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ZimVie ROC (Joel Greenblatt) %

: -30.69% (As of Mar. 2022)
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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. ZimVie's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2022 was -30.69%.

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

ZIMV' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -44.81   Med: -21.67   Max: -5.53
Current: -21.96

During the past 4 years, ZimVie's highest ROC (Joel Greenblatt) % was -5.53%. The lowest was -44.81%. And the median was -21.67%.

ZIMV's ROC (Joel Greenblatt) % is ranked worse than
56.03% of 837 companies
in the Medical Devices & Instruments industry
Industry Median: 0.01 vs ZIMV: -21.96

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


ZimVie ROC (Joel Greenblatt) % Historical Data

The historical data trend for ZimVie'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.

ZimVie Annual Data
Trend Dec18 Dec19 Dec20 Dec21
ROC (Joel Greenblatt) %
- -5.53 -44.81 -21.67

ZimVie Quarterly Data
Dec18 Dec19 Dec20 Mar21 Sep21 Dec21 Mar22
ROC (Joel Greenblatt) % Premium Member Only Premium Member Only 4.30 -0.03 - -55.84 -30.69

Competitive Comparison

For the Medical Devices subindustry, ZimVie'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.

   

ZimVie ROC (Joel Greenblatt) % Distribution

For the Medical Devices & Instruments industry and Healthcare sector, ZimVie's ROC (Joel Greenblatt) % distribution charts can be found below:

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



ZimVie 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: Dec. 2021 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(164.2 + 246.8 + 25.4) - (99.8 + 0 + 72.2)
=264.4

Working Capital(Q: Mar. 2022 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(156.151 + 239.281 + 25.446) - (138.499 + 0 + 53.902)
=228.477

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of ZimVie for the quarter that ended in Mar. 2022 can be restated as:

ROC (Joel Greenblatt) %(Q: Mar. 2022 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2021  Q: Mar. 2022
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-129.472/( ( (180.2 + max(264.4, 0)) + (170.537 + max(228.477, 0)) )/ 2 )
=-129.472/( ( 444.6 + 399.014 )/ 2 )
=-129.472/421.807
=-30.69 %

Note: The EBIT data used here is four times the quarterly (Mar. 2022) 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.


ZimVie  (NAS:ZIMV) 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.


ZimVie ROC (Joel Greenblatt) % Related Terms

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


ZimVie Business Description

ZimVie logo
Traded in Other Exchanges
Address
345 East Main Street, Warsaw, IN, USA, 46580
ZimVie Inc is focused on the dental and spine markets and their respective growth drivers such as implants, surgical tools, bone graft substitutes, spinal fusion implants, non-fusion alternatives, and digital care management solutions.
Executives
Crawford Sally director C/O HOLOGIC, INC. BEDFORD MA 01730
Kuntz Richard director MEDTRONIC, INC. 710 MEDTRONIC PWKY MS LC 310 MINNEAPOLIS MN 55432
Asar Vinit K director 10910 DOMAIN DRIVE, SUITE 300 AUSTIN TX 78758
Matusinec Karen director C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
King David P director PRIVIA HEALTH GROUP, INC. 950 N. GLEBE RD., SUITE 700 ARLINGTON VA 22203
Zimmer Biomet Holdings, Inc. 10 percent owner 345 EAST MAIN STREET WARSAW IN 46580
Whitney Rebecca Ann officer: See Remarks 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Harmon David John officer: See Remarks 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Jamali Vafa director, officer: See Remarks C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Kanaglekar Indraneel officer: See Remarks C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Kidwell Heather officer: See Remarks C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Schneider Sandra officer: Chief Accounting Officer C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
Heppenstall Richard officer: See Remarks C/O ZIMVIE INC. 10225 WESTMOOR DRIVE WESTMINSTER CO 80021
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