VLVCY (Volvo Car AB) ROCE %: 3.96% (As of Mar. 2026)


VLVCY Volvo Car AB VLVCY
74 GF Score
Price $4.03
GF Value $5.30
Valuation Modestly Undervalued
! 5 Warning Signs
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What is Volvo Car AB ROCE %?

Volvo Car AB VLVCY -2.98% 74 ROCE % is 3.96% as of Mar. 2026. GuruFocus rates VLVCY with a GF Score™ of 74/100 and a GF Value™ of $5.30 (Modestly Undervalued). The stock has 5 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. Volvo Car AB's annualized ROCE % for the quarter that ended in Mar. 2026 was 3.96%.

Volvo Car AB  (OTCPK:VLVCY) 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.

Volvo Car AB ROCE % Related Terms

Volvo Car AB ROCE % Historical Data

* Premium members only.

The historical data trend for Volvo Car AB'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.

Volvo Car AB ROCE % Chart

Volvo Car AB Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial 13.10 12.12 11.73 11.54 0.74

Volvo Car AB 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 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 3.19 -18.18 12.17 3.65 3.96
VLVCY
74GF Score
Volvo Car AB VLVCY
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Volvo Car AB ROCE % Calculation

Volvo Car AB'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 )
=161.618/( ( (35342.285 - 15437.688) + (40154.086 - 16275.246) )/ 2 )
=161.618/( (19904.597+23878.84)/ 2 )
=161.618/21891.7185
=0.74 %

Volvo Car AB'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 )
=949.64/( ( (40154.086 - 16275.246) + (40703.108 - 16677.328) )/ 2 )
=949.64/( ( 23878.84 + 24025.78 )/ 2 )
=949.64/23952.31
=3.96 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) 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 3.96% mean?
Volvo Car AB (VLVCY) has a ROCE % of 3.96% as of Mar. 2026.
Is Volvo Car AB's ROCE % too high?
Volvo Car AB's current ROCE % is 3.96%. The Vehicles & Parts industry median ROCE % is 7.94. Volvo Car AB's value of 3.96% is 50.1% below this industry median. Overall, Volvo Car AB has a GF Score™ of 74/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Volvo Car AB's ROCE % compare to TSLA and GM?
Volvo Car AB's ROCE % of 3.96% can be compared against companies in the Vehicles & Parts industry. The industry median ROCE % is 7.94. Volvo Car AB's value of 3.96% is 50.1% below 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 Vehicles & Parts company?
The median ROCE % among Vehicles & Parts companies is 7.94, based on 1,319 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. Volvo Car AB's current ROCE % of 3.96% is 50.1% below 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 Vehicles & Parts industry, the median ROCE % is 7.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Volvo Car AB's current ROCE % is 3.96%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Volvo Car AB stock overvalued right now?
Based on GuruFocus' analysis, Volvo Car AB (VLVCY) is currently considered Modestly Undervalued. The stock's GF Value™ is $5.30, compared to a current price of $4.03 — trading 24% below its estimated fair value. The current ROCE % is 3.96% and 50.1% below the Vehicles & Parts industry median of 7.94. Volvo Car AB's overall GF Score™ is 74/100 with 5 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 Volvo Car AB (VLVCY), the current ROCE % is 3.96% 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 Volvo Car AB (VLVCY) Overvalued in 2026?

Based on GuruFocus' analysis, Volvo Car AB stock appears to be undervalued. The current stock price of $4.03 is trading 24% below its estimated GF Value™ of $5.30. GuruFocus considers Volvo Car AB to be Modestly Undervalued.

Key valuation signals for VLVCY:

  • ROCE %: 3.96%
  • GF Value™: $5.30 vs. price of $4.03 (24% below fair value)
  • GF Score™: 74/100 with 5 warning signs
  • Industry Position: 50.1% below the Vehicles & Parts median

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

Volvo Car AB Business Description

Address Gunnar Engellaus vag 8, Gothenburg, SWE, 418 78
Volvo Car AB manufactures, designs, and supplies automobiles. The company offers a wide range of cars. Geographically, it has a presence in China, the USA; Sweden; Germany; the United Kingdom; Japan, and South Korea. The company generates maximum revenue from the sale of new cars.
74GF Score

Get the complete analysis for VLVCY

ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$4.03
Price
$5.30
GF Value