ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Big Technologies's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2025 was 12.17%.
As of today (2026-07-05), Big Technologies's WACC % is 16.16%. Big Technologies's ROIC % is -38.92% (calculated using TTM income statement data).
Big Technologies earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Big Technologies (LSE:BIG) 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, Big Technologies's WACC % is 16.16%. Big Technologies's ROIC % is -38.92% (calculated using TTM income statement data).
Big Technologies 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.
Big Technologies ROIC % Related Terms
Big Technologies ROIC % Historical Data
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The historical data trend for Big Technologies'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 Software - Application subindustry, Big Technologies'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.
Big Technologies ROIC % vs Software Industry
For the Software industry and Technology sector, Big Technologies's ROIC % distribution charts can be found below:
* The bar in red indicates where Big Technologies's ROIC % falls into.
Note:
The Operating Income data used here is two times the semi-annual (Dec. 2025) 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.
Big Technologies (LSE:BIG) has a ROIC % of 12.17% as of Dec. 2025. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Big Technologies and its competitors.
Is Big Technologies' ROIC % too high?
Big Technologies' current ROIC % is 12.17%. The Software industry median ROIC % is 3.05. Big Technologies' value of 12.17% is 299% above this industry median. Overall, Big Technologies has a GF Score™ of 82/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Big Technologies' ROIC % compare to UBER and SHOP?
Big Technologies' ROIC % of 12.17% can be compared against companies in the Software industry. The industry median ROIC % is 3.05. Big Technologies' value of 12.17% is 299% 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 3.05, based on 2,823 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. Big Technologies's current ROIC % of 12.17% is 299% 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 Big Technologies and its competitors. For the Software industry, the median ROIC % is 3.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Big Technologies's current ROIC % is 12.17%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Big Technologies stock overvalued right now?
Based on GuruFocus' analysis, Big Technologies (LSE:BIG) is currently considered Modestly Undervalued. The stock's GF Value™ is £1.29, compared to a current price of £0.98 — trading 24% below its estimated fair value. The current ROIC % is 12.17% and 299% above the Software industry median of 3.05. Big Technologies' overall GF Score™ is 82/100 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 Big Technologies (LSE:BIG), the current ROIC % is 12.17% as of Dec. 2025. 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 Big Technologies (LSE:BIG) Overvalued in 2026?
Based on GuruFocus' analysis, Big Technologies stock appears to be undervalued.
The current stock price of £0.98 is trading 24% below its estimated GF Value™ of £1.29.
GuruFocus considers Big Technologies to be Modestly Undervalued.
Key valuation signals for LSE:BIG:
ROIC %: 12.17%
GF Value™: £1.29 vs. price of £0.98 (24% below fair value)
No single metric tells the full story. See the LSE:BIG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Big Technologies PLC is engaged in the development and delivery of remote monitoring technologies and services to a range of domestic and international customers. The company's mission is to deliver high-quality electronic monitoring solutions that combine hardware and software to support the monitoring of individuals in the core criminal justice business. It's a market leader in the electronic monitoring industry, operating under the trusted Buddi brand. Through its integrated technology platform, Buddi offers state of the art Electronic Monitoring solutions on a subscription-based, SaaS-like model. This platform is flexible and scalable, enabling tailored deployments across diverse use cases and geographies. The Group operates across three regions: Europe, Asia-Pacific, and the Americas.
82GF Score
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