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Diamond Foods (Diamond Foods) ROC (Joel Greenblatt) % : 23.10% (As of Oct. 2015)


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What is Diamond Foods ROC (Joel Greenblatt) %?

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits). He defines ROC (Joel Greenblatt) % as EBIT divided by the total of Property, Plant and Equipment and net working capital. Diamond Foods's annualized ROC (Joel Greenblatt) % for the quarter that ended in Oct. 2015 was 23.10%.

The historical rank and industry rank for Diamond Foods's ROC (Joel Greenblatt) % or its related term are showing as below:

DMND's ROC (Joel Greenblatt) % is not ranked *
in the Consumer Packaged Goods industry.
Industry Median: 11.07
* Ranked among companies with meaningful ROC (Joel Greenblatt) % only.

Diamond Foods's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.


Diamond Foods ROC (Joel Greenblatt) % Historical Data

The historical data trend for Diamond Foods's ROC (Joel Greenblatt) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Diamond Foods ROC (Joel Greenblatt) % Chart

Diamond Foods Annual Data
Trend Jul06 Jul07 Jul08 Jul09 Jul10 Jul11 Jul12 Jul13 Jul14 Jul15
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 22.32 -21.67 -68.97 -14.32 28.54

Diamond Foods Quarterly Data
Jan11 Apr11 Jul11 Oct11 Jan12 Apr12 Jul12 Oct12 Jan13 Apr13 Jul13 Oct13 Jan14 Apr14 Jul14 Oct14 Jan15 Apr15 Jul15 Oct15
ROC (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 27.92 33.99 26.49 34.36 23.10

Competitive Comparison of Diamond Foods's ROC (Joel Greenblatt) %

For the Packaged Foods subindustry, Diamond Foods's ROC (Joel Greenblatt) %, along with its competitors' market caps and ROC (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Diamond Foods's ROC (Joel Greenblatt) % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Diamond Foods's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Diamond Foods's ROC (Joel Greenblatt) % falls into.



Diamond Foods ROC (Joel Greenblatt) % Calculation

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits) . He defines Return on Capital as follows:

ROC (Joel Greenblatt) %=EBIT/Average of (Net fixed Assets + Net Working Capital)

EBIT stands for Earnings Before Interest and Taxes.

Fixed Assets are also known as non-current assets. They include the Property, Plant and Equipment that the firm needs in its operation.

GuruFocus calculates net working capital as: (Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Deferred Revenue + Other Current Liabilities). We're trying to account for OPERATING assets and liabilities (part of daily business) when calculating working capital. Cash and marketable securities are considered NON-OPERATING assets and are not included in calculation. We will also back out all interest bearing debt, short term debt and the portion of long term debt that is due in the current period from the current liabilities. This debt will be considered when computing cost of capital and it would be inappropriate to count it twice.

Working Capital(Q: Jul. 2015 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(95.005 + 158.805 + 16.661) - (124.705 + 0 + 0)
=145.766

Working Capital(Q: Oct. 2015 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(111.267 + 214.472 + 20.601) - (185.258 + 0 + 0)
=161.082

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Diamond Foods for the quarter that ended in Oct. 2015 can be restated as:

ROC (Joel Greenblatt) %(Q: Oct. 2015 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jul. 2015  Q: Oct. 2015
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=67.62/( ( (137.065 + max(145.766, 0)) + (141.599 + max(161.082, 0)) )/ 2 )
=67.62/( ( 282.831 + 302.681 )/ 2 )
=67.62/292.756
=23.10 %

Note: The EBIT data used here is four times the quarterly (Oct. 2015) EBIT data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Diamond Foods  (NAS:DMND) ROC (Joel Greenblatt) % Explanation

The way Joel Greenblatt defines Return on Capital is a more accurate measure of how efficiently the company generates returns onthe capital actually invested in the business. EBIT is used instead of net income because the tax and interest payment may be affected by factors other than the core business operation. Intangible assets are not included in the calculation because they don't need to be replaced.

Joel Greenblatt uses his definition of Return on Capital and Earnings Yield (Joel Greenblatt) % to rank companies.


