ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. PT Mastersystem Infotama Tbk's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was 31.80%.
As of today (2026-07-08), PT Mastersystem Infotama Tbk's WACC % is 10.42%. PT Mastersystem Infotama Tbk's ROIC % is 36.27% (calculated using TTM income statement data).
PT Mastersystem Infotama Tbk generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
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, PT Mastersystem Infotama Tbk's WACC % is 10.42%. PT Mastersystem Infotama Tbk's ROIC % is 36.27% (calculated using TTM income statement data).
PT Mastersystem Infotama Tbk generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
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.
PT Mastersystem Infotama Tbk ROIC % Related Terms
PT Mastersystem Infotama Tbk 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.
For the Information Technology Services subindustry, PT Mastersystem Infotama Tbk'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.
PT Mastersystem Infotama Tbk ROIC % vs Software Industry
For the Software industry and Technology sector, PT Mastersystem Infotama Tbk's ROIC % distribution charts can be found below:
* The bar in red indicates where PT Mastersystem Infotama Tbk'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.
PT Mastersystem Infotama Tbk (ISX:MSTI) has a ROIC % of 31.80% 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 PT Mastersystem Infotama Tbk and its competitors.
Is PT Mastersystem Infotama Tbk's ROIC % too high?
PT Mastersystem Infotama Tbk's current ROIC % is 31.80%. The Software industry median ROIC % is 3.06. PT Mastersystem Infotama Tbk's value of 31.80% is 940.9% above this industry median. Overall, PT Mastersystem Infotama Tbk has a GF Score™ of 68/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does PT Mastersystem Infotama Tbk's ROIC % compare to IBM and ACN?
PT Mastersystem Infotama Tbk's ROIC % of 31.80% can be compared against companies in the Software industry. The industry median ROIC % is 3.06. PT Mastersystem Infotama Tbk's value of 31.80% is 940.9% 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 Software company?
The median ROIC % among Software companies is 3.06, based on 2,820 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. PT Mastersystem Infotama Tbk's current ROIC % of 31.80% is 940.9% 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 PT Mastersystem Infotama Tbk and its competitors. For the Software industry, the median ROIC % is 3.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PT Mastersystem Infotama Tbk's current ROIC % is 31.80%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PT Mastersystem Infotama Tbk stock overvalued right now?
Based on GuruFocus' analysis, PT Mastersystem Infotama Tbk (ISX:MSTI) is currently considered Modestly Undervalued. The stock's GF Value™ is Rp1,538.44, compared to a current price of Rp1,280.00 — trading 16.8% below its estimated fair value. The current ROIC % is 31.80% and 940.9% above the Software industry median of 3.06. PT Mastersystem Infotama Tbk's overall GF Score™ is 68/100 with 4 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 PT Mastersystem Infotama Tbk (ISX:MSTI), the current ROIC % is 31.80% 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 PT Mastersystem Infotama Tbk (ISX:MSTI) Overvalued in 2026?
Based on GuruFocus' analysis, PT Mastersystem Infotama Tbk stock appears to be undervalued.
The current stock price of Rp1,280.00 is trading 16.8% below its estimated GF Value™ of Rp1,538.44.
GuruFocus considers PT Mastersystem Infotama Tbk to be Modestly Undervalued.
Key valuation signals for ISX:MSTI:
ROIC %: 31.80%
GF Value™: Rp1,538.44 vs. price of Rp1,280.00 (16.8% below fair value)
Industry Position: 940.9% above the Software median
No single metric tells the full story. See the ISX:MSTI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
PT Mastersystem Infotama Tbk is a system integration service provider in Indonesia. The Company offers a comprehensive range of Information and Communication Technology (ICT) solutions to customers by integrating various hardware, software, network, and communications components into a cohesive and functional system, thereby enabling seamless collaboration and interaction between existing technology systems. The Company provides comprehensive services for customers by planning, designing, implementing, and optimizing ICT infrastructure and offering solutions that support the achievement of increased efficiency, scalability, and productivity, so that customers can achieve sustainable business activity growth. The company generates the majority of its revenue from Hardware sales.
68GF Score
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