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Cheetah Net Supply Chain Service (Cheetah Net Supply Chain Service) ROIC % : 3.18% (As of Dec. 2023)


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What is Cheetah Net Supply Chain Service ROIC %?

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Cheetah Net Supply Chain Service's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2023 was 3.18%.

As of today (2024-05-12), Cheetah Net Supply Chain Service's WACC % is 11.07%. Cheetah Net Supply Chain Service's ROIC % is 9.61% (calculated using TTM income statement data). Cheetah Net Supply Chain Service earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Cheetah Net Supply Chain Service ROIC % Historical Data

The historical data trend for Cheetah Net Supply Chain Service'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.

* Premium members only.

Cheetah Net Supply Chain Service ROIC % Chart

Cheetah Net Supply Chain Service Annual Data
Trend Dec21 Dec22 Dec23
ROIC %
10.82 17.95 9.21

Cheetah Net Supply Chain Service Quarterly Data
Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
ROIC % Get a 7-Day Free Trial Premium Member Only 6.97 6.79 15.46 12.86 3.18

Competitive Comparison of Cheetah Net Supply Chain Service's ROIC %

For the Auto & Truck Dealerships subindustry, Cheetah Net Supply Chain Service'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.


Cheetah Net Supply Chain Service's ROIC % Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Cheetah Net Supply Chain Service's ROIC % distribution charts can be found below:

* The bar in red indicates where Cheetah Net Supply Chain Service's ROIC % falls into.



Cheetah Net Supply Chain Service ROIC % Calculation

Cheetah Net Supply Chain Service's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2023 is calculated as:

ROIC % (A: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2022 ) + Invested Capital (A: Dec. 2023 ))/ count )
=1.439 * ( 1 - 25.97% )/( (13.958 + 9.182)/ 2 )
=1.0652917/11.57
=9.21 %

where

Cheetah Net Supply Chain Service's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Dec. 2023 is calculated as:

ROIC % (Q: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=0.436 * ( 1 - 25% )/( (11.386 + 9.182)/ 2 )
=0.327/10.284
=3.18 %

where

Note: The Operating Income data used here is four times the quarterly (Dec. 2023) 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.


Cheetah Net Supply Chain Service  (NAS:CTNT) 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, Cheetah Net Supply Chain Service's WACC % is 11.07%. Cheetah Net Supply Chain Service's ROIC % is 9.61% (calculated using TTM income statement data).


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.


Cheetah Net Supply Chain Service ROIC % Related Terms

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Cheetah Net Supply Chain Service (Cheetah Net Supply Chain Service) Business Description

Traded in Other Exchanges
N/A
Address
6201 Fairview Road, Suite 225, Charlotte, NC, USA, 28210
Website
Cheetah Net Supply Chain Service Inc is a supplier of parallel-import vehicles sourced in the U.S. to be sold in the China market. The parallel-import vehicles refer to those purchased by dealers directly from overseas markets and imported for sale through channels other than brand manufacturers' official distribution systems. The company purchases automobiles, primarily luxury brands such as Mercedes, BMW, Porsche, Lexus, and Bentley, from the U.S. market and resell them to customers, including both U.S. and PRC parallel-import car dealers. It derive profits primarily from the price difference between our buying and selling prices for parallel-import vehicles.
Executives
Catherine Chen director ONE MILE WEST OF GUANRI, HULI DISTRICT, XIAMEN F4 361000
Huoyuan Chen 10 percent owner QUNZHONGXINCUN VILLAGE, TAIJIANG DIST., 207 BLOCK 5, FUZHOU F4 350000
Adam Eilenberg director 335 MADISON AVENUE, 9TH FLOOR, NEW YORK NY 10017
Walter Penn Folker officer: Vice President of Procurement 7353 BEDFORDSHIRE DRIVE, CHARLOTTE NC 28226
Xianggeng Huang director, 10 percent owner 12-8, A2#BLDG, WANDA PLAZA II, NO.8 AOJIANG RD., AOFENG ST., TAIJIANG, FUZHOU F4 350000
Xiaolin Tang 10 percent owner RM 401, BLDG 25, MOON BAY GARDEN, DONGSHAN ST., JIANGNING DIST., NANJING F4 211100
Yan Xiao 10 percent owner LANGYUAN 2-3001, XINGHEWAN COMM., SIJI XINGHE MID ST., CHAOYANG N. RD., BEIJING F4 100000
Ying-chang Yuan 10 percent owner 4752 MOUNT ROYAL LN, CHARLOTTE NC 28210
Vladimir Gavrilovic director 70 ELM STREET, APT 1, NORTH ARLINGTON NJ 07031
Huan Liu director, 10 percent owner, officer: See Remarks 6201 FAIRVIEW RD, STE 225, CHARLOTTE NC 28210