms Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
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 -61.25 -186.28 -93.36 -212.75 -112.92
VFRM
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Veritas Farms Inc VFRM
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Veritas Farms ROCE % Calculation

Veritas Farms's annualized ROCE % for the fiscal year that ended in Dec. 2022 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2022 )  (A: Dec. 2021 )(A: Dec. 2022 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2022 )  (A: Dec. 2021 )(A: Dec. 2022 )
=-4.658/( ( (8.598 - 2.209) + (6.794 - 3.167) )/ 2 )
=-4.658/( (6.389+3.627)/ 2 )
=-4.658/5.008
=-93.01 %

Veritas Farms's ROCE % of for the quarter that ended in Sep. 2023 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Sep. 2023 )  (Q: Jun. 2023 )(Q: Sep. 2023 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Sep. 2023 )  (Q: Jun. 2023 )(Q: Sep. 2023 )
=-3.124/( ( (5.462 - 3.78) + (8.319 - 4.468) )/ 2 )
=-3.124/( ( 1.682 + 3.851 )/ 2 )
=-3.124/2.7665
=-112.92 %

(1) Note: The EBIT data used here is four times the quarterly (Sep. 2023) 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 -112.92% mean?
Veritas Farms (VFRM) has a ROCE % of -112.92% as of Sep. 2023.
Is Veritas Farms' ROCE % too high?
Veritas Farms' current ROCE % is -112.92%. Overall, Veritas Farms has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Veritas Farms' ROCE % compare to STMH and NXEN?
Veritas Farms' ROCE % of -112.92% can be compared against companies in the Drug Manufacturers industry. The industry median ROCE % is 7.04. 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 Drug Manufacturers company?
The median ROCE % among Drug Manufacturers companies is 7.04, based on 964 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 Drug Manufacturers industry, the median ROCE % is 7.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Veritas Farms's current ROCE % is -112.92%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Veritas Farms stock overvalued right now?
Veritas Farms (VFRM) has a current ROCE % of -112.92%. The current ROCE % is -112.92%. Veritas Farms' overall GF Score™ is 12/100. 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 Veritas Farms (VFRM), the current ROCE % is -112.92% as of Sep. 2023. 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.

Veritas Farms Business Description

Address 401 E. Las Olas Boulevard, Suite 1400, Fort Lauderdale, FL, USA, 33001
Veritas Farms Inc is engaged in producing natural rich-hemp products, using strict natural protocols and materials yielding broad spectrum phytocannabinoid rich hemp oils, distillates and isolates. Its products include Full Spectrum CBD Tincture, Full Spectrum CBD Salve, Full Spectrum CBD Capsules, Full Spectrum CBD Lotion and Others.
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ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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