NCK News: Nick Scali (ASX:NCK) Might Be Having Difficulty Using Its Capital Effectively - 25th May 2023, 11:42am

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Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key financial metrics. Firstly, we'll want to see a proven return on capital employed (ROCE) that is increasing, and secondly, an expanding base of capital employed. This shows us that it's a compounding machine, able to continually reinvest its earnings back into the business and generate higher returns. Having said that, while the ROCE is currently high for Nick Scali (ASX:NCK), ...

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