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Returns

ROIC

After-tax operating income relative to the capital invested in the business.

Formula

Operating income (TTM) × (1 − 21% notional tax) ÷ (equity + long-term debt)

Served as: ttm · derived. Annual and quarterly observations are never mixed unlabeled.

Where the inputs come from

  • OperatingIncomeLoss (TTM)
  • StockholdersEquity + LongTermDebtNoncurrent (latest reported)

Listed highest priority first. Every served figure carries its filing, fiscal period and accession; open any value on the financials page to see them.

How to compare it honestly

Compare against the company's own history and same-industry peers computed the same way.

When it is not served

Not meaningful when invested capital is zero or negative; shown as missing.

Missing data is missing evidence: it is never shown as zero and never treated as a conclusion.

What it cannot tell you

Uses a notional tax rate, not the filed effective rate, and a book measure of invested capital.

Questions worth asking next

  • Is invested capital growing faster than after-tax operating income?
  • How does the notional-tax assumption compare with the filed effective tax rate?

Research prompts, not recommendations.

See it computed from filings

Related in returns: ROE · ROA · ROCE · ROE (DuPont) · Asset turnover · Equity multiplier · Tax burden · Interest burden

Definitions are descriptive and educational. Nothing here is a guaranteed signal or personalized investment advice. How the platform computes and cites every figure.

Educational content only. Not financial advice. TrendNalysis provides educational and informational financial analysis built from public SEC filings and economic data (FRED, BLS). It is not financial, investment, tax, or legal advice and is not a recommendation to buy or sell any security. Market pricing is not currently included. Past performance does not guarantee future results. Always do your own research and consult a licensed financial professional before investing.