Briggs & Stratton ROIC
What is the ROIC of Briggs & Stratton?
The ROIC of Briggs & Stratton Corp. is -2.03%
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 Industrials sector on NYSE compared to Briggs & Stratton
What does Briggs & Stratton do?
Briggs & Stratton Corp. engages in the design, manufacture, and distribution of gasoline engines and outdoor powered equipment. It operates through Engines and Products segments. The Engines segment produces four-cycle aluminum alloy gasoline engines which are used in the production of walk-behind and riding lawn mowers, garden tillers, and snow throwers. The Products segment comprises lawn and garden power equipment, turf care products, portable and standby generators, pressure washers, snow throwers, and job site products. The company was founded in 1908 and is headquartered in Wauwatosa, WI.
Companies with roic similar to Briggs & Stratton
- Vivimed Labs has ROIC of -2.05%
- Newell Brands has ROIC of -2.05%
- Newell Brands Inc has ROIC of -2.05%
- The Byke Hospitality has ROIC of -2.04%
- Navistar International has ROIC of -2.04%
- Lazard has ROIC of -2.04%
- Briggs & Stratton has ROIC of -2.03%
- The Motor & General Finance has ROIC of -2.03%
- Inphi Corp has ROIC of -2.02%
- New Horizon has ROIC of -2.01%
- Carnegie Development has ROIC of -2.01%
- Quorum Health has ROIC of -2.01%
- Quorum Health has ROIC of -2.01%