ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Mobileye Global's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was -4.83%.
As of today (2026-06-27), Mobileye Global's WACC % is 13.82%. Mobileye Global's ROIC % is -4.29% (calculated using TTM income statement data).
Mobileye Global earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Mobileye Global (NAS:MBLY) 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, Mobileye Global's WACC % is 13.82%. Mobileye Global's ROIC % is -4.29% (calculated using TTM income statement data).
Mobileye Global 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.
Mobileye Global ROIC % Related Terms
Mobileye Global ROIC % Historical Data
* Premium members only.
The historical data trend for Mobileye Global'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 Auto Parts subindustry, Mobileye Global'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.
Mobileye Global ROIC % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Mobileye Global's ROIC % distribution charts can be found below:
* The bar in red indicates where Mobileye Global'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.
Mobileye Global (MBLY) has a ROIC % of -4.83% 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 Mobileye Global and its competitors.
Is Mobileye Global's ROIC % too high?
Mobileye Global's current ROIC % is -4.83%. Overall, Mobileye Global has a GF Score™ of 68/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Mobileye Global's ROIC % compare to ALSN and ALV?
Mobileye Global's ROIC % of -4.83% can be compared against companies in the Vehicles & Parts industry. The industry median ROIC % is 5.07. 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 Vehicles & Parts company?
The median ROIC % among Vehicles & Parts companies is 5.07, based on 1,316 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. 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 Mobileye Global and its competitors. For the Vehicles & Parts industry, the median ROIC % is 5.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mobileye Global's current ROIC % is -4.83%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mobileye Global stock overvalued right now?
Based on GuruFocus' analysis, Mobileye Global (MBLY) is currently considered Significantly Undervalued. The stock's GF Value™ is $18.22, compared to a current price of $7.81 — trading 57.1% below its estimated fair value. The current ROIC % is -4.83%. Mobileye Global's overall GF Score™ is 68/100 with 2 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 Mobileye Global (MBLY), the current ROIC % is -4.83% 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 Mobileye Global (MBLY) Overvalued in 2026?
Based on GuruFocus' analysis, Mobileye Global stock appears to be undervalued.
The current stock price of $7.81 is trading 57.1% below its estimated GF Value™ of $18.22.
GuruFocus considers Mobileye Global to be Significantly Undervalued.
Key valuation signals for MBLY:
ROIC %: -4.83%
GF Value™: $18.22 vs. price of $7.81 (57.1% below fair value)
No single metric tells the full story. See the MBLY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mobileye Global Inc engages in the development and deployment of ADAS and autonomous driving technologies and solutions. It is building a portfolio of end-to-end ADAS and autonomous driving solutions to provide the capabilities needed for the future of autonomous driving, leveraging a comprehensive suite of purpose-built software and hardware technologies. The company's reportable operating segment are Mobileye and Moovit. The solutions provided by the company are: Driver Assist, Cloud-Enhanced Driver Assist, Mobileye SuperVision Lite, Mobileye SuperVision, Mobileye Chauffeur, Mobileye Drive, Self-Driving System & Vehicles. It derives maximum revenue from Mobileye Segment.
68GF Score
Get the complete analysis for MBLY
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
MBLY has been successfully added to your 
