Cerved Group SpA (MEX:CERVN) 3-Year ROIIC % : -130.57% (As of Dec. 2020)

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.

What is Cerved Group SpA 3-Year ROIIC %?

Cerved Group SpA MEX:CERVN 8 3-Year ROIIC % is -130.57 as of Dec. 2020. GuruFocus rates MEX:CERVN with a GF Score™ of 8/100. The stock has 8 warning signs investors should review.

3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year. Cerved Group SpA's 3-Year ROIIC % for the quarter that ended in Dec. 2020 was -130.57%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Cerved Group SpA's 3-Year ROIIC % or its related term are showing as below:

MEX:CERVN's 3-Year ROIIC % is not ranked
in the Capital Markets industry.
Industry Median: 2.645 vs MEX:CERVN: -130.57

Cerved Group SpA  (MEX:CERVN) 3-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


Cerved Group SpA 3-Year ROIIC % Related Terms


Cerved Group SpA 3-Year ROIIC % Historical Data

* Premium members only.

The historical data trend for Cerved Group SpA's 3-Year ROIIC % 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.

Cerved Group SpA 3-Year ROIIC % Chart

Cerved Group SpA Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
3-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.00 0.00 0.00 0.00

Cerved Group SpA Quarterly Data
Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21
3-Year ROIIC % 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 0.00 0.00 0.00 0.00 0.00

MEX:CERVN vs VALU: 3-Year ROIIC % Comparison

For the Financial Data & Stock Exchanges subindustry, Cerved Group SpA's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % 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.


Cerved Group SpA 3-Year ROIIC % vs Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Cerved Group SpA's 3-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Cerved Group SpA's 3-Year ROIIC % falls into.



Cerved Group SpA 3-Year ROIIC % Calculation

Cerved Group SpA's 3-Year ROIIC % for the quarter that ended in Dec. 2020 is calculated as:

3-Year ROIIC %=3-Year Incremental Net Operating Profit After Taxes (NOPAT)**/3-Year Incremental Invested Capital**
=( 1538.6906788 (Dec. 2020) - 1853.7587025 (Dec. 2017) )/( 30712.328 (Dec. 2020) - 29209.213 (Dec. 2017) )
=-315.0680237/1503.115
=-20.96%***

* 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.

** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.

Frequently Asked Questions Learn more about 3-Year ROIIC % →
What does a 3-Year ROIIC % of -130.57 mean?
Cerved Group SpA (MEX:CERVN) has a 3-Year ROIIC % of -130.57 as of Dec. 2020. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Cerved Group SpA and its competitors.
Is Cerved Group SpA's 3-Year ROIIC % too high?
Cerved Group SpA's current 3-Year ROIIC % is -130.57. Overall, Cerved Group SpA has a GF Score™ of 8/100, reflecting its overall financial health beyond just this single metric.
How does Cerved Group SpA's 3-Year ROIIC % compare to VALU?
Cerved Group SpA's 3-Year ROIIC % of -130.57 can be compared against companies in the Capital Markets industry. The industry median 3-Year ROIIC % is 2.65. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year ROIIC % for a Capital Markets company?
The median 3-Year ROIIC % among Capital Markets companies is 2.65, based on 658 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year ROIIC % 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 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Cerved Group SpA and its competitors. For the Capital Markets industry, the median 3-Year ROIIC % is 2.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cerved Group SpA's current 3-Year ROIIC % is -130.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cerved Group SpA stock overvalued right now?
Cerved Group SpA (MEX:CERVN) has a current 3-Year ROIIC % of -130.57. The current 3-Year ROIIC % is -130.57. Cerved Group SpA's overall GF Score™ is 8/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For Cerved Group SpA (MEX:CERVN), the current 3-Year ROIIC % is -130.57 as of Dec. 2020. 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.

Cerved Group SpA Business Description

Address Via Dell’Unione Europea, 6A, 6B, San Donato Milanese, Milan, ITA, 20097
Cerved Group SpA is a holding company that owns the Cerved Group, an Italian credit information service provider. It operates through three segments. The Risk Management segment, which accounts for the majority of the Cerved Group's revenue, offers products and services that help businesses and financial institutions to assess the credit status of their customers, business counterparties, and potential customers. The Growth Services segment offers information and analyses that help customers to understand the target market and regions, develop businesses, and improve customer satisfaction. The credit management segment assesses and manages troubled receivables and assets. It generates the majority of its revenue from the Italian domestic market.