Definition
Return on Capital Employed. A measure of the returns that a company is realizing from its capital. Calculated as profit before interest and tax divided by the difference between total assets and current liabilities. The resulting ratio represents the efficiency with which capital is being utilized to generate revenue.
This content can be found on the following page:
http://www.investorwords.com/cgi-bin/getword.cgi?id=5774&term=ROCE
email to a friend
print this definition
cite this definition
link to this page
Copy and paste this HTML in your website to link to this page
Related Research Articles from the InvestorGuide.com University
Technical Analysis Unlike fundamental analysis, technical analysis ignores the company underlying the stock and instead tries to predict price changes by studying the market itself. We examine technical analysis concepts like moving averages, support and resistance, advance/decline lines, relative strength, momentum, and volume.

Analysts and Earnings Estimates Learn about analyst reports, buy and sell recommendations, earnings estimates and projections, earnings whispers, and investment bank conflicts of interest.

Fundamental Analysis This investment strategy involves evaluating a stock by examining the company, especially its operations and its financial condition. Here we look at several valuation methods, factoring in price/earnings ratio, PEG, dividend yields, book value, price/sales ratio, and return on equity.

|