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EV8R5
How do we calculate the ROIC?
posted Mar 02 '14 by ev8r5
How do we calculate the ROIC?
What is the formula?

ALEX
Re: How do we calculate the ROIC?
posted Mar 03 '14 by alex
Re: How do we calculate the ROIC?

A description of most of the ratios you may find on Stock Analyzer page:
http://stock2own.com/StockMarket/Theory/FundamentalAnalysis/Ratios

ROIC formula itself is not very complex:
ROIC = (Net Income - Dividends) / Total Capital

BUT, there are exceptions for certain circumstances. For instance, in some cases net operating profit can be used instead of net income. Therefore in Stock Analyzer page you may see ROIC numbers for latest year and 5 years ago, as it is computed and reported by analysts on a financial web sites like msn and yahoo.

EV8R5
Thank you!
posted Mar 03 '14 by ev8r5
Thank you!

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