RRTS (Roadrunner Transportation Systems) ROIC %: -39.07% (As of Dec. 2019)

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RRTS Roadrunner Transportation Systems Inc RRTS
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What is Roadrunner Transportation Systems ROIC %?

Roadrunner Transportation Systems RRTS 12 ROIC % is -39.07% as of Dec. 2019. GuruFocus rates RRTS with a GF Score™ of 12/100.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Roadrunner Transportation Systems's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2019 was -39.07%.

As of today (2026-09-11), Roadrunner Transportation Systems's WACC % is 0.00%. Roadrunner Transportation Systems's ROIC % is 0.00% (calculated using TTM income statement data). Roadrunner Transportation Systems earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Roadrunner Transportation Systems  (OTCPK:RRTS) 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, Roadrunner Transportation Systems's WACC % is 0.00%. Roadrunner Transportation Systems's ROIC % is 0.00% (calculated using TTM income statement data). Roadrunner Transportation Systems 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.


Roadrunner Transportation Systems ROIC % Related Terms


Roadrunner Transportation Systems ROIC % Historical Data

* Premium members only.

The historical data trend for Roadrunner Transportation Systems'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.

Roadrunner Transportation Systems ROIC % Chart

Roadrunner Transportation Systems Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
ROIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.76 -2.12 -6.69 -8.61 -26.85

Roadrunner Transportation Systems Quarterly Data
Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19
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 -14.67 -12.35 -17.55 -26.86 -39.07

RRTS vs YRCW, USAK, PATI: ROIC % Comparison

For the Trucking subindustry, Roadrunner Transportation Systems'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.


Roadrunner Transportation Systems ROIC % vs Transportation Industry

For the Transportation industry and Industrials sector, Roadrunner Transportation Systems's ROIC % distribution charts can be found below:

* The bar in red indicates where Roadrunner Transportation Systems's ROIC % falls into.


RRTS
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Roadrunner Transportation Systems Inc RRTS
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Roadrunner Transportation Systems ROIC % Calculation

Roadrunner Transportation Systems's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2019 is calculated as:

ROIC % (A: Dec. 2019 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2018 ) + Invested Capital (A: Dec. 2019 ))/ count )
=-141.461 * ( 1 - 1.06% )/( (571.093 + 471.587)/ 2 )
=-139.9615134/521.34
=-26.85 %

where

Invested Capital(A: Dec. 2018 )
=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))
=853.457 - 271.185 - ( 11.179 - max(0, 297.585 - 351.038+11.179))
=571.093

Roadrunner Transportation Systems's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Dec. 2019 is calculated as:

ROIC % (Q: Dec. 2019 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2019 ) + Invested Capital (Q: Dec. 2019 ))/ count )
=-208.888 * ( 1 - 3.45% )/( (560.888 + 471.587)/ 2 )
=-201.681364/516.2375
=-39.07 %

where

Note: The Operating Income data used here is four times the quarterly (Dec. 2019) 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 -39.07% mean?
Roadrunner Transportation Systems (RRTS) has a ROIC % of -39.07% as of Dec. 2019. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Roadrunner Transportation Systems and its competitors.
Is Roadrunner Transportation Systems' ROIC % too high?
Roadrunner Transportation Systems' current ROIC % is -39.07%. Overall, Roadrunner Transportation Systems has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Roadrunner Transportation Systems' ROIC % compare to YRCW and USAK?
Roadrunner Transportation Systems' ROIC % of -39.07% can be compared against companies in the Transportation industry. The industry median ROIC % is 4.81. 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 Transportation company?
The median ROIC % among Transportation companies is 4.81, based on 1,002 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 Roadrunner Transportation Systems and its competitors. For the Transportation industry, the median ROIC % is 4.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Roadrunner Transportation Systems's current ROIC % is -39.07%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Roadrunner Transportation Systems stock overvalued right now?
Roadrunner Transportation Systems (RRTS) has a current ROIC % of -39.07%. The current ROIC % is -39.07%. Roadrunner Transportation Systems' overall GF Score™ is 12/100. 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 Roadrunner Transportation Systems (RRTS), the current ROIC % is -39.07% as of Dec. 2019. 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.

Roadrunner Transportation Systems Business Description

Address 1431 Opus Place, Suite 530, Downers Grove, IL, USA, 60515
Roadrunner Transportation Systems Inc is a Less-than-Truckload (LTL) freight services provider in the United States. Its services involve the pickup, consolidation, linehaul, deconsolidation, and delivery of LTL shipments.
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