Thinking Hats Entertainment Solutions (NSE:THESL) ROIC %: 2.98% (As of Mar. 2026)


NSE:THESL Thinking Hats Entertainment Solutions Ltd NSE:THESL
16 GF Score
Price ₹13.00
! 6 Warning Signs
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What is Thinking Hats Entertainment Solutions ROIC %?

Thinking Hats Entertainment Solutions NSE:THESL 16 ROIC % is 2.98% as of Mar. 2026. GuruFocus rates NSE:THESL with a GF Score™ of 16/100. The stock has 6 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 %. Thinking Hats Entertainment Solutions's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was 2.98%.

As of today (2026-06-30), Thinking Hats Entertainment Solutions's WACC % is 9.84%. Thinking Hats Entertainment Solutions's ROIC % is 3.98% (calculated using TTM income statement data). Thinking Hats Entertainment Solutions earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Thinking Hats Entertainment Solutions  (NSE:THESL) 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, Thinking Hats Entertainment Solutions's WACC % is 9.84%. Thinking Hats Entertainment Solutions's ROIC % is 3.98% (calculated using TTM income statement data). Thinking Hats Entertainment Solutions 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.

Thinking Hats Entertainment Solutions ROIC % Related Terms

Thinking Hats Entertainment Solutions ROIC % Historical Data

* Premium members only.

The historical data trend for Thinking Hats Entertainment Solutions'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.

Thinking Hats Entertainment Solutions ROIC % Chart

Thinking Hats Entertainment Solutions Annual Data
Trend Mar22 Mar23 Mar24 Mar25 Mar26
ROIC %
-12.45 50.84 39.55 14.90 3.75

Thinking Hats Entertainment Solutions Semi-Annual Data
Mar22 Mar23 Mar24 Sep24 Mar25 Sep25 Mar26
ROIC % Get a 7-Day Free Trial 0.00 38.93 13.07 5.04 2.98

NSE:THESL vs APP, OMC, TTD: ROIC % Comparison

For the Advertising Agencies subindustry, Thinking Hats Entertainment Solutions'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.

Thinking Hats Entertainment Solutions ROIC % vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Thinking Hats Entertainment Solutions's ROIC % distribution charts can be found below:

* The bar in red indicates where Thinking Hats Entertainment Solutions's ROIC % falls into.


NSE:THESL
16GF Score
Thinking Hats Entertainment Solutions Ltd NSE:THESL
ROIC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Thinking Hats Entertainment Solutions ROIC % Calculation

Thinking Hats Entertainment Solutions's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Mar. 2026 is calculated as:

ROIC % (A: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Mar. 2025 ) + Invested Capital (A: Mar. 2026 ))/ count )
=18.004 * ( 1 - 23.28% )/( (354.333 + 381.473)/ 2 )
=13.8126688/367.903
=3.75 %

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))
=495.954 - 49.195 - ( 92.426 - max(0, 185.179 - 311.816+92.426))
=354.333

Invested Capital(A: Mar. 2026 )
=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))
=476.467 - 30.885 - ( 64.765 - max(0, 162.231 - 226.34+64.765))
=381.473

Thinking Hats Entertainment Solutions's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Mar. 2026 is calculated as:

ROIC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=13.416 * ( 1 - 18.08% )/( (356.059 + 381.473)/ 2 )
=10.9903872/368.766
=2.98 %

where

Invested Capital(Q: Sep. 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))
=458.736 - 25.811 - ( 78.358 - max(0, 140.895 - 217.761+78.358))
=356.059

Invested Capital(Q: Mar. 2026 )
=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))
=476.467 - 30.885 - ( 64.765 - max(0, 162.231 - 226.34+64.765))
=381.473

Note: The Operating Income data used here is two times the semi-annual (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.

Frequently Asked Questions Learn more about ROIC % →
What does a ROIC % of 2.98% mean?
Thinking Hats Entertainment Solutions (NSE:THESL) has a ROIC % of 2.98% 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 Thinking Hats Entertainment Solutions and its competitors.
Is Thinking Hats Entertainment Solutions' ROIC % too high?
Thinking Hats Entertainment Solutions' current ROIC % is 2.98%. The Media - Diversified industry median ROIC % is 1.40. Thinking Hats Entertainment Solutions' value of 2.98% is 112.9% above this industry median. Overall, Thinking Hats Entertainment Solutions has a GF Score™ of 16/100, reflecting its overall financial health beyond just this single metric.
How does Thinking Hats Entertainment Solutions' ROIC % compare to APP and OMC?
Thinking Hats Entertainment Solutions' ROIC % of 2.98% can be compared against companies in the Media - Diversified industry. The industry median ROIC % is 1.40. Thinking Hats Entertainment Solutions' value of 2.98% is 112.9% 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 Media - Diversified company?
The median ROIC % among Media - Diversified companies is 1.40, based on 1,009 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. Thinking Hats Entertainment Solutions's current ROIC % of 2.98% is 112.9% 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 Thinking Hats Entertainment Solutions and its competitors. For the Media - Diversified industry, the median ROIC % is 1.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Thinking Hats Entertainment Solutions's current ROIC % is 2.98%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Thinking Hats Entertainment Solutions stock overvalued right now?
Thinking Hats Entertainment Solutions (NSE:THESL) has a current ROIC % of 2.98%. The current ROIC % is 2.98% and 112.9% above the Media - Diversified industry median of 1.40. Thinking Hats Entertainment Solutions' overall GF Score™ is 16/100 with 6 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 Thinking Hats Entertainment Solutions (NSE:THESL), the current ROIC % is 2.98% 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.

Thinking Hats Entertainment Solutions Business Description

Address 5th Floor, B 9 Pinnacle Business, Park Sector 3 Noida, Gautam Buddha Nagar, Noida, UP, IND, 201301
Thinking Hats Entertainment Solutions Ltd is a concept development, event design and production company that specializes in live events, corporate, MICE (Meetings, Incentives, Conferences and Exhibitions), social and virtual events to an OTT content production and experiential marketing company with a focus on content development, intellectual property curation and tech centric product development. The company operates in two reportable segment (Business segment) i.e. Event Management and OTT Sales. Key revenue is generated from Event Management segment.
16GF Score

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