ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Viram Suvarn's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was 10.36%.
As of today (2026-07-06), Viram Suvarn's WACC % is 4.62%. Viram Suvarn's ROIC % is 22.60% (calculated using TTM income statement data).
Viram Suvarn generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
Viram Suvarn (BOM:540252) 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, Viram Suvarn's WACC % is 4.62%. Viram Suvarn's ROIC % is 22.60% (calculated using TTM income statement data).
Viram Suvarn generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
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.
Viram Suvarn ROIC % Related Terms
Viram Suvarn ROIC % Historical Data
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The historical data trend for Viram Suvarn'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 Luxury Goods subindustry, Viram Suvarn'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.
Viram Suvarn ROIC % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Viram Suvarn's ROIC % distribution charts can be found below:
* The bar in red indicates where Viram Suvarn'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.
Viram Suvarn (BOM:540252) has a ROIC % of 10.36% 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 Viram Suvarn and its competitors.
Is Viram Suvarn's ROIC % too high?
Viram Suvarn's current ROIC % is 10.36%. The Retail - Cyclical industry median ROIC % is 4.38. Viram Suvarn's value of 10.36% is 136.8% above this industry median. Overall, Viram Suvarn has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Viram Suvarn's ROIC % compare to TPR?
Viram Suvarn's ROIC % of 10.36% can be compared against companies in the Retail - Cyclical industry. The industry median ROIC % is 4.38. Viram Suvarn's value of 10.36% is 136.8% 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 Retail - Cyclical company?
The median ROIC % among Retail - Cyclical companies is 4.38, based on 1,106 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. Viram Suvarn's current ROIC % of 10.36% is 136.8% 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 Viram Suvarn and its competitors. For the Retail - Cyclical industry, the median ROIC % is 4.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Viram Suvarn's current ROIC % is 10.36%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Viram Suvarn stock overvalued right now?
Based on GuruFocus' analysis, Viram Suvarn (BOM:540252) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹7.03, compared to a current price of ₹10.65 — trading 51.5% above its estimated fair value. The current ROIC % is 10.36% and 136.8% above the Retail - Cyclical industry median of 4.38. Viram Suvarn's overall GF Score™ is 67/100 with 5 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 Viram Suvarn (BOM:540252), the current ROIC % is 10.36% 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 Viram Suvarn (BOM:540252) Overvalued in 2026?
Based on GuruFocus' analysis, Viram Suvarn stock appears to be overvalued.
The current stock price of ₹10.65 is trading 51.5% above its estimated GF Value™ of ₹7.03.
GuruFocus considers Viram Suvarn to be Significantly Overvalued.
Key valuation signals for BOM:540252:
ROIC %: 10.36%
GF Value™: ₹7.03 vs. price of ₹10.65 (51.5% above fair value)
Industry Position: 136.8% above the Retail - Cyclical median
No single metric tells the full story. See the BOM:540252 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
AddressRamdevnagar Road, Ground Floor & First Floor, 7, Natvarshyam Co Op Housing Society Ltd, Opposite Orchid Park, Satellite, Ahmedabad, GJ, IND, 380051
Viram Suvarn Ltd is an India-based company, which is integrated as a wholesaler, Retailer and trader of branded jewellery and ornaments. The company offers traditional gold and silver jewelry and ornaments, featuring kundan, gemstones, or plain metal designs. Its product portfolio includes Rings, Bracelet, Necklaces, Ear Chain, Earrings, Pendants, Chain, Magalsutra, Zuda, Toe Ring, Anklet, Bangle etc.
67GF Score
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