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Ford Motor Co ROC (Joel Greenblatt) %

: 11.82% (As of Jun. 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. Ford Motor Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2022 was 11.82%.

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

F' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 9.63   Med: 19.23   Max: 34.61
Current: 20.14

During the past 13 years, Ford Motor Co's highest ROC (Joel Greenblatt) % was 34.61%. The lowest was 9.63%. And the median was 19.23%.

F's ROC (Joel Greenblatt) % is ranked better than
73.14% of 1236 companies
in the Vehicles & Parts industry
Industry Median: 10.01 vs F: 20.14

Ford Motor Co's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was -0.90% per year.


Ford Motor Co ROC (Joel Greenblatt) % Historical Data

The historical data trend for Ford Motor 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.

Ford Motor Co Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
ROC (Joel Greenblatt) %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 19.53 14.86 9.63 9.75 29.48

Ford Motor Co Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
ROC (Joel Greenblatt) % 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 Premium Member Only Premium Member Only Premium Member Only 9.97 17.24 62.92 -10.42 11.82

Competitive Comparison

For the Auto Manufacturers subindustry, Ford Motor 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.

   

Ford Motor Co ROC (Joel Greenblatt) % Distribution

For the Vehicles & Parts industry and Consumer Cyclical sector, Ford Motor Co's ROC (Joel Greenblatt) % distribution charts can be found below:

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



Ford Motor 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. 2022 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(45806 + 14647 + 4461) - (24037 + 2328 + 15350)
=23199

Working Capital(Q: Jun. 2022 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(45753 + 13976 + 4040) - (24151 + 2375 + 15755)
=21488

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Ford Motor Co for the quarter that ended in Jun. 2022 can be restated as:

ROC (Joel Greenblatt) %(Q: Jun. 2022 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Mar. 2022  Q: Jun. 2022
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=9900/( ( (62171 + max(23199, 0)) + (60695 + max(21488, 0)) )/ 2 )
=9900/( ( 85370 + 82183 )/ 2 )
=9900/83776.5
=11.82 %

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


Ford Motor Co  (NYSE:F) 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.


Ford Motor Co ROC (Joel Greenblatt) % Related Terms

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


Ford Motor Co Business Description

Ford Motor Co logo
Address
One American Road, Dearborn, MI, USA, 48126
Ford Motor Co. manufactures automobiles under its Ford and Lincoln brands. In March 2022 the company announced that it will run its combustion engine business, Ford Blue, and its BEV business, Ford Model e, as separate businesses but still all under Ford Motor Company. The company has about 12.5% market share in the United States, about 6.5% share in Europe, and about 2.4% share in China including unconsolidated affiliates. We expect market share increases as inventory improves coming out of the chip shortage. Sales in the U.S. made up about 64% of 2021 total company revenue. Ford has about 183,000 employees, including about 56,000 UAW employees, and is based in Dearborn, Michigan.
Executives
Waldo Jennifer officer: Chief People & E. Exp. Officer ONE AMERICAN ROAD DEARBORN MI 48126
Gjaja Marin officer: Chief Cust. Off., Ford Model e ONE AMERICAN ROAD DEARBORN MI 48126
Cannis Theodore J. officer: CEO of Ford Pro ONE AMERICAN ROAD DEARBORN MI 48126
May John C Ii director DEERE & COMPANY ONE JOHN DEERE PLACE MOLINE IL 61265
Amend Michael officer: Chief Digital & Info. Officer ONE AMERICAN ROAD DEARBORN MI 48126
Field John Douglas officer: Chief AT&ES Officer ONE AMERICAN ROAD DEARBORN MI 48126
Croley Steven P. officer: Chief Policy Ofcr, Gen Counsel ONE AMERICAN ROAD DEARBORN MI 48126
English Alexandra Ford director ONE AMERICAN ROAD DEARBORN MI 48126
Ford Iii Henry director ONE AMERICAN ROAD DEARBORN MI 48126
Mellen John F officer: General Counsel ONE AMERICAN ROAD DEARBORN MI 48126
Mooney Beth E director 315 DEADERICK STREET NASHVILLE TN 37237
Stone Timothy R officer: Chief Financial Officer ONE AMERICAN ROAD DEARBORN MI 48126
Mcclelland David W. officer: Vice President ONE AMERICAN ROAD DEARBORN MI 48138
Chen Anning officer: Group Vice President ONE AMERICAN ROAD DEARBORN MI 48126
Johnson Gary Alan officer: Group Vice President ONE AMERICAN ROAD DEARBORN MI 48126

Ford Motor Co Headlines

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