Arthur J. Gallagher & Co ROIC
What is the ROIC of Arthur J. Gallagher & Co?
The ROIC of Arthur J. Gallagher & Co. is 3.29%
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 Finance sector on NYSE compared to Arthur J. Gallagher & Co
What does Arthur J. Gallagher & Co do?
gallagher, a global insurance brokerage and risk management services firm, helps clients address risk, protect assets and recover from losses. the products and services we provide keep businesses and institutions running, and enable individuals and families to rebuild their lives. gallagher is the only insurance broker recognized by the ethisphere institute as a world's most ethical company. gallagher provides retail and wholesale property and casualty brokerage, alternative risk transfer services, employee benefit consulting, and actuarial services. gallagher also offers claims and information management, risk control consulting and appraisal services, human resource consulting, and retirement services. find us on social media: facebook: http://www.facebook.com/lifeatgallagher instagram: http://instagram.com/lifeatgallagher twitter: https://twitter.com/lifeatgallagher or http://twitter.com/ajgcorporate
Companies with roic similar to Arthur J. Gallagher & Co
- Ashoka India Equity Investment Trust plc has ROIC of 3.28%
- Bhagiradha Chemicals & Industries has ROIC of 3.28%
- Healthpeak Properties has ROIC of 3.28%
- Healthpeak Properties has ROIC of 3.28%
- Midland Ic&I Ltd has ROIC of 3.28%
- China Power International Development has ROIC of 3.28%
- Arthur J. Gallagher & Co has ROIC of 3.29%
- Irsa Inversiones Y Representaciones S.A has ROIC of 3.29%
- BP Plc has ROIC of 3.29%
- Telus has ROIC of 3.29%
- Bancorp has ROIC of 3.29%
- China Telecom has ROIC of 3.29%
- Sahyog Multibase has ROIC of 3.29%