Praruh Technologies (BOM:544538) ROIC %: 45.37% (As of Mar. 2026)

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BOM:544538 Praruh Technologies Ltd BOM:544538
21 GF Score
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What is Praruh Technologies ROIC %?

Praruh Technologies BOM:544538 +20.00% 21 ROIC % is 45.37% as of Mar. 2026. GuruFocus rates BOM:544538 with a GF Score™ of 21/100. The stock has 6 warning signs investors should review.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Praruh Technologies's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was 45.37%.

As of today (2026-08-03), Praruh Technologies's WACC % is 11.23%. Praruh Technologies's ROIC % is 22.69% (calculated using TTM income statement data). Praruh Technologies 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.


Praruh Technologies  (BOM:544538) 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, Praruh Technologies's WACC % is 11.23%. Praruh Technologies's ROIC % is 22.69% (calculated using TTM income statement data). Praruh Technologies 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.


Praruh Technologies ROIC % Related Terms


Praruh Technologies ROIC % Historical Data

* Premium members only.

The historical data trend for Praruh Technologies'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.

Praruh Technologies ROIC % Chart

Praruh Technologies Annual Data
Trend Mar22 Mar23 Mar24 Mar25 Mar26
ROIC %
37.70 42.22 44.48 23.69 26.51

Praruh Technologies Semi-Annual Data
Mar22 Mar23 Mar24 Mar25 Mar26
ROIC % 0.00 0.00 0.00 29.69 45.37

BOM:544538 vs IBM, ACN, FISV: ROIC % Comparison

For the Information Technology Services subindustry, Praruh Technologies'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.


Praruh Technologies ROIC % vs Software Industry

For the Software industry and Technology sector, Praruh Technologies's ROIC % distribution charts can be found below:

* The bar in red indicates where Praruh Technologies's ROIC % falls into.


BOM:544538
21GF Score
Praruh Technologies Ltd BOM:544538
ROIC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Praruh Technologies ROIC % Calculation

Praruh Technologies's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Mar. 2026 is calculated as:

ROIC % (A: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Mar. 2025 ) + Invested Capital (A: Mar. 2026 ))/ count )
=129.058 * ( 1 - 24.29% )/( (359.841 + 377.366)/ 2 )
=97.7098118/368.6035
=26.51 %

where

Invested Capital(A: Mar. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1234.544 - 734.321 - ( 122.857 - max(0, 744.515 - 1102.233+122.857))
=377.366

Praruh Technologies's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Mar. 2026 is calculated as:

ROIC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=227.178 * ( 1 - 26.38% )/( (359.841 + 377.366)/ 2 )
=167.2484436/368.6035
=45.37 %

where

Invested Capital(Q: Mar. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1234.544 - 734.321 - ( 122.857 - max(0, 744.515 - 1102.233+122.857))
=377.366

Note: The Operating Income data used here is two times the semi-annual (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.

Frequently Asked Questions Learn more about ROIC % →
What does a ROIC % of 45.37% mean?
Praruh Technologies (BOM:544538) has a ROIC % of 45.37% 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 Praruh Technologies and its competitors.
Is Praruh Technologies' ROIC % too high?
Praruh Technologies' current ROIC % is 45.37%. The Software industry median ROIC % is 3.10. Praruh Technologies' value of 45.37% is 1363.5% above this industry median. Overall, Praruh Technologies has a GF Score™ of 21/100, reflecting its overall financial health beyond just this single metric.
How does Praruh Technologies' ROIC % compare to IBM and ACN?
Praruh Technologies' ROIC % of 45.37% can be compared against companies in the Software industry. The industry median ROIC % is 3.10. Praruh Technologies' value of 45.37% is 1363.5% 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 Software company?
The median ROIC % among Software companies is 3.10, 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. Praruh Technologies's current ROIC % of 45.37% is 1363.5% 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 Praruh Technologies and its competitors. For the Software industry, the median ROIC % is 3.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Praruh Technologies's current ROIC % is 45.37%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Praruh Technologies stock overvalued right now?
Praruh Technologies (BOM:544538) has a current ROIC % of 45.37%. The current ROIC % is 45.37% and 1363.5% above the Software industry median of 3.10. Praruh Technologies' overall GF Score™ is 21/100 with 6 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 Praruh Technologies (BOM:544538), the current ROIC % is 45.37% 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.

Praruh Technologies Business Description

Address A-58, Sector -6, Gautam Budh Nagar, Noida, UP, IND, 201301
Praruh Technologies Ltd provides turnkey solutions and practices in ICT systems and infrastructure to a wide range of industries and organizations. Praruh is an ICT system integration firm dedicated to transforming businesses and driving growth through comprehensive technology solutions. The company specializes in a broad spectrum of services, including Hardware, Applications, Data Centre, Networking, Storage, Security, Audio-Video Integration and Collaboration Solutions. By offering turnkey solutions and leveraging practices in ICT systems and infrastructure, Praruh addresses the diverse needs of various industries and organizations, ensuring that each solution is both effective and aligned with the client's business.
21GF Score

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