Lagis Enterprise Co (ROCO:6730) ROIC %: 5.98% (As of Dec. 2025)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

ROCO:6730 Lagis Enterprise Co Ltd ROCO:6730
91 GF Score
Price NT$37.50
GF Value NT$43.10
Valuation Modestly Undervalued
! 3 Warning Signs
View Full Analysis

What is Lagis Enterprise Co ROIC %?

Lagis Enterprise Co ROCO:6730 91 ROIC % is 5.98% as of Dec. 2025. GuruFocus rates ROCO:6730 with a GF Score™ of 91/100 and a GF Value™ of NT$43.10 (Modestly Undervalued). The stock has 3 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 %. Lagis Enterprise Co's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2025 was 5.98%.

As of today (2026-07-17), Lagis Enterprise Co's WACC % is 3.14%. Lagis Enterprise Co's ROIC % is 7.20% (calculated using TTM income statement data). Lagis Enterprise Co 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.


Lagis Enterprise Co  (ROCO:6730) 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, Lagis Enterprise Co's WACC % is 3.14%. Lagis Enterprise Co's ROIC % is 7.20% (calculated using TTM income statement data). Lagis Enterprise Co 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.


Lagis Enterprise Co ROIC % Related Terms


Lagis Enterprise Co ROIC % Historical Data

* Premium members only.

The historical data trend for Lagis Enterprise Co'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.

Lagis Enterprise Co ROIC % Chart

Lagis Enterprise Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.41 15.43 10.65 7.84 7.25

Lagis Enterprise Co Quarterly Data
Mar19 Jun19 Dec19 Mar20 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
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 6.16 6.68 8.19 7.91 5.98

ROCO:6730 vs ISRG, BDX, MDLN: ROIC % Comparison

For the Medical Instruments & Supplies subindustry, Lagis Enterprise Co'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.


Lagis Enterprise Co ROIC % vs Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Lagis Enterprise Co's ROIC % distribution charts can be found below:

* The bar in red indicates where Lagis Enterprise Co's ROIC % falls into.


ROCO:6730
91GF Score
Lagis Enterprise Co Ltd ROCO:6730
ROIC % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Lagis Enterprise Co ROIC % Calculation

Lagis Enterprise Co's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2025 is calculated as:

ROIC % (A: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2024 ) + Invested Capital (A: Dec. 2025 ))/ count )
=87.898 * ( 1 - 20% )/( (960.508 + 980.346)/ 2 )
=70.3184/970.427
=7.25 %

where

Invested Capital(A: Dec. 2024 )
=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))
=1086.136 - 56.431 - ( 69.197 - max(0, 129.351 - 296.234+69.197))
=960.508

Invested Capital(A: Dec. 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))
=1139.34 - 63.701 - ( 95.293 - max(0, 122.035 - 309.842+95.293))
=980.346

Lagis Enterprise Co's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Dec. 2025 is calculated as:

ROIC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2025 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=74.132 * ( 1 - 20% )/( (1002.158 + 980.346)/ 2 )
=59.3056/991.252
=5.98 %

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))
=1121.921 - 62.857 - ( 56.906 - max(0, 124.596 - 287.178+56.906))
=1002.158

Invested Capital(Q: Dec. 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))
=1139.34 - 63.701 - ( 95.293 - max(0, 122.035 - 309.842+95.293))
=980.346

Note: The Operating Income data used here is four times the quarterly (Dec. 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 5.98% mean?
Lagis Enterprise Co (ROCO:6730) has a ROIC % of 5.98% as of Dec. 2025. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Lagis Enterprise Co and its competitors.
Is Lagis Enterprise Co's ROIC % too high?
Lagis Enterprise Co's current ROIC % is 5.98%. The Medical Devices & Instruments industry median ROIC % is 1.28. Lagis Enterprise Co's value of 5.98% is 369% above this industry median. Overall, Lagis Enterprise Co has a GF Score™ of 91/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lagis Enterprise Co's ROIC % compare to ISRG and BDX?
Lagis Enterprise Co's ROIC % of 5.98% can be compared against companies in the Medical Devices & Instruments industry. The industry median ROIC % is 1.28. Lagis Enterprise Co's value of 5.98% is 369% 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 Medical Devices & Instruments company?
The median ROIC % among Medical Devices & Instruments companies is 1.28, based on 848 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. Lagis Enterprise Co's current ROIC % of 5.98% is 369% 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 Lagis Enterprise Co and its competitors. For the Medical Devices & Instruments industry, the median ROIC % is 1.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lagis Enterprise Co's current ROIC % is 5.98%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lagis Enterprise Co stock overvalued right now?
Based on GuruFocus' analysis, Lagis Enterprise Co (ROCO:6730) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$43.10, compared to a current price of NT$37.50 — trading 13% below its estimated fair value. The current ROIC % is 5.98% and 369% above the Medical Devices & Instruments industry median of 1.28. Lagis Enterprise Co's overall GF Score™ is 91/100 with 3 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 Lagis Enterprise Co (ROCO:6730), the current ROIC % is 5.98% as of Dec. 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.

Is Lagis Enterprise Co (ROCO:6730) Overvalued in 2026?

Based on GuruFocus' analysis, Lagis Enterprise Co stock appears to be undervalued. The current stock price of NT$37.50 is trading 13% below its estimated GF Value™ of NT$43.10. GuruFocus considers Lagis Enterprise Co to be Modestly Undervalued.

Key valuation signals for ROCO:6730:

  • ROIC %: 5.98%
  • GF Value™: NT$43.10 vs. price of NT$37.50 (13% below fair value)
  • GF Score™: 91/100 with 3 warning signs
  • Industry Position: 369% above the Medical Devices & Instruments median

No single metric tells the full story. See the ROCO:6730 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Lagis Enterprise Co Business Description

Address No.29, Gong 1st Road, Dajia District, Taichung, TWN, 43767
Lagis Enterprise Co Ltd is a medical device development company that designs, patents, and markets medical devices for the laparoscopic and endoscopic surgical markets. Its product portfolio includes Access, Endo Devices, Specimen Retrieval products, Suction Irrigation systems, Training systems, and accessories.
91GF Score

Get the complete analysis for ROCO:6730

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

NT$37.50
Price
NT$43.10
GF Value