ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Grayscale Decentralized Finance (DeFi) Fund LLC's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was -114.03%.
Grayscale Decentralized Finance (DeFi) Fund LLC (OTCPK:DEFG) 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, Grayscale Decentralized Finance (DeFi) Fund LLC's WACC % is 27.37%. Grayscale Decentralized Finance (DeFi) Fund LLC's ROIC % is -2.52% (calculated using TTM income statement data).
Grayscale Decentralized Finance (DeFi) Fund LLC 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.
Grayscale Decentralized Finance (DeFi) Fund LLC ROIC % Related Terms
Grayscale Decentralized Finance (DeFi) Fund LLC ROIC % Historical 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.
Grayscale Decentralized Finance (DeFi) Fund LLC ROIC % Chart
Grayscale Decentralized Finance (DeFi) Fund LLC Annual Data
Trend
Jun22
Jun23
Jun24
Jun25
ROIC %
-17.14
-107.86
-47.19
-5.02
Grayscale Decentralized Finance (DeFi) Fund LLC Quarterly Data
* 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.
Grayscale Decentralized Finance (DeFi) Fund LLC ROIC % vs Asset Management Industry
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.
Grayscale Decentralized Finance (DeFi) Fund LLC (DEFG) has a ROIC % of -114.03% 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 Grayscale Decentralized Finance (DeFi) Fund LLC and its competitors.
Is Grayscale Decentralized Finance (DeFi) Fund LLC's ROIC % too high?
Grayscale Decentralized Finance (DeFi) Fund LLC's current ROIC % is -114.03%. Overall, Grayscale Decentralized Finance (DeFi) Fund LLC has a GF Score™ of 36/100, reflecting its overall financial health beyond just this single metric.
How does Grayscale Decentralized Finance (DeFi) Fund LLC's ROIC % compare to SVVC and LGCP?
Grayscale Decentralized Finance (DeFi) Fund LLC's ROIC % of -114.03% can be compared against companies in the Asset Management industry. The industry median ROIC % is 1.21. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROIC % for an Asset Management company?
The median ROIC % among Asset Management companies is 1.21, based on 707 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. 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 Grayscale Decentralized Finance (DeFi) Fund LLC and its competitors. For the Asset Management industry, the median ROIC % is 1.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Grayscale Decentralized Finance (DeFi) Fund LLC's current ROIC % is -114.03%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Grayscale Decentralized Finance (DeFi) Fund LLC stock overvalued right now?
Grayscale Decentralized Finance (DeFi) Fund LLC (DEFG) has a current ROIC % of -114.03%. The current ROIC % is -114.03%. Grayscale Decentralized Finance (DeFi) Fund LLC's overall GF Score™ is 36/100. 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 Grayscale Decentralized Finance (DeFi) Fund LLC (DEFG), the current ROIC % is -114.03% 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.
Grayscale Decentralized Finance (DeFi) Fund LLC Business Description
Grayscale Decentralized Finance (DeFi) Fund LLC is an investment vehicle that invests in and derives value from a basket of decentralized finance applications in the form of a security while avoiding the challenges of buying, storing, and safekeeping DeFi directly. Its investment objective is for the value of the Shares (based on NAV per Share) to reflect the value of the fund components as determined by reference to their respective digital asset reference rates and fund weightings, less the fund's expenses and other liabilities. The fund components consist of the digital assets that make up the DFX (CoinDesk DeFi Select Index) as rebalanced from time to time.
36GF Score
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