Teekay's ROCE Falls Short of Multi-Bagger Status

Teekay (NYSE:TK) has a ROCE of 8.8%, in line with the industry average of 8.7%. However, the company is using 68% less capital than before and returns on capital have remained flat over the past five years. Despite this, shareholders have seen a 357% return in the same period, but long-term investors should be cautious about the stock's potential as a multi-bagger.