Lovisa HoldingsASX:LOV +2.47%97 ROC (Joel Greenblatt) % is 37.77% as of Dec. 2025, which is 6% above its 10-year median of 35.79. GuruFocus rates ASX:LOV with a GF Score™ of 97/100 and a GF Value™ of A$39.52 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 1,121 Retail - Cyclical companies, Lovisa Holdings ranks better than 76.81% 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. Lovisa Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 37.77%.
The historical rank and industry rank for Lovisa Holdings's ROC (Joel Greenblatt) % or its related term are showing as below:
ASX:LOV'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 21.96 Med: 35.79 Max: 269.33
Current: 29.92
During the past 11 years, Lovisa Holdings's highest ROC (Joel Greenblatt) % was 269.33%. The lowest was 21.96%. And the median was 35.79%.
ASX:LOV's ROC (Joel Greenblatt) % is ranked better than 76.81% of 1121
companies
in the Retail - Cyclical industry
Industry Median: 11.49
vs ASX:LOV: 29.92
Lovisa Holdings's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 8.40% per year.
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.
Lovisa Holdings ROC (Joel Greenblatt) % Related Terms
Lovisa Holdings ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for Lovisa Holdings'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.
ASX:LOV vs CASY, WSM, DKS: ROC (Joel Greenblatt) % Comparison
For the Specialty Retail subindustry, Lovisa Holdings'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.
Lovisa Holdings ROC (Joel Greenblatt) % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Lovisa Holdings's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Lovisa Holdings's ROC (Joel Greenblatt) % falls into.
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 37.77% mean?
Lovisa Holdings (ASX:LOV) has a ROC (Joel Greenblatt) % of 37.77% 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 Lovisa Holdings and its competitors. This is near median its historical median of 35.79. Over the past decade, Lovisa Holdings' ROC (Joel Greenblatt) % has ranged from 21.96 to 269.33. According to the industry distribution chart, Lovisa Holdings ranks #260 out of 1121 companies in the Retail - Cyclical industry, placing it in the top 23.2%.
Is Lovisa Holdings' ROC (Joel Greenblatt) % too high?
Lovisa Holdings' current ROC (Joel Greenblatt) % of 37.77% is near median its 10-year median of 35.79. Over the past 10 years, this metric has ranged from a low of 21.96 to a high of 269.33. The Retail - Cyclical industry median ROC (Joel Greenblatt) % is 11.49. Lovisa Holdings' value of 37.77% is 228.7% above this industry median. Based on the distribution chart, Lovisa Holdings ranks #260 out of 1121 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Lovisa Holdings has a GF Score™ of 97/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lovisa Holdings' ROC (Joel Greenblatt) % compare to CASY and WSM?
According to the Retail - Cyclical industry distribution chart, Lovisa Holdings ranks #260 out of 1121 companies for ROC (Joel Greenblatt) %. This places Lovisa Holdings in the top 23% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 11.49. Lovisa Holdings' value of 37.77% is 228.7% above this benchmark. Historically, Lovisa Holdings' own ROC (Joel Greenblatt) % has ranged from 21.96 to 269.33 over the past decade. While the company's 10-year median is 35.79 vs. the industry median of 11.49, Lovisa Holdings has consistently been above the industry average. 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 Retail - Cyclical company?
The median ROC (Joel Greenblatt) % among Retail - Cyclical companies is 11.49, based on 1,121 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. Lovisa Holdings's current ROC (Joel Greenblatt) % of 37.77% is 228.7% above the industry median. 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 Lovisa Holdings and its competitors. For the Retail - Cyclical industry, the median ROC (Joel Greenblatt) % is 11.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lovisa Holdings's current ROC (Joel Greenblatt) % is 37.77%, which is near median its own 10-year median of 35.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lovisa Holdings stock overvalued right now?
Based on GuruFocus' analysis, Lovisa Holdings (ASX:LOV) is currently considered Significantly Undervalued. The stock's GF Value™ is A$39.52, compared to a current price of A$23.20 — trading 41.3% below its estimated fair value. The current ROC (Joel Greenblatt) % is 37.77%, which is near median its 10-year median of 35.79 and 228.7% above the Retail - Cyclical industry median of 11.49. Lovisa Holdings' overall GF Score™ is 97/100 with 2 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 Lovisa Holdings (ASX:LOV), the current ROC (Joel Greenblatt) % is 37.77% 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 Lovisa Holdings (ASX:LOV) Overvalued in 2026?
Based on GuruFocus' analysis, Lovisa Holdings stock appears to be undervalued.
The current stock price of A$23.20 is trading 41.3% below its estimated GF Value™ of A$39.52.
GuruFocus considers Lovisa Holdings to be Significantly Undervalued.
Key valuation signals for ASX:LOV:
ROC (Joel Greenblatt) %: 37.77% (near median its 10-year median of 35.79)
GF Value™: A$39.52 vs. price of A$23.20 (41.3% below fair value)
Industry Position: 228.7% above the Retail - Cyclical median (#260 of 1121)
No single metric tells the full story. See the ASX:LOV stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lovisa is a global fast-fashion retailer specializing in jewelry. A vertically integrated supply chain allows it to develop, source, and merchandise its exclusive products. Its target customer base is millennials seeking affordable and fashionable jewelry or receiving it as gifts. Lovisa's global network of own-operated and franchised stores span across more than 30 countries. Lovisa's sales growth record is largely underpinned by global store rollouts. The store format and offering is standardized globally, with stores typically in shopping centers and malls with relatively high foot traffic and sales per square meter. Lovisa also operates online stores and in-store piercing services in all its jurisdictions.
97GF Score
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