Advit Jewels (NSE:RAMBHAJO) ROIC %: 32.08% (As of Mar. 2025)

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NSE:RAMBHAJO Advit Jewels Ltd NSE:RAMBHAJO
14 GF Score
Price ₹197.89
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What is Advit Jewels ROIC %?

Advit Jewels NSE:RAMBHAJO +1.97% 14 ROIC % is 32.08% as of Mar. 2025. GuruFocus rates NSE:RAMBHAJO with a GF Score™ of 14/100. The stock has 2 warning signs investors should review.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Advit Jewels's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2025 was 32.08%.

As of today (2026-07-28), Advit Jewels's WACC % is 12.85%. Advit Jewels's ROIC % is 32.08% (calculated using TTM income statement data). Advit Jewels 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.


Advit Jewels  (NSE:RAMBHAJO) 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, Advit Jewels's WACC % is 12.85%. Advit Jewels's ROIC % is 32.08% (calculated using TTM income statement data). Advit Jewels 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.


Advit Jewels ROIC % Related Terms


Advit Jewels ROIC % Historical Data

* Premium members only.

The historical data trend for Advit Jewels'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.

Advit Jewels ROIC % Chart

Advit Jewels Annual Data
Trend Mar23 Mar24 Mar25
ROIC %
43.69 39.37 32.08

Advit Jewels Semi-Annual Data
Mar23 Mar24 Mar25
ROIC % 43.69 39.37 32.08

NSE:RAMBHAJO vs TPR: ROIC % Comparison

For the Luxury Goods subindustry, Advit Jewels'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.


Advit Jewels ROIC % vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Advit Jewels's ROIC % distribution charts can be found below:

* The bar in red indicates where Advit Jewels's ROIC % falls into.


NSE:RAMBHAJO
14GF Score
Advit Jewels Ltd NSE:RAMBHAJO
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Advit Jewels ROIC % Calculation

Advit Jewels's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Mar. 2025 is calculated as:

ROIC % (A: Mar. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Mar. 2024 ) + Invested Capital (A: Mar. 2025 ))/ count )
=365.597 * ( 1 - 17.38% )/( (540.431 + 1342.933)/ 2 )
=302.0562414/941.682
=32.08 %

where

Invested Capital(A: Mar. 2025 )
=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))
=1408.54 - 39.29 - ( 26.317 - max(0, 716.075 - 1260.615+26.317))
=1342.933

Advit Jewels's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Mar. 2025 is calculated as:

ROIC % (Q: Mar. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2024 ) + Invested Capital (Q: Mar. 2025 ))/ count )
=365.597 * ( 1 - 17.38% )/( (540.431 + 1342.933)/ 2 )
=302.0562414/941.682
=32.08 %

where

Invested Capital(Q: Mar. 2025 )
=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))
=1408.54 - 39.29 - ( 26.317 - max(0, 716.075 - 1260.615+26.317))
=1342.933

Note: The Operating Income data used here is one times the annual (Mar. 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.

Frequently Asked Questions Learn more about ROIC % →
What does a ROIC % of 32.08% mean?
Advit Jewels (NSE:RAMBHAJO) has a ROIC % of 32.08% as of Mar. 2025. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Advit Jewels and its competitors.
Is Advit Jewels' ROIC % too high?
Advit Jewels' current ROIC % is 32.08%. The Retail - Cyclical industry median ROIC % is 4.37. Advit Jewels' value of 32.08% is 634.9% above this industry median. Overall, Advit Jewels has a GF Score™ of 14/100, reflecting its overall financial health beyond just this single metric.
How does Advit Jewels' ROIC % compare to TPR?
Advit Jewels' ROIC % of 32.08% can be compared against companies in the Retail - Cyclical industry. The industry median ROIC % is 4.37. Advit Jewels' value of 32.08% is 634.9% 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 Retail - Cyclical company?
The median ROIC % among Retail - Cyclical companies is 4.37, based on 1,116 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. Advit Jewels's current ROIC % of 32.08% is 634.9% 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 Advit Jewels and its competitors. For the Retail - Cyclical industry, the median ROIC % is 4.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Advit Jewels's current ROIC % is 32.08%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Advit Jewels stock overvalued right now?
Advit Jewels (NSE:RAMBHAJO) has a current ROIC % of 32.08%. The current ROIC % is 32.08% and 634.9% above the Retail - Cyclical industry median of 4.37. Advit Jewels' overall GF Score™ is 14/100 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 Advit Jewels (NSE:RAMBHAJO), the current ROIC % is 32.08% as of Mar. 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.

Advit Jewels Business Description

Other Exchanges 544803:India
Address Plot No 4, Jamna Lal Bajaj Marg, Flat No 201 and Basement, Pearl Premier, C-Scheme, Ashok Nagar - Jaipur, Jaipur, RJ, IND, 302001
Advit Jewels Ltd is engaged in the business of manufacturing gold ornaments and jewellery, specializing in Kundan, Polki, Diamond and Studded pieces, under the brand name "Rambhajo". Its offerings include necklaces, earrings, rings, bangles and customized jewellery pieces. The company uses materials including gold, diamonds, Polki, and coloured stones in its products. The majority of its revenue is derived from the sale of Necklace Sets, Chick Sets, Bracelets and Bangles, Earring sets and Pendant Sets.
14GF Score

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ROIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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