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Outerwall (Outerwall) ROC (Joel Greenblatt) % : 102.50% (As of Jun. 2016)


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What is Outerwall 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. Outerwall's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2016 was 102.50%.

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

OUTR's ROC (Joel Greenblatt) % is not ranked *
in the Retail - Cyclical industry.
Industry Median: 9.975
* Ranked among companies with meaningful ROC (Joel Greenblatt) % only.

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


Outerwall ROC (Joel Greenblatt) % Historical Data

The historical data trend for Outerwall'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.

Outerwall ROC (Joel Greenblatt) % Chart

Outerwall Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 47.26 51.36 55.21 50.68 46.03

Outerwall Quarterly Data
Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16
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 -18.20 80.42 45.92 93.40 102.50

Competitive Comparison of Outerwall's ROC (Joel Greenblatt) %

For the Specialty Retail subindustry, Outerwall'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.


Outerwall's ROC (Joel Greenblatt) % Distribution in the Retail - Cyclical Industry

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

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



Outerwall 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: Mar. 2016 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(31.683 + 19.602 + 181.099) - (392.512 + 13.592 + 5.6843418860808E-14)
=-173.72

Working Capital(Q: Jun. 2016 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(25.386 + 22.043 + 170.941) - (367.791 + 14.542 + 0)
=-163.963

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Outerwall for the quarter that ended in Jun. 2016 can be restated as:

ROC (Joel Greenblatt) %(Q: Jun. 2016 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Mar. 2016  Q: Jun. 2016
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=287.588/( ( (290.76 + max(-173.72, 0)) + (270.414 + max(-163.963, 0)) )/ 2 )
=287.588/( ( 290.76 + 270.414 )/ 2 )
=287.588/280.587
=102.50 %

Note: The EBIT data used here is four times the quarterly (Jun. 2016) 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.


Outerwall  (NAS:OUTR) 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.


Outerwall ROC (Joel Greenblatt) % Related Terms

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


Outerwall (Outerwall) Business Description

Traded in Other Exchanges
N/A
Address
Outerwall Inc was incorporated in Delaware on October 12, 1993. The Company is a provider of automated retail solutions offering convenient products and services that benefit consumers and drive incremental retail traffic and revenue for retailers. The Company's automated retail includes its redbox segment where consumers can rent or purchase movies from self-service kiosks and its Coin segment where consumers can convert their coin to cash or stored value products at coin-counting self-service kiosks. The redbox business faces competition from many other providers, including those using other distribution channels. The coinstar business faces competition from supermarkets, banks and other companies that purchase and operate coin-counting equipment from companies such as ScanCoin, Cummins-Allison Corporation and others. The ecoATM business faces competition from the companies whose primary business consists of the purchase of used electronics, online retailers and web sites such as Gazelle, as well as brick and mortar stores which buy back used electronics. The business of the Company is subject to federal, state, local and foreign laws and government regulation.
Executives
Erik Prusch director, officer: Chief Executive Officer C/O CLEARWIRE CORPORATION, 4400 CARILLON POINT, KIRKLAND WA 98033
Nora Denzel director C/O OVERLAND STORAGE, INC., 4820 OVERLAND AVENUE, SAN DIEGO CA 92123
Jeffrey J Brown director 19900 MACARTHUR BLVD, SUITE 570, IRVINE CA 92612
Robert D Sznewajs director
Nelson C Chan director C/O SYNAPTICS INCORPORATED, 1251 MCKAY DRIVE, SAN JOSE CA 95131
Glenn W. Welling other: See Footnote 1 610 NEWPORT CENTER DRIVE, SUITE 950, NEWPORT BEACH CA 92660
Engaged Capital Holdings, Llc other: See Footnote 1 610 NEWPORT CENTER DRIVE, SUITE 950, NEWPORT BEACH CA 92660
Engaged Capital Flagship Master Fund, Lp other: See Footnote 1 CRICKET SQUARE, HUTCHINS DRIVE, P.O. BOX 2681, GRAND CAYMAN E9 KY1-1111
Engaged Capital Flagship Fund, L.p. other: See Footnote 1 610 NEWPORT CENTER DRIVE, SUITE 250, NEWPORT BEACH CA 90272
Engaged Capital Llc other: See Footnote 1 610 NEWPORT CENTER DRIVE, SUITE 950, NEWPORT BEACH CA 92660
Engaged Capital Flagship Fund, Ltd. other: See Footnote 1 610 NEWPORT CENTER DRIVE, SUITE 250, NEWPORT BEACH CA 92660
Engaged Capital I Lp other: See Footnote 1 and 6 610 NEWPORT CENTER DRIVE, SUITE 250, NEWPORT BEACH CA 90272
Engaged Capital I Offshore Ltd other: See Footnote 1 and 6 610 NEWPORT CENTER DRIVE, SUITE 250, NEWPORT BEACH CA 92660
Engaged Capital Master Feeder I, Lp other: See Footnote 1 and 6 CRICKET SQUARE, HUTCHINS DRIVE, P.O. BOX 2681, GRAND CAYMAN E9 KY1-1111
Park West Asset Management Llc other: Former ten percent (10%) owner 1 LETTERMAN DRIVE, SUITE C5-900, SAN FRANCISCO CA 94129

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