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Capella Education Co (Capella Education Co) ROC (Joel Greenblatt) % : 180.51% (As of Jun. 2018)


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What is Capella Education Co 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. Capella Education Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2018 was 180.51%.

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

CPLA's ROC (Joel Greenblatt) % is not ranked *
in the Education industry.
Industry Median: 14.33
* Ranked among companies with meaningful ROC (Joel Greenblatt) % only.

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


Capella Education Co ROC (Joel Greenblatt) % Historical Data

The historical data trend for Capella Education Co'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.

Capella Education Co ROC (Joel Greenblatt) % Chart

Capella Education Co Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 140.50 175.03 196.59 199.36 185.67

Capella Education Co Quarterly Data
Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18
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 173.86 152.27 202.29 205.33 180.51

Competitive Comparison of Capella Education Co's ROC (Joel Greenblatt) %

For the Education & Training Services subindustry, Capella Education Co'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.


Capella Education Co's ROC (Joel Greenblatt) % Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Capella Education Co's ROC (Joel Greenblatt) % distribution charts can be found below:

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



Capella Education Co 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. 2018 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(23.798 + 0 + 9.491) - (24.885 + 15.789 + 10.389)
=-17.774

Working Capital(Q: Jun. 2018 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(24.229 + 0 + 10.027) - (18.561 + 15.635 + 10.836)
=-10.776

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Capella Education Co for the quarter that ended in Jun. 2018 can be restated as:

ROC (Joel Greenblatt) %(Q: Jun. 2018 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Mar. 2018  Q: Jun. 2018
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=63.808/( ( (35.915 + max(-17.774, 0)) + (34.781 + max(-10.776, 0)) )/ 2 )
=63.808/( ( 35.915 + 34.781 )/ 2 )
=63.808/35.348
=180.51 %

Note: The EBIT data used here is four times the quarterly (Jun. 2018) 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.


Capella Education Co  (NAS:CPLA) 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.


Capella Education Co ROC (Joel Greenblatt) % Related Terms

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Capella Education Co (Capella Education Co) Business Description

Traded in Other Exchanges
N/A
Address
Capella Education Co is an American for-profit education company that operates online universities and various educational programs. The company's flagship offering, Capella University, operates various bachelor's, master's, and doctoral degree programs with close to 35,000 students enrolled. Master's degree programs represent approximately 50% of the university's degree programs in areas such as technology, business, healthcare, and psychology. Capella University focuses on mid-career professionals with an average student age of 39 years. Enrollment and fees from Capella University are the largest source of revenue, followed by other educational programs. A large portion of the company's revenue is made possible by federal financial aid programs such as Pell Fund Grants.
Executives
Jody Miller director 225 SOUTH SIXTH STREET, 9TH FLOOR, MINNEAPOLIS MN 55402
Peter M Ramstad officer: SVP & Chief HR Officer 225 SOUTH 6TH ST, 9TH FLOOR, MINNEAPOLIS MN 55402
Andrew E Watt officer: Senior Vice President 225 SOUTH SIXTH STREET, 9TH FLOOR, MINNEAPOLIS MN 55402
Michael Linton director C/O LOANDEPOT, INC. ATTN GENERAL COUNSEL, 26642 TOWNE CENTRE DRIVE, FOOTHILL RANCH CA 92610
H James Dallas director 127 PUBLIC SQUARE, CLEVELAND OH 44114
J Kevin Gilligan director, officer: Chairman & CEO P O BOX 1441, MINNEAPOLIS MN 55440-1441
Rita D Brogley director 225 SOUTH 6TH STREET, 9TH FLOOR, MINNEAPOLIS MN 55402
Steve Polacek officer: SVP & CFO 4106 SUNNYSIDE ROAD, EDINA MN 55424
Matthew Wagner Ferguson director C/O ECHO GLOBAL LOGISTICS, INC. 600 W CHICAGO AVE, SUITE 725 CHICAGO IL 60654
Stephen G Shank director C/O CAPELLA EDUCATION CO, 222 S 9TH ST, MINNEAPOLIS MN 55402
Andrew M Slavitt director 225 SOUTH 6TH STREET, 9TH FLOOR, MINNEAPOLIS MN 55402
Mark N Greene director 901 MARQUETTE AVENUE, SUITE 3200, MINNEAPOLIS MN 55402
Sandra E Taylor director 265 TURNER DRIVE, DURANGO CO 81303
Amy L Ronneberg officer: Vice President & Controller 225 SOUTH 6TH STREET, 9TH FLOOR, MINNEAPOLIS MN 55402
Lois M Martin officer: Sr VP & CFO PO BOX 1101, ADC TELCOMMUNICATIONS INC, MINNEAPOLIS MN 55440-1104

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