ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Verde AgriTech's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was -13.37%.
As of today (2026-07-01), Verde AgriTech's WACC % is 14.04%. Verde AgriTech's ROIC % is -8.96% (calculated using TTM income statement data).
Verde AgriTech earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Verde AgriTech (STU:T48) 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, Verde AgriTech's WACC % is 14.04%. Verde AgriTech's ROIC % is -8.96% (calculated using TTM income statement data).
Verde AgriTech 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.
Verde AgriTech ROIC % Related Terms
Verde AgriTech ROIC % Historical Data
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The historical data trend for Verde AgriTech'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 Agricultural Inputs subindustry, Verde AgriTech'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.
Verde AgriTech ROIC % vs Agriculture Industry
For the Agriculture industry and Basic Materials sector, Verde AgriTech's ROIC % distribution charts can be found below:
* The bar in red indicates where Verde AgriTech'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.
Verde AgriTech (STU:T48) has a ROIC % of -13.37% 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 Verde AgriTech and its competitors.
Is Verde AgriTech's ROIC % too high?
Verde AgriTech's current ROIC % is -13.37%. Overall, Verde AgriTech has a GF Score™ of 32/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Verde AgriTech's ROIC % compare to CTVA and CF?
Verde AgriTech's ROIC % of -13.37% can be compared against companies in the Agriculture industry. The industry median ROIC % is 5.48. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROIC % for an Agriculture company?
The median ROIC % among Agriculture companies is 5.48, based on 257 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 Verde AgriTech and its competitors. For the Agriculture industry, the median ROIC % is 5.48 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Verde AgriTech's current ROIC % is -13.37%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Verde AgriTech stock overvalued right now?
Based on GuruFocus' analysis, Verde AgriTech (STU:T48) is currently considered Significantly Overvalued. The stock's GF Value™ is €0.25, compared to a current price of €0.39 — trading 57.6% above its estimated fair value. The current ROIC % is -13.37%. Verde AgriTech's overall GF Score™ is 32/100 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 Verde AgriTech (STU:T48), the current ROIC % is -13.37% 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 Verde AgriTech (STU:T48) Overvalued in 2026?
Based on GuruFocus' analysis, Verde AgriTech stock appears to be overvalued.
The current stock price of €0.39 is trading 57.6% above its estimated GF Value™ of €0.25.
GuruFocus considers Verde AgriTech to be Significantly Overvalued.
Key valuation signals for STU:T48:
ROIC %: -13.37%
GF Value™: €0.25 vs. price of €0.39 (57.6% above fair value)
No single metric tells the full story. See the STU:T48 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Verde AgriTech Ltd promotes sustainable and profitable agriculture through the development of its Cerrado Verde Project, from which the company produces solutions for crop nutrition, crop protection, soil improvement, and increased sustainability. The multi-nutrient potassium fertilizer marketed in Brazil under the brand K Forte, BAKS, and internationally as Super Greensand is one of Verde's sustainable products from which the nature-driven technology company helps to improve the soil microbiome. The group has one segment which is the mining of mineral deposits and sale of multi-nutrient potassium specialty fertilizer marketed in Brazil with support provided from the Singapore and the UK. The company generates all its revenue from Brazil.
32GF Score
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