ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Dhampur Sugar Mills's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was 10.29%.
As of today (2026-07-12), Dhampur Sugar Mills's WACC % is 8.30%. Dhampur Sugar Mills's ROIC % is 4.53% (calculated using TTM income statement data).
Dhampur Sugar Mills earns returns that do not match up to its cost of capital. It will destroy value as it grows.
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, Dhampur Sugar Mills's WACC % is 8.30%. Dhampur Sugar Mills's ROIC % is 4.53% (calculated using TTM income statement data).
Dhampur Sugar Mills 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.
Dhampur Sugar Mills ROIC % Related Terms
Dhampur Sugar Mills ROIC % Historical Data
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The historical data trend for Dhampur Sugar Mills's ROIC % 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.
For the Confectioners subindustry, Dhampur Sugar Mills'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.
Dhampur Sugar Mills ROIC % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Dhampur Sugar Mills's ROIC % distribution charts can be found below:
* The bar in red indicates where Dhampur Sugar Mills's ROIC % falls into.
Note:
The Operating Income data used here is four times the quarterly (Mar. 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.
Dhampur Sugar Mills (BOM:500119) has a ROIC % of 10.29% as of Mar. 2026. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Dhampur Sugar Mills and its competitors.
Is Dhampur Sugar Mills' ROIC % too high?
Dhampur Sugar Mills' current ROIC % is 10.29%. The Consumer Packaged Goods industry median ROIC % is 5.16. Dhampur Sugar Mills' value of 10.29% is 99.4% above this industry median. Overall, Dhampur Sugar Mills has a GF Score™ of 74/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Dhampur Sugar Mills' ROIC % compare to MDLZ and HSY?
Dhampur Sugar Mills' ROIC % of 10.29% can be compared against companies in the Consumer Packaged Goods industry. The industry median ROIC % is 5.16. Dhampur Sugar Mills' value of 10.29% is 99.4% 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 ROIC % for a Consumer Packaged Goods company?
The median ROIC % among Consumer Packaged Goods companies is 5.16, based on 1,949 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. Dhampur Sugar Mills's current ROIC % of 10.29% is 99.4% 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 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 Dhampur Sugar Mills and its competitors. For the Consumer Packaged Goods industry, the median ROIC % is 5.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dhampur Sugar Mills's current ROIC % is 10.29%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dhampur Sugar Mills stock overvalued right now?
Based on GuruFocus' analysis, Dhampur Sugar Mills (BOM:500119) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹192.75, compared to a current price of ₹143.35 — trading 25.6% below its estimated fair value. The current ROIC % is 10.29% and 99.4% above the Consumer Packaged Goods industry median of 5.16. Dhampur Sugar Mills' overall GF Score™ is 74/100 with 7 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 Dhampur Sugar Mills (BOM:500119), the current ROIC % is 10.29% 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 Dhampur Sugar Mills (BOM:500119) Overvalued in 2026?
Based on GuruFocus' analysis, Dhampur Sugar Mills stock appears to be undervalued.
The current stock price of ₹143.35 is trading 25.6% below its estimated GF Value™ of ₹192.75.
GuruFocus considers Dhampur Sugar Mills to be Modestly Undervalued.
Key valuation signals for BOM:500119:
ROIC %: 10.29%
GF Value™: ₹192.75 vs. price of ₹143.35 (25.6% below fair value)
Industry Position: 99.4% above the Consumer Packaged Goods median
No single metric tells the full story. See the BOM:500119 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dhampur Sugar Mills Ltd is a sugarcane processing company in India with diversified operations across multiple segments. Its core Sugar segment involves the production and sale of sugar and related byproducts. The Ethanol segment includes Rectified Spirit (RS), Ethanol, Extra Neutral Alcohol (ENA), and industrial alcohol. The Power segment focuses on cogeneration and the sale of electricity. The company also produces Ethyl Acetate, a key solvent supplied to both end users and traders. ENA is partly used in-house for potable spirits, while the rest is supplied to country liquor manufacturers. The Country Liquor segment operates solely in Uttar Pradesh through a distributor network. The majority of its revenues are generated from the sugar segment.
74GF Score
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