Sovereign Trust Insurance (NSA:STIP) ROIC %: 0.00% (As of . 20)


What is Sovereign Trust Insurance ROIC %?

Sovereign Trust Insurance NSA:STIP +0.49% ROIC % is 0.00% as of . 20.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Sovereign Trust Insurance's annualized return on invested capital (ROIC %) for the quarter that ended in . 20 was 0.00%.

As of today (2026-06-26), Sovereign Trust Insurance's WACC % is 0.00%. Sovereign Trust Insurance's ROIC % is 0.00% (calculated using TTM income statement data). Sovereign Trust Insurance earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Sovereign Trust Insurance  (NSA:STIP) 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, Sovereign Trust Insurance's WACC % is 0.00%. Sovereign Trust Insurance's ROIC % is 0.00% (calculated using TTM income statement data). Sovereign Trust Insurance 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.

Sovereign Trust Insurance ROIC % Related Terms

Sovereign Trust Insurance ROIC % Historical Data

* Premium members only.

The historical data trend for Sovereign Trust Insurance'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.

Sovereign Trust Insurance ROIC % Chart

Sovereign Trust Insurance Annual Data
Trend
ROIC %

Sovereign Trust Insurance Quarterly Data
ROIC %

Sovereign Trust Insurance ROIC % Competitor Comparison

For the Insurance - Diversified subindustry, Sovereign Trust Insurance'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.

Sovereign Trust Insurance ROIC % vs Insurance Industry

For the Insurance industry and Financial Services sector, Sovereign Trust Insurance's ROIC % distribution charts can be found below:

* The bar in red indicates where Sovereign Trust Insurance's ROIC % falls into.


Sovereign Trust Insurance ROIC % Calculation

Sovereign Trust Insurance's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in . 20 is calculated as:

ROIC % (A: . 20 )
=NOPAT/Average Invested Capital
=EBIT * ( 1 - Tax Rate % )/( (Invested Capital (A: . 20 ) + Invested Capital (A: . 20 ))/ count )
= * ( 1 - % )/( ( + )/ )
=/
= %

where

Invested Capital(A: . 20 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
= - - ( - 5% * )
=

Invested Capital(A: . 20 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
= - - ( - 5% * )
=

Sovereign Trust Insurance's annualized Return on Invested Capital (ROIC %) for the quarter that ended in . 20 is calculated as:

ROIC % (Q: . 20 )
=NOPAT/Average Invested Capital
=EBIT * ( 1 - Tax Rate % )/( (Invested Capital (Q: . 20 ) + Invested Capital (Q: . 20 ))/ count )
= * ( 1 - % )/( ( + )/ )
=/
= %

where

Invested Capital(Q: . 20 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
= - - ( - 5% * )
=

Invested Capital(Q: . 20 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
= - - ( - 5% * )
=

Note: The EBIT data used here is four times the quarterly (. 20) 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 0.00% mean?
Sovereign Trust Insurance (NSA:STIP) has a ROIC % of 0.00% as of . 20. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Sovereign Trust Insurance and its competitors.
Is Sovereign Trust Insurance's ROIC % too high?
Sovereign Trust Insurance's current ROIC % is 0.00%.
How does Sovereign Trust Insurance's ROIC % compare to competitors?
Sovereign Trust Insurance's ROIC % of 0.00% can be compared against companies in the Insurance industry. The industry median ROIC % is 3.36. 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 Insurance company?
The median ROIC % among Insurance companies is 3.36, based on 368 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 Sovereign Trust Insurance and its competitors. For the Insurance industry, the median ROIC % is 3.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sovereign Trust Insurance's current ROIC % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sovereign Trust Insurance stock overvalued right now?
Sovereign Trust Insurance (NSA:STIP) has a current ROIC % of 0.00%. The current ROIC % is 0.00%. 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 Sovereign Trust Insurance (NSA:STIP), the current ROIC % is 0.00% as of . 20. 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.

Sovereign Trust Insurance Business Description

Address 17, Adetokunbo Ademola Street, Victoria Island, Lagos, NGA
Sovereign Trust Insurance PLC offers a range of non- life insurance products and services, including motor insurance, marine insurance and aviation insurance, among others. The company's offerings are tailored to meet the specific needs of its clients.