Aehr Test SystemsAEHR -4.74%62 ROC (Joel Greenblatt) % is -24.67% as of Feb. 2026. GuruFocus rates AEHR with a GF Score™ of 62/100 and a GF Value™ of $14.89 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 1,025 Semiconductors companies, Aehr Test Systems ranks worse than 83.8% on this metric.
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. Aehr Test Systems's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2026 was -24.67%.
The historical rank and industry rank for Aehr Test Systems's ROC (Joel Greenblatt) % or its related term are showing as below:
AEHR'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -174.79 Med: -15.43 Max: 49.3
Current: -22.85
During the past 13 years, Aehr Test Systems's highest ROC (Joel Greenblatt) % was 49.30%. The lowest was -174.79%. And the median was -15.43%.
AEHR's ROC (Joel Greenblatt) % is ranked worse than 83.8% of 1025
companies
in the Semiconductors industry
Industry Median: 8.35
vs AEHR: -22.85
Aehr Test Systems's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.
Aehr Test Systems (NAS:AEHR) 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.
Aehr Test Systems ROC (Joel Greenblatt) % Related Terms
Aehr Test Systems ROC (Joel Greenblatt) % Historical Data
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The historical data trend for Aehr Test Systems'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.
AEHR vs COHU, AMBA, ICHR: ROC (Joel Greenblatt) % Comparison
For the Semiconductor Equipment & Materials subindustry, Aehr Test Systems'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.
Aehr Test Systems ROC (Joel Greenblatt) % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Aehr Test Systems's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Aehr Test Systems's ROC (Joel Greenblatt) % falls into.
Aehr Test Systems 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:
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.
Note:
The EBIT data used here is four times the quarterly (Feb. 2026) 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.
What does a ROC (Joel Greenblatt) % of -24.67% mean?
Aehr Test Systems (AEHR) has a ROC (Joel Greenblatt) % of -24.67% as of Feb. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Aehr Test Systems and its competitors. According to the industry distribution chart, Aehr Test Systems ranks #859 out of 1025 companies in the Semiconductors industry, placing it in the top 83.8%.
Is Aehr Test Systems' ROC (Joel Greenblatt) % too high?
Aehr Test Systems' current ROC (Joel Greenblatt) % is -24.67%. Based on the distribution chart, Aehr Test Systems ranks #859 out of 1025 companies in the Semiconductors industry, which is in the bottom quartile relative to peers. Overall, Aehr Test Systems has a GF Score™ of 62/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Aehr Test Systems' ROC (Joel Greenblatt) % compare to COHU and AMBA?
According to the Semiconductors industry distribution chart, Aehr Test Systems ranks #859 out of 1025 companies for ROC (Joel Greenblatt) %. This places Aehr Test Systems in the lower half of its industry. The industry median ROC (Joel Greenblatt) % is 8.35. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROC (Joel Greenblatt) % for a Semiconductors company?
The median ROC (Joel Greenblatt) % among Semiconductors companies is 8.35, based on 1,025 companies in the industry. Companies in the top quartile (top 25%) have a ROC (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, ROC (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROC (Joel Greenblatt) % mean?
A high ROC (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Aehr Test Systems and its competitors. For the Semiconductors industry, the median ROC (Joel Greenblatt) % is 8.35 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Aehr Test Systems's current ROC (Joel Greenblatt) % is -24.67%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aehr Test Systems stock overvalued right now?
Based on GuruFocus' analysis, Aehr Test Systems (AEHR) is currently considered Significantly Overvalued. The stock's GF Value™ is $14.89, compared to a current price of $72.61 — trading 387.6% above its estimated fair value. The current ROC (Joel Greenblatt) % is -24.67%. Aehr Test Systems' overall GF Score™ is 62/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROC (Joel Greenblatt) % calculated?
ROC (Joel Greenblatt) % is calculated from a company's financial statements. For Aehr Test Systems (AEHR), the current ROC (Joel Greenblatt) % is -24.67% as of Feb. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Aehr Test Systems (AEHR) Overvalued in 2026?
Based on GuruFocus' analysis, Aehr Test Systems stock appears to be overvalued.
The current stock price of $72.61 is trading 387.6% above its estimated GF Value™ of $14.89.
GuruFocus considers Aehr Test Systems to be Significantly Overvalued.
Key valuation signals for AEHR:
ROC (Joel Greenblatt) %: -24.67%
GF Value™: $14.89 vs. price of $72.61 (387.6% above fair value)
No single metric tells the full story. See the AEHR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Aehr Test Systems is engaged in test systems for burning-in and testing logic, optical, and memory integrated circuits. Increased quality and reliability needs of the Automotive and Mobility integrated circuit markets. The Company operates in one business segment, the designing, manufacturing, marketing and selling of advanced test and burn-in products to the semiconductor manufacturing industry in several geographic areas. The company provides production solutions across the product manufacturing flow to improve yield and reliability and has developed and introduced several inventive products, including the ABTSTM and FOX-PTM families of test and burn-in systems and FOX WaferPakTM Aligner, FOX-XP WaferPak Contactor, FOX DiePak Carrier and FOX DiePak Loader.
62GF Score
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