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Fairway Group Holdings (Fairway Group Holdings) ROC (Joel Greenblatt) % : -14.97% (As of Dec. 2015)


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What is Fairway Group Holdings 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. Fairway Group Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2015 was -14.97%.

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

FWMHQ's ROC (Joel Greenblatt) % is not ranked *
in the Retail - Defensive industry.
Industry Median: 14.23
* Ranked among companies with meaningful ROC (Joel Greenblatt) % only.

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


Fairway Group Holdings ROC (Joel Greenblatt) % Historical Data

The historical data trend for Fairway Group Holdings'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.

Fairway Group Holdings ROC (Joel Greenblatt) % Chart

Fairway Group Holdings Annual Data
Trend Mar10 Mar11 Mar12 Mar13 Mar14 Mar15
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial - -3.54 -14.50 -26.35 -19.13

Fairway Group Holdings Quarterly Data
Mar10 Mar11 Jun11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15
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 -18.55 -7.70 -21.96 -21.52 -14.97

Competitive Comparison of Fairway Group Holdings's ROC (Joel Greenblatt) %

For the Grocery Stores subindustry, Fairway Group Holdings'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.


Fairway Group Holdings's ROC (Joel Greenblatt) % Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Fairway Group Holdings's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Fairway Group Holdings's ROC (Joel Greenblatt) % falls into.



Fairway Group Holdings 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: Sep. 2015 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(3.006 + 28.519 + 6.544) - (54.798 + 0 + 0)
=-16.729

Working Capital(Q: Dec. 2015 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(4.871 + 31.444 + 5.879) - (66.117 + 0 + 0)
=-23.923

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Fairway Group Holdings for the quarter that ended in Dec. 2015 can be restated as:

ROC (Joel Greenblatt) %(Q: Dec. 2015 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2015  Q: Dec. 2015
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-20.572/( ( (140.447 + max(-16.729, 0)) + (134.387 + max(-23.923, 0)) )/ 2 )
=-20.572/( ( 140.447 + 134.387 )/ 2 )
=-20.572/137.417
=-14.97 %

Note: The EBIT data used here is four times the quarterly (Dec. 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.


Fairway Group Holdings  (OTCPK:FWMHQ) 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.


Fairway Group Holdings ROC (Joel Greenblatt) % Related Terms

Thank you for viewing the detailed overview of Fairway Group Holdings's ROC (Joel Greenblatt) % provided by GuruFocus.com. Please click on the following links to see related term pages.


Fairway Group Holdings (Fairway Group Holdings) Business Description

Traded in Other Exchanges
N/A
Address
Fairway Group Holdings Corp along with its subsidiaries operates in the retail food industry. The company sells fresh, natural and organic products, prepared foods and hard to find specialty and gourmet offerings, along with a full assortment of conventional groceries. Its perishable product categories, which include producing, natural and organic, deli, specialty, cheese, butcher, seafood, bakery, coffee and kosher foods. The non-perishable product categories consist of conventional groceries as well as specialty foods.
Executives
Edward C Arditte officer: Co-President and CFO 9 ROSZEL ROAD, PRINCETON NJ 08540
Linda Siluk officer: VP Finance and CAO C/O FAIRWAY GROUP HOLDINGS CORP., 2284 12TH AVENUE, NEW YORK NY 10027
Stephen Key director 66 EAST WADSWORTH PARK DRIVE, DRAPER UT 84020
William E Sanford officer: Interim CEO C/O FAIRWAY GROUP HOLDINGS CORP. 2284 12TH AVENUE NEW YORK NY 10027
Robert Magnus director 2366 BERNVILLE ROAD, READING PA 19605

Fairway Group Holdings (Fairway Group Holdings) Headlines

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