Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Shanxi Keda Automatic Control Co's annualized return on invested capital (ROIC %) for the quarter that ended in Jun. 2026 was -6.93%.
As of today (2026-08-28), Shanxi Keda Automatic Control Co's WACC % is 10.25%. Shanxi Keda Automatic Control Co's ROIC % is -5.43% (calculated using TTM income statement data).
Shanxi Keda Automatic Control Co earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Shanxi Keda Automatic Control Co (BJSE:920932) ROIC % Explanation
ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. The reason book values of debt and equity are used is because the book values are the capital the company received when issuing the debt or receiving the equity investments.
There are four key components to this definition. The first is the use of operating income or EBIT rather than net income in the numerator. The second is the tax adjustment to this operating income or EBIT, computed as a hypothetical tax based on an effective or marginal tax rate. The third is the use of book values for invested capital, rather than market values. The final is the timing difference; the capital invested is from the end of the prior year whereas the operating income or EBIT is the current year's number.
Why is ROIC % important?
Because it costs money to raise capital. A firm that generates higher returns on investment than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.
As of today, Shanxi Keda Automatic Control Co's WACC % is 10.25%. Shanxi Keda Automatic Control Co's ROIC % is -5.43% (calculated using TTM income statement data).
Shanxi Keda Automatic Control Co earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Be Aware
Like ROE % and ROA %, ROIC % is calculated with only 12 months of data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Shanxi Keda Automatic Control Co ROIC % Related Terms
Shanxi Keda Automatic Control Co ROIC % Historical 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.
BJSE:920932 vs MSFT, ORCL, PLTR: ROIC % Comparison
For the Software - Infrastructure subindustry, Shanxi Keda Automatic Control Co's ROIC %, along with its competitors' market caps and ROIC % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Shanxi Keda Automatic Control Co ROIC % vs Software Industry
For the Software industry and Technology sector, Shanxi Keda Automatic Control Co's ROIC % distribution charts can be found below:
* The bar in red indicates where Shanxi Keda Automatic Control Co's ROIC % falls into.
Note:
The Operating Income data used here is four times the quarterly (Jun. 2026) data.
The tax rate is limited to between 0% and 100%.
* 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.
Shanxi Keda Automatic Control Co (BJSE:920932) has a ROIC % of -6.93% as of Jun. 2026. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Shanxi Keda Automatic Control Co and its competitors.
Is Shanxi Keda Automatic Control Co's ROIC % too high?
Shanxi Keda Automatic Control Co's current ROIC % is -6.93%. Overall, Shanxi Keda Automatic Control Co has a GF Score™ of 67/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Shanxi Keda Automatic Control Co's ROIC % compare to MSFT and ORCL?
Shanxi Keda Automatic Control Co's ROIC % of -6.93% can be compared against companies in the Software industry. The industry median ROIC % is 3.46. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROIC % for a Software company?
The median ROIC % among Software companies is 3.46, based on 2,833 companies in the industry. Companies in the top quartile (top 25%) have a ROIC % significantly above this median, while those in the bottom quartile fall well below. However, ROIC % 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 ROIC % mean?
A high ROIC % can signal that a stock is expensive relative to its fundamentals. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Shanxi Keda Automatic Control Co and its competitors. For the Software industry, the median ROIC % is 3.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shanxi Keda Automatic Control Co's current ROIC % is -6.93%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shanxi Keda Automatic Control Co stock overvalued right now?
Based on GuruFocus' analysis, Shanxi Keda Automatic Control Co (BJSE:920932) is currently considered Fairly Valued. The stock's GF Value™ is ¥10.91, compared to a current price of ¥11.01 — trading 0.9% above its estimated fair value. The current ROIC % is -6.93%. Shanxi Keda Automatic Control Co's overall GF Score™ is 67/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROIC % calculated?
ROIC % is calculated from a company's financial statements. For Shanxi Keda Automatic Control Co (BJSE:920932), the current ROIC % is -6.93% as of Jun. 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 Shanxi Keda Automatic Control Co (BJSE:920932) Overvalued in 2026?
Based on GuruFocus' analysis, Shanxi Keda Automatic Control Co stock appears to be overvalued.
The current stock price of ¥11.01 is trading 0.9% above its estimated GF Value™ of ¥10.91.
GuruFocus considers Shanxi Keda Automatic Control Co to be Fairly Valued.
Key valuation signals for BJSE:920932:
ROIC %: -6.93%
GF Value™: ¥10.91 vs. price of ¥11.01 (0.9% above fair value)
No single metric tells the full story. See the BJSE:920932 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shanxi Keda Automatic Control Co Ltd engages in applying the industrial Internet technology system to provide customers with mine data monitoring and automatic control systems, municipal data remote monitoring systems, automatic control-related products, and 365 on-site (online) automation technology services to solve customers' needs in the production process. Its products include the Equipment Cloud platform, Smart site Intelligent terminal products, and Mine Intelligent Control Systems.
67GF Score
Get the complete analysis for BJSE:920932
ROIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BJSE:920932 has been successfully added to your 
