Return on Capital (%)

Metadata

  • Id: return_on_cap
  • Type: fundamentals
  • Subtype: ratios
  • Units: percentage
  • Decimal Points: 2
  • Currency Convertible: No
  • Tags: “return on capital”, “ROC”, “return on total capital”, “capital profitability”, “capital efficiency”

Description

A percentage that shows how much profit an investment makes for the people who provide the capital. It reflects how well a company uses its capital to generate earnings. The formula for Return on Capital is:
Return on Capital = ((TTM Net Income + TTM Minority Interest + TTM Interest Expense * (1 - (TTM Effective Tax Rate / 100))) / Average of Total Capital) * 100
Where: - TTM Net Income (TM002, ttm_net_inc) is the operating income minus taxes for the trailing twelve months. - TTM Minority Interest is TM003, ttm_minority_int - TTM Interest Expense is TM004, ttm_int_exp - TTM Effective Tax Rate is TM005, ttm_eff_tax_rt - Total Capital is BS075, bs_tot_cap