FLFG (Federal Life Group) ROIC %: 0.00% (As of Mar. 2019)


What is Federal Life Group ROIC %?

Federal Life Group FLFG ROIC % is 0.00% as of Mar. 2019.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Federal Life Group's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2019 was 0.00%.

As of today (2026-06-30), Federal Life Group's WACC % is 0.00%. Federal Life Group's ROIC % is 0.00% (calculated using TTM income statement data). Federal Life Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Federal Life Group  (OTCPK:FLFG) 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, Federal Life Group's WACC % is 0.00%. Federal Life Group's ROIC % is 0.00% (calculated using TTM income statement data). Federal Life Group 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.

Federal Life Group ROIC % Related Terms

Federal Life Group ROIC % Historical Data

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The historical data trend for Federal Life Group'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.

Federal Life Group ROIC % Chart

Federal Life Group Annual Data
Trend Dec16 Dec17 Dec18
ROIC %
0.00 0.00 0.00

Federal Life Group Quarterly Data
Dec16 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19
ROIC % Get a 7-Day Free Trial 0.00 0.00 0.00 0.00 0.00

FLFG vs : ROIC % Comparison

For the Insurance - Life subindustry, Federal Life Group'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.

Federal Life Group ROIC % vs Insurance Industry

For the Insurance industry and Financial Services sector, Federal Life Group's ROIC % distribution charts can be found below:

* The bar in red indicates where Federal Life Group's ROIC % falls into.


Federal Life Group ROIC % Calculation

Federal Life Group's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2018 is calculated as:

ROIC % (A: Dec. 2018 )
=NOPAT/Average Invested Capital
=EBIT * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2017 ) + Invested Capital (A: Dec. 2018 ))/ count )
=0 * ( 1 - 0% )/( (254.19615 + 247.5159)/ 2 )
=0/250.856025
=0.00 %

where

Invested Capital(A: Dec. 2017 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
=257.138 - 0.007 - ( 4.085 - 5% * 23.003 )
=254.19615

Invested Capital(A: Dec. 2018 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
=279.727 - 0 - ( 33.252 - 5% * 20.818 )
=247.5159

Federal Life Group's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Mar. 2019 is calculated as:

ROIC % (Q: Mar. 2019 )
=NOPAT/Average Invested Capital
=EBIT * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2018 ) + Invested Capital (Q: Mar. 2019 ))/ count )
=0 * ( 1 - 1.43% )/( (246.7117 + 257.28305)/ 2 )
=0/251.997375
=0.00 %

where

Invested Capital(Q: Dec. 2018 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
=279.727 - 0 - ( 33.252 - 5% * 4.734 )
=246.7117

Invested Capital(Q: Mar. 2019 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
=286.879 - 0 - ( 29.842 - 5% * 4.921 )
=257.28305

Note: The EBIT data used here is four times the quarterly (Mar. 2019) 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 0.00% mean?
Federal Life Group (FLFG) has a ROIC % of 0.00% as of Mar. 2019. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Federal Life Group and its competitors.
Is Federal Life Group's ROIC % too high?
Federal Life Group's current ROIC % is 0.00%.
How does Federal Life Group's ROIC % compare to ?
Federal Life Group's ROIC % of 0.00% can be compared against companies in the Insurance industry. The industry median ROIC % is 3.36. 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 Insurance company?
The median ROIC % among Insurance companies is 3.36, based on 372 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 Federal Life Group and its competitors. For the Insurance industry, the median ROIC % is 3.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Federal Life Group's current ROIC % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Federal Life Group stock overvalued right now?
Federal Life Group (FLFG) has a current ROIC % of 0.00%. The current ROIC % is 0.00%. 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 Federal Life Group (FLFG), the current ROIC % is 0.00% as of Mar. 2019. 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.

Federal Life Group Business Description

Comparable Companies
Address 3750 West Deerfield Road, Riverwoods, IL, USA, 60015
Federal Life Group Inc provides life insurance and annuity products targeted to the middle American market. Its core business activities include the sale of life insurance and fixed index and fixed rate annuities. Products offered by the company include Lifetime Coverage, Specific Period of Time Coverage, Flexible Coverage, Long-Term Growth with Fixed and Index-Linked Options, Multi-Pay Retirement Savings Plan, Single-Pay Retirement Savings Plan, Immediate Guaranteed Retirement Income, Final Expense Plan, Final Expense Plan - Limited Health Issues and Single-Pay Permanent Life.