ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Alpha Pro Tech's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was 3.42%.
As of today (2026-06-26), Alpha Pro Tech's WACC % is 8.81%. Alpha Pro Tech's ROIC % is 5.43% (calculated using TTM income statement data).
Alpha Pro Tech earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Alpha Pro Tech (FRA:APL) 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, Alpha Pro Tech's WACC % is 8.81%. Alpha Pro Tech's ROIC % is 5.43% (calculated using TTM income statement data).
Alpha Pro Tech 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.
Alpha Pro Tech ROIC % Related Terms
Alpha Pro Tech ROIC % Historical Data
* Premium members only.
The historical data trend for Alpha Pro Tech'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.
For the Building Products & Equipment subindustry, Alpha Pro Tech'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.
Alpha Pro Tech ROIC % vs Construction Industry
For the Construction industry and Industrials sector, Alpha Pro Tech's ROIC % distribution charts can be found below:
* The bar in red indicates where Alpha Pro Tech'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.
Alpha Pro Tech (FRA:APL) has a ROIC % of 3.42% 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 Alpha Pro Tech and its competitors.
Is Alpha Pro Tech's ROIC % too high?
Alpha Pro Tech's current ROIC % is 3.42%. The Construction industry median ROIC % is 4.65. Alpha Pro Tech's value of 3.42% is 26.5% below this industry median. Overall, Alpha Pro Tech has a GF Score™ of 72/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Alpha Pro Tech's ROIC % compare to CSTE and SNTL?
Alpha Pro Tech's ROIC % of 3.42% can be compared against companies in the Construction industry. The industry median ROIC % is 4.65. Alpha Pro Tech's value of 3.42% is 26.5% below 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 Construction company?
The median ROIC % among Construction companies is 4.65, based on 1,755 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. Alpha Pro Tech's current ROIC % of 3.42% is 26.5% below 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 Alpha Pro Tech and its competitors. For the Construction industry, the median ROIC % is 4.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alpha Pro Tech's current ROIC % is 3.42%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alpha Pro Tech stock overvalued right now?
Based on GuruFocus' analysis, Alpha Pro Tech (FRA:APL) is currently considered Fairly Valued. The stock's GF Value™ is €4.74, compared to a current price of €4.52 — trading 4.6% below its estimated fair value. The current ROIC % is 3.42% and 26.5% below the Construction industry median of 4.65. Alpha Pro Tech's overall GF Score™ is 72/100 with 5 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 Alpha Pro Tech (FRA:APL), the current ROIC % is 3.42% 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.
Is Alpha Pro Tech (FRA:APL) Overvalued in 2026?
Based on GuruFocus' analysis, Alpha Pro Tech stock appears to be undervalued.
The current stock price of €4.52 is trading 4.6% below its estimated GF Value™ of €4.74.
GuruFocus considers Alpha Pro Tech to be Fairly Valued.
Key valuation signals for FRA:APL:
ROIC %: 3.42%
GF Value™: €4.74 vs. price of €4.52 (4.6% below fair value)
Industry Position: 26.5% below the Construction median
No single metric tells the full story. See the FRA:APL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Alpha Pro Tech Ltd is in the business of protecting people, products, and environments. It is developing, manufacturing, and marketing a line of disposable protective apparel and infection control products for the cleanroom, industrial, pharmaceutical, medical, and dental markets. It also manufactures a line of building supply construction weatherization products that are sold under the Alpha Pro Tech brand name. The Company operates through two business segments: Building Supply and Disposable Protective Apparel. Key revenue is generated from Building Supply, consisting of a line of construction supply weatherization products. The construction supply weatherization products consist of housewrap and synthetic roof underlayment, and synthetic roof underlayment accessories.
72GF Score
Get the complete analysis for FRA:APL
ROIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:APL has been successfully added to your 
