ROIC

Return on invested capital

One of the 61 measures in Stock Scorer, under Quality — How much of the revenue is really kept — and what did it take to earn it?

How it is worked out

Operating income × (1 − 21% tax) ÷ (debt + equity − cash) × 100

What the company earns on the money invested in it. Invested capital is what lenders and shareholders have put in, less the cash sitting idle. Tax is applied at a flat 21% so that companies with different tax positions stay comparable.

How to read it

EBIT after tax over debt plus equity minus cash; 60% earns a 10

Which figures it needs

Computed from 5 figures taken from the filing:

• operating_income
• debt_long
• debt_short
• equity
• cash

The XBRL tags behind it

These are the element names looked for in a filing, in order. The first one a company reports is the one used, and the company page names which it was — so any figure here can be checked against the filing it came from.

• OperatingIncomeLoss
• ProfitLossFromOperatingActivities
• LongTermDebtAndCapitalLeaseObligations
• LongTermDebtNoncurrent
• LongTermDebt
• NotesPayableNoncurrent
• LongTermDebtAndCapitalLeaseObligationsCurrent
• LongTermDebtCurrent
• DebtCurrent
• ShortTermBorrowings
• NotesPayableCurrent
• StockholdersEquity
• StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
• EquityAttributableToOwnersOfParent
• Equity
• CashAndCashEquivalentsAtCarryingValue
• CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
• CashAndCashEquivalents

Whether it counts

This measure is counted in Quality by default. It can be taken out on the dashboard, and the dimension is then measured over whatever is left.