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business1d ago
Ryman Healthcare (NZSE:RYM) Could Be Struggling To Allocate Capital
- Ryman Healthcare reported a ROCE of 0.1% for the twelve months to September 2025, well below its healthcare peers.
- The trend shows ROCE has declined from 0.5% five years ago amid reduced capital deployment.
- Current liabilities have risen to about 50% of total assets, affecting ROCE and increasing funding risk.
- The stock has fallen roughly 76% over the last five years, signaling investor concern.
- The analysis emphasizes that much of the business is funded by suppliers or short-term creditors.
- Simply Wall St frames the article as general, historical data and analyst forecasts, not financial advice.
- Ryman’s capital raise occurred prior to the latest reporting period, affecting capital deployment metrics.
- The article invites readers to compare Ryman with other companies earning higher returns on equity.
- Ryman Healthcare is identified as struggling to allocate capital efficiently.
- The piece notes the stock’s past performance is a sign investors are watching for a turnaround.
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