GNC ROIC
What is the ROIC of GNC?
The ROIC of GNC Holdings, Inc. is -37.25%
What is the definition of ROIC?
Return on invested capital (ROIC) is a financial ratio that measures how efficient a company is at allocating the capital under its control to profitable investments.
= NOPAT / Invested capital = EBIT * (1 - tax rate) / (2-year average liabilities + 2-year average shareholder equity)
Return on invested capital (ROIC) ratio gives investors a sense of how well a company is using money under its control to generate profitable returns.
ROIC can be used as a benchmark to calculate the valuation of companies across industries. A higher ROIC means the company is doing a better job of investing the money from shareholders and bondholders to run the business. A company is creating value if its ROIC exceeds 2%. If its ROIC is under 2%, the company is likely destroying value and has no excess capital to invest in future growth.
You can calculate ROIC with the following formula:
NOPAT = Net operating profit after tax
Invested Capital = Average total liabilities + Average shareholders' equity
The averages of liabilities and shareholders' equity are calculated as geometrical averages of the last two annual values from the company's balance sheet.
ROIC of companies in the Consumer Staples sector on NYSE compared to GNC
What does GNC do?
GNC Holdings, Inc. engages in the global retail of health, wellness and performance products, including vitamins, minerals and herbal supplements products, sports nutrition products and diet products. It operates through the following segments: U.S. & Canada, International and Manufacturing or Wholesale. The U.S. and Canada segment generates revenues primarily from sales of products to customers. The International segment generates revenue primarily from its international franchisees through product sales, royalties and franchise fees and also includes its China operations and The Health Store. The Manufacturing or Wholesale segment comprises of its manufacturing operations in South Carolina and its wholesale partner relationships. The company was founded by David Shakarian in 1935 and is headquartered in Pittsburgh, PA.
Companies with roic similar to GNC
- Irobot Corp has ROIC of -37.35%
- Column Capital has ROIC of -37.34%
- Viela Bio has ROIC of -37.33%
- Celyad Oncology has ROIC of -37.32%
- Cerevel Therapeutics has ROIC of -37.31%
- Nurix Therapeutics has ROIC of -37.28%
- GNC has ROIC of -37.25%
- Anatara Lifesciences has ROIC of -37.18%
- Boer Power has ROIC of -37.18%
- Mirasol Resources has ROIC of -37.17%
- Phreesia Inc has ROIC of -37.16%
- The Biotech Growth Trust Plc has ROIC of -37.12%
- Pliant Therapeutics has ROIC of -37.11%