Watta Holding Bhd (XKLS:7226) ROCE %: -3.25% (As of Mar. 2026)

What is Watta Holding Bhd ROCE %?

Watta Holding Bhd XKLS:7226 +8.11% 38 ROCE % is -3.25% as of Mar. 2026. GuruFocus rates XKLS:7226 with a GF Score™ of 38/100 and a GF Value™ of RM0.25 (Significantly Overvalued). The stock has 3 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. Watta Holding Bhd's annualized ROCE % for the quarter that ended in Mar. 2026 was -3.25%.

Watta Holding Bhd (XKLS:7226) 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.

Watta Holding Bhd ROCE % Related Terms

Watta Holding Bhd ROCE % Historical Data

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The historical data trend for Watta Holding Bhd'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.

Watta Holding Bhd ROCE % Chart

Watta Holding Bhd Annual Data

Trend

Sep15

Sep16

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

ROCE %

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-1.16

-0.58

-2.34

-1.45

-1.21

Watta Holding Bhd 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															-3.30	-2.75	-3.08	4.33	-3.25

38GF Score

Watta Holding Bhd XKLS:7226

ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.

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Watta Holding Bhd ROCE % Calculation

Watta Holding Bhd'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 )
	=	-0.733	/	( ( (62.925 - 1.605)	+	(61.429 - 1.178) )	/ 2 )
	=	-0.733	/	( (61.32	+	60.251)	/ 2 )
	=	-0.733	/	60.7855
	=	-1.21 %

Watta Holding Bhd'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 )
	=	-1.952	/	( ( (61.429 - 1.178)	+	(60.754 - 1.045) )	/ 2 )
	=	-1.952	/	( ( 60.251	+	59.709 )	/ 2 )
	=	-1.952	/	59.98
	=	-3.25 %

(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 -3.25% mean?

Watta Holding Bhd (XKLS:7226) has a ROCE % of -3.25% as of Mar. 2026.

Is Watta Holding Bhd's ROCE % too high?

Watta Holding Bhd's current ROCE % is -3.25%. Overall, Watta Holding Bhd has a GF Score™ of 38/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.

How does Watta Holding Bhd's ROCE % compare to CSCO and CIEN?

Watta Holding Bhd's ROCE % of -3.25% can be compared against companies in the Hardware industry. The industry median ROCE % is 5.83. 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 Hardware company?

The median ROCE % among Hardware companies is 5.83, based on 2,445 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 Hardware industry, the median ROCE % is 5.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Watta Holding Bhd's current ROCE % is -3.25%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Watta Holding Bhd stock overvalued right now?

Based on GuruFocus' analysis, Watta Holding Bhd (XKLS:7226) is currently considered Significantly Overvalued. The stock's GF Value™ is RM0.25, compared to a current price of RM0.40 — trading 60% above its estimated fair value. The current ROCE % is -3.25%. Watta Holding Bhd's overall GF Score™ is 38/100 with 3 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 Watta Holding Bhd (XKLS:7226), the current ROCE % is -3.25% 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 Watta Holding Bhd (XKLS:7226) Overvalued in 2026?

Based on GuruFocus' analysis, Watta Holding Bhd stock appears to be overvalued. The current stock price of RM0.40 is trading 60% above its estimated GF Value™ of RM0.25. GuruFocus considers Watta Holding Bhd to be Significantly Overvalued.

Key valuation signals for XKLS:7226:

ROCE %: -3.25%
GF Value™: RM0.25 vs. price of RM0.40 (60% above fair value)
GF Score™: 38/100 with 3 warning signs

No single metric tells the full story. See the XKLS:7226 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Watta Holding Bhd Business Description

Industry Technology Hardware

Comparable Companies XKLS:7184 XKLS:0035 XKLS:0129 CSCO SHSE:601138 SZSE:300308 SZSE:300502 CIEN OHEL:NOKIA MSI LITE HPE SZSE:300394 TPE:2345 OSTO:ERIC B HKSE:06869 UI ASTS SHSE:600487 SZSE:000063

Address Jalan Imbi, 12th Floor, Menara Cosway, Plaza Berjaya, Wilayah Persekutuan, Kuala Lumpur, MYS, 55100

Website https://www.watta.com.my

Watta Holding Bhd is a company whose principal activities include investment holding and management services. Along with its subsidiaries, the company has two reportable operating segments, Services and Investment holding and others. The majority of its revenue is generated from the Services segment, which is involved in the servicing of telecommunication equipment and related products. Geographically, the group predominantly operates in Malaysia.

38GF Score

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

RM0.40

Price

RM0.25

GF Value

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