Earthstone Energy (FRA:BSC2) ROC (Joel Greenblatt) % : 13.03% (As of Sep. 2023)

Earthstone Energy ROC (Joel Greenblatt) % Chart

Earthstone Energy Annual Data
	Trend	Mar13	Mar14	Dec15	Dec16	Dec17	Dec18	Dec19	Dec20	Dec21	Dec22
ROC (Joel Greenblatt) %		Get a 7-Day Free Trial					12.27	1.02	-2.30	6.28	33.43

Earthstone Energy Quarterly Data
	Dec18	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23
ROC (Joel Greenblatt) %	Get a 7-Day Free Trial															47.63	26.72	13.67	12.86	13.03

Competitive Comparison of Earthstone Energy's ROC (Joel Greenblatt) %

For the Oil & Gas E&P subindustry, Earthstone Energy'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.

Earthstone Energy's ROC (Joel Greenblatt) % Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Earthstone Energy's ROC (Joel Greenblatt) % distribution charts can be found below:

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

Earthstone Energy 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:

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.

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Earthstone Energy for the quarter that ended in Sep. 2023 can be restated as:

Note: The EBIT data used here is four times the quarterly (Sep. 2023) 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.

Earthstone Energy  (FRA:BSC2) 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.

Earthstone Energy ROC (Joel Greenblatt) % Related Terms

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Earthstone Energy (FRA:BSC2) Business Description