ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Lexibook Linguistic Electronic System's annualized return on invested capital (ROIC %) for the quarter that ended in Sep. 2025 was 14.82%.
As of today (2026-07-04), Lexibook Linguistic Electronic System's WACC % is 12.48%. Lexibook Linguistic Electronic System's ROIC % is 23.55% (calculated using TTM income statement data).
Lexibook Linguistic Electronic System 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.
Lexibook Linguistic Electronic System (XPAR:ALLEX) 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, Lexibook Linguistic Electronic System's WACC % is 12.48%. Lexibook Linguistic Electronic System's ROIC % is 23.55% (calculated using TTM income statement data).
Lexibook Linguistic Electronic System 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.
Lexibook Linguistic Electronic System ROIC % Related Terms
Lexibook Linguistic Electronic System ROIC % Historical Data
* 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.
Lexibook Linguistic Electronic System ROIC % Chart
For the Leisure subindustry, Lexibook Linguistic Electronic System'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.
Lexibook Linguistic Electronic System ROIC % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Lexibook Linguistic Electronic System's ROIC % distribution charts can be found below:
* The bar in red indicates where Lexibook Linguistic Electronic System's ROIC % falls into.
Note:
The Operating Income data used here is two times the semi-annual (Sep. 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.
Lexibook Linguistic Electronic System (XPAR:ALLEX) has a ROIC % of 14.82% as of Sep. 2025. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Lexibook Linguistic Electronic System and its competitors.
Is Lexibook Linguistic Electronic System's ROIC % too high?
Lexibook Linguistic Electronic System's current ROIC % is 14.82%. The Travel & Leisure industry median ROIC % is 3.76. Lexibook Linguistic Electronic System's value of 14.82% is 294.1% above this industry median. Overall, Lexibook Linguistic Electronic System has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lexibook Linguistic Electronic System's ROIC % compare to AS and HAS?
Lexibook Linguistic Electronic System's ROIC % of 14.82% can be compared against companies in the Travel & Leisure industry. The industry median ROIC % is 3.76. Lexibook Linguistic Electronic System's value of 14.82% is 294.1% 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 Travel & Leisure company?
The median ROIC % among Travel & Leisure companies is 3.76, based on 832 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. Lexibook Linguistic Electronic System's current ROIC % of 14.82% is 294.1% 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 Lexibook Linguistic Electronic System and its competitors. For the Travel & Leisure industry, the median ROIC % is 3.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lexibook Linguistic Electronic System's current ROIC % is 14.82%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lexibook Linguistic Electronic System stock overvalued right now?
Based on GuruFocus' analysis, Lexibook Linguistic Electronic System (XPAR:ALLEX) is currently considered Significantly Overvalued. The stock's GF Value™ is €4.06, compared to a current price of €7.96 — trading 96.1% above its estimated fair value. The current ROIC % is 14.82% and 294.1% above the Travel & Leisure industry median of 3.76. Lexibook Linguistic Electronic System's overall GF Score™ is 71/100 with 5 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 Lexibook Linguistic Electronic System (XPAR:ALLEX), the current ROIC % is 14.82% as of Sep. 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 Lexibook Linguistic Electronic System (XPAR:ALLEX) Overvalued in 2026?
Based on GuruFocus' analysis, Lexibook Linguistic Electronic System stock appears to be overvalued.
The current stock price of €7.96 is trading 96.1% above its estimated GF Value™ of €4.06.
GuruFocus considers Lexibook Linguistic Electronic System to be Significantly Overvalued.
Key valuation signals for XPAR:ALLEX:
ROIC %: 14.82%
GF Value™: €4.06 vs. price of €7.96 (96.1% above fair value)
Industry Position: 294.1% above the Travel & Leisure median
No single metric tells the full story. See the XPAR:ALLEX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lexibook Linguistic Electronic System Business Description
Lexibook Linguistic Electronic System SA is a France-based company engaged in producing and selling leisure electronic products and toys. It sells its products under its name and through licenses. The company's products include educational tablets, toys, laptops, alarm clocks, calculators, educational games, interactive games, audio and visual products, translators, and other products. It sells the products in France and also exports internationally. The group sells Electronics, Toys, and Other products, of which the majority of the revenue is generated from the sale of electronic products.
71GF Score
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