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Plum Creek Timber Co (Plum Creek Timber Co) ROC (Joel Greenblatt) % : -1.20% (As of Dec. 2015)


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What is Plum Creek Timber 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. Plum Creek Timber Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2015 was -1.20%.

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

PCL's ROC (Joel Greenblatt) % is not ranked *
in the Forest Products industry.
Industry Median: 5.93
* Ranked among companies with meaningful ROC (Joel Greenblatt) % only.

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


Plum Creek Timber Co ROC (Joel Greenblatt) % Historical Data

The historical data trend for Plum Creek Timber 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.

Plum Creek Timber Co ROC (Joel Greenblatt) % Chart

Plum Creek Timber Co Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.21 9.44 7.13 7.02 6.22

Plum Creek Timber Co Quarterly Data
Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15
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 4.22 7.43 5.80 12.84 -1.20

Competitive Comparison of Plum Creek Timber Co's ROC (Joel Greenblatt) %

For the Lumber & Wood Production subindustry, Plum Creek Timber 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.


Plum Creek Timber Co's ROC (Joel Greenblatt) % Distribution in the Forest Products Industry

For the Forest Products industry and Basic Materials sector, Plum Creek Timber Co's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Plum Creek Timber Co's ROC (Joel Greenblatt) % falls into.



Plum Creek Timber 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: Sep. 2015 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(43 + 59 + 61) - (106 + 30 + 16)
=11

Working Capital(Q: Dec. 2015 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(32 + 57 + 48) - (125 + 23 + 3)
=-14

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Plum Creek Timber Co for the quarter that ended in Dec. 2015 can be restated as:

ROC (Joel Greenblatt) %(Q: Dec. 2015 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2015  Q: Dec. 2015
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-52/( ( (4320 + max(11, 0)) + (4304 + max(-14, 0)) )/ 2 )
=-52/( ( 4331 + 4304 )/ 2 )
=-52/4317.5
=-1.20 %

Note: The EBIT data used here is four times the quarterly (Dec. 2015) 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.


Plum Creek Timber Co  (NYSE:PCL) 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.


Plum Creek Timber Co ROC (Joel Greenblatt) % Related Terms

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Plum Creek Timber Co (Plum Creek Timber Co) Business Description

Traded in Other Exchanges
N/A
Address
Plum Creek Timber Co Inc was incorporated in Delaware. It is a real estate investment trust. The Company owned approximately 6.6 million acres of timberlands located in 19 states. It manages its timberlands in two business segments: the Northern Resources Segment, consisting of timberlands in Maine, Michigan, Montana, New Hampshire, Oregon, Vermont, Washington, West Virginia and Wisconsin; and the Southern Resources Segment, consisting of timberlands in Alabama, Arkansas, Florida, Georgia, Louisiana, Mississippi, North Carolina, South Carolina, Texas, and Virginia. In addition, its Energy and Natural Resources Segment includes its natural resource businesses that focus on opportunities for oil and natural gas production, construction aggregates and mineral extraction, wind power and communication and transportation rights of way. The Company's real estate segment includes development of certain properties, internally and through joint venture arrangements. The Company's manufacturing segment, also conducted through its wholly-owned taxable REIT subsidiaries, includes two lumber mills, two plywood mills and two medium density fiberboard ("MDF") production lines in Montana and one lumber remanufacturing facility in Idaho. Some of its real estate activities, including its real estate development business, are conducted through its wholly-owned taxable REIT subsidiaries. As of December 31, 2014, the Northern Resources Segment encompassed approximately 3.1 million acres of timberlands and the Southern Resources Segment consisted of approximately 3.6 million acres of timberlands. In its Real Estate Segment, the Company competes with numerous sellers of entitled and unentitled land in hundreds of local markets. The Company's operations are subject to federal, state and local environmental laws and regulations, including laws relating to water, air, solid waste and hazardous substances and the requirements of the Federal Occupational Safety and Health Act and comparable state statutes relating to the health and safety of its employees.
Executives
Sara Grootwassink Lewis director C/O CAPITALSOURCE INC., 4445 WILLARD AVENUE, 12TH FLOOR, CHEVY CHASE MD 20815
Michelle J Goldberg director 601 UNION STREET, SUITE 3100, SEATTLE WA 98101
John G Mcdonald director 601 UNION STREET, SUITE 3100, SEATTLE WA 98101-1374
Robin Josephs director
Martin A White director C/O MDU RESOURCES GROUP, INC., PO BOX 5650, BISMARK ND 58506-5650
Thomas M Lindquist officer: PRESIDENT & COO 601 UNION STREET, SUITE 3100, SEATTLE WA 98101-1374
Timothy E Punke officer: SVP Corp Affairs&Public Policy C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Morgan John F., Sr. director C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Russell S Hagen officer: SR. VP, BUSINESS DEVELOPMENT C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Lawrence A Selzer director C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Rick R Holley director, officer: CEO C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Marc F Racicot director 1411 E. MISSION AVENUE, SPOKANE WA 99202
James A Kilberg officer: SVP, REAL ESTATE & ENR C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Stephen C Tobias director NORFOLK SOUTHERN CORP, THREE COMMERCIAL PLACE, NORFOLK VA 23510-9219
John H Scully director 591 REDWOOD HIGHWAY, SUITE 3215, MILL VALLEY CA 94941

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