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Stock impact report

Returns On Capital At SKK Holdings (NASDAQ:SKK) Paint A Concerning Picture [Yahoo! Finance]

SKK Holdings Limited - Ordinary Shares (SKK) 
Company Research Source: Yahoo! Finance
Amongst other things, we'll want to see two things; firstly, a growing return on capital employed (ROCE) and secondly, an expansion in the company's amount of capital employed. Put simply, these types of businesses are compounding machines, meaning they are continually reinvesting their earnings at ever-higher rates of return. However, after briefly looking over the numbers, we don't think SKK Holdings NASDAQ:SKK ) has the makings of a multi-bagger going forward, but let's have a look at why that may be. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. What Is Return On Capital Employed (ROCE)? Just to clarify if you're unsure, ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business. To calculate this metric for SKK Holdings, this is the formula: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - C Show less Read more
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