ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Kyushu Electric Power Co's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was 0.43%.
As of today (2026-06-30), Kyushu Electric Power Co's WACC % is 1.41%. Kyushu Electric Power Co's ROIC % is 2.87% (calculated using TTM income statement data).
Kyushu Electric Power Co 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.
Kyushu Electric Power Co (OTCPK:KYSEY) 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, Kyushu Electric Power Co's WACC % is 1.41%. Kyushu Electric Power Co's ROIC % is 2.87% (calculated using TTM income statement data).
Kyushu Electric Power Co 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.
* 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 Utilities - Independent Power Producers subindustry, Kyushu Electric Power Co'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.
Kyushu Electric Power Co ROIC % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Kyushu Electric Power Co's ROIC % distribution charts can be found below:
* The bar in red indicates where Kyushu Electric Power Co'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.
Kyushu Electric Power Co (KYSEY) has a ROIC % of 0.43% 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 Kyushu Electric Power Co and its competitors.
Is Kyushu Electric Power Co's ROIC % too high?
Kyushu Electric Power Co's current ROIC % is 0.43%. The Utilities - Independent Power Producers industry median ROIC % is 2.29. Kyushu Electric Power Co's value of 0.43% is 81.2% below this industry median. Overall, Kyushu Electric Power Co has a GF Score™ of 69/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Kyushu Electric Power Co's ROIC % compare to CEG and VST?
Kyushu Electric Power Co's ROIC % of 0.43% can be compared against companies in the Utilities - Independent Power Producers industry. The industry median ROIC % is 2.29. Kyushu Electric Power Co's value of 0.43% is 81.2% 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 an Utilities - Independent Power Producers company?
The median ROIC % among Utilities - Independent Power Producers companies is 2.29, based on 429 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. Kyushu Electric Power Co's current ROIC % of 0.43% is 81.2% 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 Kyushu Electric Power Co and its competitors. For the Utilities - Independent Power Producers industry, the median ROIC % is 2.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kyushu Electric Power Co's current ROIC % is 0.43%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kyushu Electric Power Co stock overvalued right now?
Based on GuruFocus' analysis, Kyushu Electric Power Co (KYSEY) is currently considered Fairly Valued. The stock's GF Value™ is $9.75, compared to a current price of $10.53 — trading 8% above its estimated fair value. The current ROIC % is 0.43% and 81.2% below the Utilities - Independent Power Producers industry median of 2.29. Kyushu Electric Power Co's overall GF Score™ is 69/100 with 3 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 Kyushu Electric Power Co (KYSEY), the current ROIC % is 0.43% 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 Kyushu Electric Power Co (KYSEY) Overvalued in 2026?
Based on GuruFocus' analysis, Kyushu Electric Power Co stock appears to be overvalued.
The current stock price of $10.53 is trading 8% above its estimated GF Value™ of $9.75.
GuruFocus considers Kyushu Electric Power Co to be Fairly Valued.
Key valuation signals for KYSEY:
ROIC %: 0.43%
GF Value™: $9.75 vs. price of $10.53 (8% above fair value)
Industry Position: 81.2% below the Utilities - Independent Power Producers median
No single metric tells the full story. See the KYSEY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kyushu Electric Power Co Inc is a Japan-based company mainly engaged in the electric power business. Its operating segments include ICT Service Business, Other Energy Service Business, Overseas Business, Power Generation and Sales Business, Power Transmission and Distribution Business, Urban Development Business, and Others. It generates the majority of its revenue from the Power generation and sales business segment, whose main business is the power generation and retail electricity business in Japan.
69GF Score
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