Richardson Electronics: A Potential Multi-Bagger Stock with Rising ROCE and Capital Employed

Richardson Electronics has a low return on capital employed (ROCE) of 1.2%, which underperforms the Electronic industry average of 9.2%. However, the company has improved from being loss-making five years ago to generating pre-tax profits, and is utilizing more capital. This suggests potential opportunities for reinvestment and higher rates of return, making Richardson Electronics a promising stock to consider.