ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Black Rock Coffee Bar's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was 4.47%.
As of today (2026-06-25), Black Rock Coffee Bar's WACC % is 5.75%. Black Rock Coffee Bar's ROIC % is 2.02% (calculated using TTM income statement data).
Black Rock Coffee Bar earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Black Rock Coffee Bar (NAS:BRCB) 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, Black Rock Coffee Bar's WACC % is 5.75%. Black Rock Coffee Bar's ROIC % is 2.02% (calculated using TTM income statement data).
Black Rock Coffee Bar 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.
* 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 Restaurants subindustry, Black Rock Coffee Bar'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.
Black Rock Coffee Bar ROIC % vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Black Rock Coffee Bar's ROIC % distribution charts can be found below:
* The bar in red indicates where Black Rock Coffee Bar'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.
Black Rock Coffee Bar (BRCB) has a ROIC % of 4.47% 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 Black Rock Coffee Bar and its competitors.
Is Black Rock Coffee Bar's ROIC % too high?
Black Rock Coffee Bar's current ROIC % is 4.47%. The Restaurants industry median ROIC % is 4.21. Black Rock Coffee Bar's value of 4.47% is 6.2% above this industry median. Overall, Black Rock Coffee Bar has a GF Score™ of 10/100, reflecting its overall financial health beyond just this single metric.
How does Black Rock Coffee Bar's ROIC % compare to RICK and VENU?
Black Rock Coffee Bar's ROIC % of 4.47% can be compared against companies in the Restaurants industry. The industry median ROIC % is 4.21. Black Rock Coffee Bar's value of 4.47% is 6.2% 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 Restaurants company?
The median ROIC % among Restaurants companies is 4.21, based on 359 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. Black Rock Coffee Bar's current ROIC % of 4.47% is 6.2% 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 Black Rock Coffee Bar and its competitors. For the Restaurants industry, the median ROIC % is 4.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Black Rock Coffee Bar's current ROIC % is 4.47%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Black Rock Coffee Bar stock overvalued right now?
Black Rock Coffee Bar (BRCB) has a current ROIC % of 4.47%. The current ROIC % is 4.47% and 6.2% above the Restaurants industry median of 4.21. Black Rock Coffee Bar's overall GF Score™ is 10/100 with 2 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 Black Rock Coffee Bar (BRCB), the current ROIC % is 4.47% 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.
Black Rock Coffee Bar Inc is an operator of guest-centric, drive-thru coffee bars offering premium caffeinated beverages and an elevated in-store experience crafted by its engaging baristas. The company offers wide variety of coffee from classic espresso-based drinks such as Lattes, Americanos, and Cappuccinos, as well as signature creations like the Caramel Blondie, Mexican Mocha, and Blackout. It offers a variety of savory and sweet items, including breakfast burritos, sausage cheddar sandwiches, banana bread, and glazed donut holes.
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