United-Guardian's Return on Capital Employed Trends Raise Concerns

United-Guardian's (NASDAQ:UG) return on capital employed (ROCE) has declined from 49% five years ago to 24% in the trailing twelve months to June 2025. Despite a high ROCE compared to the Personal Products industry average of 11%, the trend of lower returns on the same amount of capital is not indicative of a growth stock. The stock has fallen 26% over the last five years, and investors are recognizing these changes.