Diamond Foods ROC (Joel Greenblatt) % Related Terms

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Diamond Foods (Diamond Foods) Business Description

Traded in Other Exchanges
N/A
Address
Diamond Foods Inc was incorporated in Delaware in 2005 as the successor to Diamond Walnut Growers, Inc., a member-owned California agricultural cooperative association. In July 2005, Diamond Walnut Growers, Inc. merged with and into Diamond Foods, Inc., converted from a cooperative association to a Delaware corporation and completed an initial public offering of Diamond Foods' common stock. The Company is a packaged food company focused on building and energizing brands. It is engaged in processing, marketing and distributing snack products and culinary, in-shell and ingredient nuts. The Company's segments include Snacks and Nuts. The Company sells snack products under Kettle Brand(r) and Pop Secret(r) brands. Microwave popcorn products are offered in traditional flavors. In March 2010, the Company complemented its snack portfolio with the acquisition of Kettle Foods, a premium potato chip company. Kettle Foods products are offered in a variety of flavors and sizes. Its snack products are typically available in grocery store snack, natural and produce aisles, mass merchandisers, club stores, convenience stores, drug stores, natural food stores and other places where snacks are sold. Under the nuts segment the Company sells nut products under the Emerald brand, and Diamond of California(r) brand in grocery store baking aisles and produce aisles and through mass merchandisers and club stores. Culinary nuts are marketed to individuals who prepare meals or baked goods at home and who value fresh, high-quality products. The Company also sell in-shell nuts under the Diamond of California(r) brand during the winter holiday season. Its non-retail nut business includes international markets and North American ingredient customers. It market ingredient nuts internationally under the Diamond of California(r) brand to food processors, restaurants, bakeries and food service companies and their suppliers. Diamond's institutional and industrial customers use its standard or customer-specified products to add flavor and texture in their product offerings. It also sells in-shell nuts to international markets. Emerald products include roasted, glazed and flavored nuts, trail mixes, granola, dried fruit and similar offerings that are sold where snack nuts and convenient breakfast items are sold. The Company obtains its raw materials from domestic and international sources. The Company's products competes with other food industries. It is subject to governmental laws and regulations.
Executives
Edward A Blechschmidt director ONE HEALTHSOUTH PARKWAY, BIRMINGHAM AL 35243
Linda B Segre officer: EVP, Chief Strat. & People Ofc 2180 RUTHERFORD ROAD, CARLSBAD CA 92008
David Colo officer: EVP, Chief Operating Officer C/O DIAMOND FOODS, INC., 600 MONTGOMERY STREET, 13TH FLOOR, SAN FRANCISCO CA 94111
Richard Dean Hollis director 3603 HAVEN AVENUE, SUITE E, MENLO PARK CA 94025
Robert Zollars director 3061 ZANKER RD, SAN JOSEC CA 95134
Nigel A Rees director ONE POST STREET, SAN FRANCISCO CA 94104
Raymond Silcock officer: EVP & Chief Financial Officer 399 JEFFERSON ROAD, PARSIPPANY NJ 07054
Alison Davis director 255 FISERV DRIVE, BROOKFIELD WI 53045
Brian J Driscoll director, officer: President & CEO THREE LAKES DR, NORTHFIELD IL 60093
Celeste A. Clark director C/O ADVANCEPIERRE FOODS HOLDINGS, INC., 9987 CARVER ROAD, BLUE ASH OH 45242
Stephen Kim officer: EVP, GC & Chief Legal Officer CO DIAMOND FOODS INC., 600 MONTGOMERY STREET 33RD FLOOR, SAN FRANCISCO CA 94111
Oaktree Holdings, Inc. 10 percent owner 333 SOUTH GRAND AVENUE, 28TH FLOOR, LOS ANGELES CA 90071
Oaktree Capital Management Lp 10 percent owner 333 S GRAND AVE 28TH FL, LOS ANGELES CA 90071
Oaktree Holdings, Llc 10 percent owner 333 SOUTH GRAND AVENUE, 28TH FLOOR, LOS ANGELES CA 90071
Ocm Holdings I, Llc 10 percent owner 333 SOUTH GRAND AVENUE, 28TH FLOOR, LOS ANGELES CA 90071

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