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Domino's Pizza Enterprises (Domino's Pizza Enterprises) ROC (Joel Greenblatt) % : 26.46% (As of Dec. 2023)


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Domino's Pizza Enterprises ROC (Joel Greenblatt) % Definition

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. Domino's Pizza Enterprises's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 26.46%.

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

DMZPY' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 15.15   Med: 78.38   Max: 96.53
Current: 15.74

During the past 13 years, Domino's Pizza Enterprises's highest ROC (Joel Greenblatt) % was 96.53%. The lowest was 15.15%. And the median was 78.38%.

DMZPY's ROC (Joel Greenblatt) % is ranked better than
65.52% of 348 companies
in the Restaurants industry
Industry Median: 9.25 vs DMZPY: 15.74

Domino's Pizza Enterprises's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was -26.60% per year.


Domino's Pizza Enterprises ROC (Joel Greenblatt) % Historical Data

The historical data trend for Domino's Pizza Enterprises'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.

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Domino's Pizza Enterprises ROC (Joel Greenblatt) % Chart

Domino's Pizza Enterprises Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 73.93 34.79 37.56 39.96 14.89

Domino's Pizza Enterprises Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 44.78 34.85 33.19 3.17 26.46

Competitive Comparison of Domino's Pizza Enterprises's ROC (Joel Greenblatt) %

For the Restaurants subindustry, Domino's Pizza Enterprises'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.


Domino's Pizza Enterprises's ROC (Joel Greenblatt) % Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Domino's Pizza Enterprises's ROC (Joel Greenblatt) % distribution charts can be found below:

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



Domino's Pizza Enterprises 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: Jun. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(124.839 + 28.94 + 116.906) - (254.357 + 16.269 + 23.465)
=-23.406

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(127.108 + 33.411 + 47.645) - (257.805 + 17.123 + 20.183)
=-86.947

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Domino's Pizza Enterprises for the quarter that ended in Dec. 2023 can be restated as:

ROC (Joel Greenblatt) %(Q: Dec. 2023 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2023  Q: Dec. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=140.768/( ( (662.865 + max(-23.406, 0)) + (401.148 + max(-86.947, 0)) )/ 2 )
=140.768/( ( 662.865 + 401.148 )/ 2 )
=140.768/532.0065
=26.46 %

Note: The EBIT data used here is two times the semi-annual (Dec. 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.


Domino's Pizza Enterprises  (OTCPK:DMZPY) 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.


Domino's Pizza Enterprises ROC (Joel Greenblatt) % Related Terms

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Domino's Pizza Enterprises (Domino's Pizza Enterprises) Business Description

Traded in Other Exchanges
Address
485 Kingsford Smith Drive, Level 1, KSD1, Hamilton, Brisbane, QLD, AUS, 4007
Domino's Pizza Enterprises is engaged in the operation of fast-food pizza outlets and franchise service. The company holds the exclusive master franchise rights for the Domino's brand and network in Australia, New Zealand, Japan, Singapore, Malaysia, Taiwan, Germany, France, Belgium, Luxembourg, and the Netherlands. It entered the German market via a joint venture and acquisition. The Domino's brand is owned by NYSE-listed Domino's Pizza, Inc.

Domino's Pizza Enterprises (Domino's Pizza Enterprises) Headlines