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. Electro Optic Systems Hldgs's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was -79.34%.
The historical rank and industry rank for Electro Optic Systems Hldgs's ROC (Joel Greenblatt) % or its related term are showing as below:
ASX:EOS'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -52.41 Med: -6.94 Max: 81.94
Current: -52.41
During the past 13 years, Electro Optic Systems Hldgs's highest ROC (Joel Greenblatt) % was 81.94%. The lowest was -52.41%. And the median was -6.94%.
ASX:EOS's ROC (Joel Greenblatt) % is ranked worse than 82.63% of 357
companies
in the Aerospace & Defense industry
Industry Median: 10.76
vs ASX:EOS: -52.41
Electro Optic Systems Hldgs (ASX:EOS) 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.
* 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.
Electro Optic Systems Hldgs ROC (Joel Greenblatt) % Chart
ASX:EOS vs SPCX, GE, RTX: ROC (Joel Greenblatt) % Comparison
For the Aerospace & Defense subindustry, Electro Optic Systems Hldgs'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.
Electro Optic Systems Hldgs ROC (Joel Greenblatt) % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Electro Optic Systems Hldgs's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Electro Optic Systems Hldgs's ROC (Joel Greenblatt) % falls into.
Electro Optic Systems Hldgs 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 two times the semi-annual (Dec. 2025) 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 -79.34% mean?
Electro Optic Systems Hldgs (ASX:EOS) has a ROC (Joel Greenblatt) % of -79.34% as of Dec. 2025. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Electro Optic Systems Hldgs and its competitors. According to the industry distribution chart, Electro Optic Systems Hldgs ranks #295 out of 357 companies in the Aerospace & Defense industry, placing it in the top 82.6%.
Is Electro Optic Systems Hldgs' ROC (Joel Greenblatt) % too high?
Electro Optic Systems Hldgs' current ROC (Joel Greenblatt) % is -79.34%. Based on the distribution chart, Electro Optic Systems Hldgs ranks #295 out of 357 companies in the Aerospace & Defense industry, which is in the bottom quartile relative to peers. Overall, Electro Optic Systems Hldgs has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Electro Optic Systems Hldgs' ROC (Joel Greenblatt) % compare to SPCX and GE?
According to the Aerospace & Defense industry distribution chart, Electro Optic Systems Hldgs ranks #295 out of 357 companies for ROC (Joel Greenblatt) %. This places Electro Optic Systems Hldgs in the lower half of its industry. The industry median ROC (Joel Greenblatt) % is 10.76. 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 an Aerospace & Defense company?
The median ROC (Joel Greenblatt) % among Aerospace & Defense companies is 10.76, based on 357 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 Electro Optic Systems Hldgs and its competitors. For the Aerospace & Defense industry, the median ROC (Joel Greenblatt) % is 10.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Electro Optic Systems Hldgs's current ROC (Joel Greenblatt) % is -79.34%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Electro Optic Systems Hldgs stock overvalued right now?
Based on GuruFocus' analysis, Electro Optic Systems Hldgs (ASX:EOS) is currently considered Significantly Overvalued. The stock's GF Value™ is A$1.22, compared to a current price of A$8.41 — trading 589.3% above its estimated fair value. The current ROC (Joel Greenblatt) % is -79.34%. Electro Optic Systems Hldgs' overall GF Score™ is 63/100 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 Electro Optic Systems Hldgs (ASX:EOS), the current ROC (Joel Greenblatt) % is -79.34% as of Dec. 2025. 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 Electro Optic Systems Hldgs (ASX:EOS) Overvalued in 2026?
Based on GuruFocus' analysis, Electro Optic Systems Hldgs stock appears to be overvalued.
The current stock price of A$8.41 is trading 589.3% above its estimated GF Value™ of A$1.22.
GuruFocus considers Electro Optic Systems Hldgs to be Significantly Overvalued.
Key valuation signals for ASX:EOS:
ROC (Joel Greenblatt) %: -79.34%
GF Value™: A$1.22 vs. price of A$8.41 (589.3% above fair value)
No single metric tells the full story. See the ASX:EOS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Electro Optic Systems Hldgs Ltd is an Australian technology company. It develops and produces electro-optic technologies for the aerospace market. The group's reportable segments are Defence and Space Systems. It generates maximum revenue from the Defence segment. The Defence segment develops, manufactures, and markets fire control, surveillance, and weapon systems to approved military customers. The Space Systems segment includes a range of ground products available to support the Australian and international space markets. Geographically, it derives a majority of its revenue from Australia.
63GF Score
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