IXOG (Index Oil & Gas) ROIC %: 357.68% (As of Mar. 2009)


What is Index Oil & Gas ROIC %?

Index Oil & Gas IXOG -99.86% ROIC % is 357.68% as of Mar. 2009.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Index Oil & Gas's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2009 was 357.68%.

As of today (2026-06-27), Index Oil & Gas's WACC % is 0.00%. Index Oil & Gas's ROIC % is 0.00% (calculated using TTM income statement data). Index Oil & Gas earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Index Oil & Gas  (OTCPK:IXOG) 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, Index Oil & Gas's WACC % is 0.00%. Index Oil & Gas's ROIC % is 0.00% (calculated using TTM income statement data). Index Oil & Gas 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.

Index Oil & Gas ROIC % Related Terms

Index Oil & Gas ROIC % Historical Data

* Premium members only.

The historical data trend for Index Oil & Gas'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.

Index Oil & Gas ROIC % Chart

Index Oil & Gas Annual Data
Trend Dec04 Dec05 Mar06 Mar07 Mar08 Mar09
ROIC %
Get a 7-Day Free Trial -173.33 -229.42 -87.39 -24.59 -25.22

Index Oil & Gas Quarterly Data
Dec04 Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09
ROIC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -17.82 -13.22 -120.30 -216.08 357.68

IXOG vs FPPP, UNGS, GBEYF: ROIC % Comparison

For the Oil & Gas E&P subindustry, Index Oil & Gas'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.

Index Oil & Gas ROIC % vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Index Oil & Gas's ROIC % distribution charts can be found below:

* The bar in red indicates where Index Oil & Gas's ROIC % falls into.


Index Oil & Gas ROIC % Calculation

Index Oil & Gas's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Mar. 2009 is calculated as:

ROIC % (A: Mar. 2009 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Mar. 2008 ) + Invested Capital (A: Mar. 2009 ))/ count )
=-2.4 * ( 1 - 0% )/( (12.621 + 6.411)/ 2 )
=-2.4/9.516
=-25.22 %

where

Invested Capital(A: Mar. 2008 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=16.178 - 1.026 - ( 2.537 - max(0, 1.026 - 3.557+2.537))
=12.621

Invested Capital(A: Mar. 2009 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=6.994 - 0.979 - ( 0.336 - max(0, 1.105 - 0.709+0.336))
=6.411

Index Oil & Gas's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Mar. 2009 is calculated as:

ROIC % (Q: Mar. 2009 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2008 ) + Invested Capital (Q: Mar. 2009 ))/ count )
=23.008 * ( 1 - 0% )/( (6.454 + 6.411)/ 2 )
=23.008/6.4325
=357.68 %

where

Invested Capital(Q: Dec. 2008 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=7.492 - 0.333 - ( 0.705 - max(0, 0.333 - 1.055+0.705))
=6.454

Invested Capital(Q: Mar. 2009 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=6.994 - 0.979 - ( 0.336 - max(0, 1.105 - 0.709+0.336))
=6.411

Note: The Operating Income data used here is four times the quarterly (Mar. 2009) 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 357.68% mean?
Index Oil & Gas (IXOG) has a ROIC % of 357.68% as of Mar. 2009. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Index Oil & Gas and its competitors.
Is Index Oil & Gas' ROIC % too high?
Index Oil & Gas' current ROIC % is 357.68%. The Oil & Gas industry median ROIC % is 3.63. Index Oil & Gas' value of 357.68% is 9753.4% above this industry median.
How does Index Oil & Gas' ROIC % compare to FPPP and UNGS?
Index Oil & Gas' ROIC % of 357.68% can be compared against companies in the Oil & Gas industry. The industry median ROIC % is 3.63. Index Oil & Gas' value of 357.68% is 9753.4% 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 an Oil & Gas company?
The median ROIC % among Oil & Gas companies is 3.63, based on 997 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. Index Oil & Gas's current ROIC % of 357.68% is 9753.4% 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 Index Oil & Gas and its competitors. For the Oil & Gas industry, the median ROIC % is 3.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Index Oil & Gas's current ROIC % is 357.68%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Index Oil & Gas stock overvalued right now?
Index Oil & Gas (IXOG) has a current ROIC % of 357.68%. The current ROIC % is 357.68% and 9753.4% above the Oil & Gas industry median of 3.63. 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 Index Oil & Gas (IXOG), the current ROIC % is 357.68% as of Mar. 2009. 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.

Index Oil & Gas Business Description

Industry EnergyOil & Gas
Address 10000 Memorial Drive, Suite 440, Houston, TX, USA, 77024
Index Oil & Gas Inc is an independent oil and natural gas company engaged in the acquisition, exploration, development, production and sale of oil and natural gas properties. It focuses on prolific petroleum system of the onshore Gulf Coast of Texas and Louisiana.