ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Puregold Price Club's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was 10.39%.
As of today (2026-06-25), Puregold Price Club's WACC % is 9.87%. Puregold Price Club's ROIC % is 9.16% (calculated using TTM income statement data).
Puregold Price Club earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Puregold Price Club (PHS:PGOLD) 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, Puregold Price Club's WACC % is 9.87%. Puregold Price Club's ROIC % is 9.16% (calculated using TTM income statement data).
Puregold Price Club 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.
Puregold Price Club ROIC % Related Terms
Puregold Price Club ROIC % Historical Data
* Premium members only.
The historical data trend for Puregold Price Club'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 Department Stores subindustry, Puregold Price Club'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.
Puregold Price Club ROIC % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Puregold Price Club's ROIC % distribution charts can be found below:
* The bar in red indicates where Puregold Price Club'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.
Puregold Price Club (PHS:PGOLD) has a ROIC % of 10.39% 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 Puregold Price Club and its competitors.
Is Puregold Price Club's ROIC % too high?
Puregold Price Club's current ROIC % is 10.39%. The Retail - Cyclical industry median ROIC % is 4.37. Puregold Price Club's value of 10.39% is 137.8% above this industry median. Overall, Puregold Price Club has a GF Score™ of 98/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Puregold Price Club's ROIC % compare to DDS and M?
Puregold Price Club's ROIC % of 10.39% can be compared against companies in the Retail - Cyclical industry. The industry median ROIC % is 4.37. Puregold Price Club's value of 10.39% is 137.8% 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 1,113 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. Puregold Price Club's current ROIC % of 10.39% is 137.8% 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 Puregold Price Club 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. Puregold Price Club's current ROIC % is 10.39%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Puregold Price Club stock overvalued right now?
Based on GuruFocus' analysis, Puregold Price Club (PHS:PGOLD) is currently considered Modestly Overvalued. The stock's GF Value™ is ₱37.18, compared to a current price of ₱41.40 — trading 11.4% above its estimated fair value. The current ROIC % is 10.39% and 137.8% above the Retail - Cyclical industry median of 4.37. Puregold Price Club's overall GF Score™ is 98/100 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 Puregold Price Club (PHS:PGOLD), the current ROIC % is 10.39% 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 Puregold Price Club (PHS:PGOLD) Overvalued in 2026?
Based on GuruFocus' analysis, Puregold Price Club stock appears to be overvalued.
The current stock price of ₱41.40 is trading 11.4% above its estimated GF Value™ of ₱37.18.
GuruFocus considers Puregold Price Club to be Modestly Overvalued.
Key valuation signals for PHS:PGOLD:
ROIC %: 10.39%
GF Value™: ₱37.18 vs. price of ₱41.40 (11.4% above fair value)
Industry Position: 137.8% above the Retail - Cyclical median
No single metric tells the full story. See the PHS:PGOLD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Puregold Price Club Inc is involved in the business of trading goods such as consumer products (canned goods, housewares, toiletries, dry goods, food products, pharmaceutical and medical goods) on a wholesale and retail basis. The stores are classified as Hypermarkets, Supermarkets, Extras, Membership Warehouses, Quick-Service Restaurants, and Mini-marts. Hypermarkets offer a wide variety of food and non-food products. Supermarkets offer a higher proportion of food to non-food products. Mini-marts serve as a community store, selling fast-moving essential goods to high-density neighborhoods.
98GF Score
Get the complete analysis for PHS:PGOLD
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
PHS:PGOLD has been successfully added to your 
