Skip to main content

Stocks with high ROCE

 ROCE Or return on capital employed is the profitability ratio that measures how efficiently a company using it's capital to generate profit. While there is no standard value for ROCE, higher value indicate the company is in good position in capital employment. Lower value indicate that the company has lot of cash in hand since cash is included in the total assets. 

The following are the large cap stocks that have more than 40%ROCE consistently for three years

1. Hindustan Unilever- 65%

2.Nestle- 50%

3.TCS- 46%

4.Britannia-41%

5.Marico- 44%

Investing in equities poses the risk if financial loss. Please do your due diligence about any stocks before investing. 

Comments

Popular posts from this blog

Consistent compounders in indian stock market

Consistent compounders means businesses that have consistently increased their revenue and profits over a long period of time. They arrive with clean accounts , sensible money allocation, generate free cash flows from the business and reinvest the cash flows to generate good profitability leading to long term wealth creation for the promoters as well as the investors.  The following are the stocks that have consistently compounded irrespective of the boom or doom prevailing in the economy of the country 1.Asian paint 2.Abbot  3.Nestle 4.Tata consultancy services 5.Divi's laboratory 6. HDFC bank 7.Kotak mahindra bank 8.Page industry 9.Titan 10.Pidilite There are much more companies with consistent revenue, earnings and profitability based on based on the moat and good governance of the management.