High Return on Capital Employed

Author

Jakob Jørgensen
October 31, 2023

Explanation

A high ROCE indicates that a company is effectively using its capital to generate profits, while a low P/FCF ratio can signal undervaluation.

Key Metrics

  • 📈 ROCE TTM: Return on Capital Employed over the trailing twelve months.

  • 💰 P/FCF TTM: Stock price relative to the free cash flow from the last year.

  • 🎯 Criteria: ROCE TTM > 20% and P/FCF TTM < 5

Screens

High Return on Capital Employed (world)

High Return on Capital Employed (US)

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