PAEGF (Peace Arch Entertainment Group) ROIC %: -12.66% (As of May. 2008)


What is Peace Arch Entertainment Group ROIC %?

Peace Arch Entertainment Group PAEGF -99.90% ROIC % is -12.66% as of May. 2008.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Peace Arch Entertainment Group's annualized return on invested capital (ROIC %) for the quarter that ended in May. 2008 was -12.66%.

As of today (2026-06-27), Peace Arch Entertainment Group's WACC % is 0.00%. Peace Arch Entertainment Group's ROIC % is 0.00% (calculated using TTM income statement data). Peace Arch Entertainment Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Peace Arch Entertainment Group  (OTCPK:PAEGF) 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, Peace Arch Entertainment Group's WACC % is 0.00%. Peace Arch Entertainment Group's ROIC % is 0.00% (calculated using TTM income statement data). Peace Arch Entertainment Group 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.

Peace Arch Entertainment Group ROIC % Related Terms

Peace Arch Entertainment Group ROIC % Historical Data

* Premium members only.

The historical data trend for Peace Arch Entertainment Group'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.

Peace Arch Entertainment Group ROIC % Chart

Peace Arch Entertainment Group Annual Data
Trend Aug98 Aug99 Aug00 Aug01 Aug02 Aug03 Aug04 Aug05 Aug06 Aug07
ROIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1.69 -0.68 -3.97 33.75 54.55

Peace Arch Entertainment Group Quarterly Data
Aug03 Nov03 Feb04 May04 Aug04 Nov04 Feb05 May05 Aug05 Nov05 Feb06 May06 Aug06 Nov06 Feb07 May07 Aug07 Nov07 Feb08 May08
ROIC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.32 165.71 -0.30 -0.12 -12.66

PAEGF vs PTSX, ASKH, CRCO: ROIC % Comparison

For the Entertainment subindustry, Peace Arch Entertainment Group'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.

Peace Arch Entertainment Group ROIC % vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Peace Arch Entertainment Group's ROIC % distribution charts can be found below:

* The bar in red indicates where Peace Arch Entertainment Group's ROIC % falls into.


Peace Arch Entertainment Group ROIC % Calculation

Peace Arch Entertainment Group's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Aug. 2007 is calculated as:

ROIC % (A: Aug. 2007 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Aug. 2006 ) + Invested Capital (A: Aug. 2007 ))/ count )
=61.025 * ( 1 - 0% )/( (81.906 + 141.818)/ 2 )
=61.025/111.862
=54.55 %

where

Invested Capital(A: Aug. 2006 )
=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))
=74.422 - 10.338 - ( 1.087 - max(0, 40.078 - 22.256+1.087))
=81.906

Invested Capital(A: Aug. 2007 )
=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))
=141.986 - 28.933 - ( 4.866 - max(0, 76.396 - 47.631+4.866))
=141.818

Peace Arch Entertainment Group's annualized Return on Invested Capital (ROIC %) for the quarter that ended in May. 2008 is calculated as:

ROIC % (Q: May. 2008 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Feb. 2008 ) + Invested Capital (Q: May. 2008 ))/ count )
=-18.176 * ( 1 - 0% )/( (164.17 + 122.903)/ 2 )
=-18.176/143.5365
=-12.66 %

where

Invested Capital(Q: Feb. 2008 )
=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))
=166.897 - 39.354 - ( 3.409 - max(0, 101.302 - 64.675+3.409))
=164.17

Invested Capital(Q: May. 2008 )
=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))
=166.54 - 41.891 - ( 1.746 - max(0, 45.834 - 69.891+1.746))
=122.903

Note: The Operating Income data used here is four times the quarterly (May. 2008) 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 -12.66% mean?
Peace Arch Entertainment Group (PAEGF) has a ROIC % of -12.66% as of May. 2008. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Peace Arch Entertainment Group and its competitors.
Is Peace Arch Entertainment Group's ROIC % too high?
Peace Arch Entertainment Group's current ROIC % is -12.66%.
How does Peace Arch Entertainment Group's ROIC % compare to PTSX and ASKH?
Peace Arch Entertainment Group's ROIC % of -12.66% can be compared against companies in the Media - Diversified industry. The industry median ROIC % is 1.41. 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 1.41, based on 1,016 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 Peace Arch Entertainment Group and its competitors. For the Media - Diversified industry, the median ROIC % is 1.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Peace Arch Entertainment Group's current ROIC % is -12.66%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Peace Arch Entertainment Group stock overvalued right now?
Peace Arch Entertainment Group (PAEGF) has a current ROIC % of -12.66%. The current ROIC % is -12.66%. 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 Peace Arch Entertainment Group (PAEGF), the current ROIC % is -12.66% as of May. 2008. 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.

Peace Arch Entertainment Group Business Description

Address 1867 Yonge Street, Suite 650, Toronto, ON, CAN, M4S 1Y5
Peace Arch Entertainment Group Inc is an integrated media company, which produces and acquires feature films, television and home entertainment content for distribution to worldwide markets.