New HopeASX:NHC -1.86%69 ROC (Joel Greenblatt) % is 11.03% as of Jan. 2026, which is 12% below its 10-year median of 12.56. GuruFocus rates ASX:NHC with a GF Score™ of 69/100 and a GF Value™ of A$4.07 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 181 Other Energy Sources companies, New Hope ranks better than 69.06% 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. New Hope's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jan. 2026 was 11.03%.
The historical rank and industry rank for New Hope's ROC (Joel Greenblatt) % or its related term are showing as below:
ASX:NHC'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -9.16 Med: 12.56 Max: 85.48
Current: 12.43
During the past 13 years, New Hope's highest ROC (Joel Greenblatt) % was 85.48%. The lowest was -9.16%. And the median was 12.56%.
ASX:NHC's ROC (Joel Greenblatt) % is ranked better than 69.06% of 181
companies
in the Other Energy Sources industry
Industry Median: 2.61
vs ASX:NHC: 12.43
New Hope's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.
New Hope (ASX:NHC) 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.
The historical data trend for New Hope'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.
New Hope ROC (Joel Greenblatt) % Competitor Comparison
For the Thermal Coal subindustry, New Hope'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.
New Hope ROC (Joel Greenblatt) % vs Other Energy Sources Industry
For the Other Energy Sources industry and Energy sector, New Hope's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where New Hope'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 (Jan. 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 11.03% mean?
New Hope (ASX:NHC) has a ROC (Joel Greenblatt) % of 11.03% as of Jan. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on New Hope and its competitors. This is 12% below median its historical median of 12.56. According to the industry distribution chart, New Hope ranks #56 out of 181 companies in the Other Energy Sources industry, placing it in the top 30.9%.
Is New Hope's ROC (Joel Greenblatt) % too high?
New Hope's current ROC (Joel Greenblatt) % of 11.03% is 12% below median its 10-year median of 12.56. The Other Energy Sources industry median ROC (Joel Greenblatt) % is 2.61. New Hope's value of 11.03% is 322.6% above this industry median. Based on the distribution chart, New Hope ranks #56 out of 181 companies in the Other Energy Sources industry, which is above the industry midpoint. Overall, New Hope has a GF Score™ of 69/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does New Hope's ROC (Joel Greenblatt) % compare to competitors?
According to the Other Energy Sources industry distribution chart, New Hope ranks #56 out of 181 companies for ROC (Joel Greenblatt) %. This puts New Hope in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 2.61. New Hope's value of 11.03% is 322.6% above this benchmark. While the company's 10-year median is 12.56 vs. the industry median of 2.61, New Hope 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 an Other Energy Sources company?
The median ROC (Joel Greenblatt) % among Other Energy Sources companies is 2.61, based on 181 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. New Hope's current ROC (Joel Greenblatt) % of 11.03% is 322.6% 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 New Hope and its competitors. For the Other Energy Sources industry, the median ROC (Joel Greenblatt) % is 2.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. New Hope's current ROC (Joel Greenblatt) % is 11.03%, which is 12% below median its own 10-year median of 12.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is New Hope stock overvalued right now?
Based on GuruFocus' analysis, New Hope (ASX:NHC) is currently considered Modestly Overvalued. The stock's GF Value™ is A$4.07, compared to a current price of A$5.27 — trading 29.5% above its estimated fair value. The current ROC (Joel Greenblatt) % is 11.03%, which is 12% below median its 10-year median of 12.56 and 322.6% above the Other Energy Sources industry median of 2.61. New Hope's overall GF Score™ is 69/100 with 6 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 New Hope (ASX:NHC), the current ROC (Joel Greenblatt) % is 11.03% as of Jan. 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 New Hope (ASX:NHC) Overvalued in 2026?
Based on GuruFocus' analysis, New Hope stock appears to be overvalued.
The current stock price of A$5.27 is trading 29.5% above its estimated GF Value™ of A$4.07.
GuruFocus considers New Hope to be Modestly Overvalued.
Key valuation signals for ASX:NHC:
ROC (Joel Greenblatt) %: 11.03% (12% below median its 10-year median of 12.56)
GF Value™: A$4.07 vs. price of A$5.27 (29.5% above fair value)
Industry Position: 322.6% above the Other Energy Sources median (#56 of 181)
No single metric tells the full story. See the ASX:NHC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
New Hope Corporation is an Australian thermal coal miner. It has two operating mines: the 100%-owned New Acland coal mine in Queensland and its 80%-owned Bengalla coal mine in New South Wales. The company should sell around 13 million metric tons of thermal coal annually from fiscal 2028, up from around 10.5 million in fiscal 2025, driven by the construction and ramp up of New Acland Stage 3. The vast majority of New Hope's production is sold into seaborne thermal coal export markets. Reserves at New Acland and Bengalla are sufficient to support multidecade mine lives. New Hope also has significant undeveloped coal resources in Queensland, as well as a 23% holding in the Malabar-Maxwell metallurgical coal mine, which began production in 2023.
69GF Score
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