Service StreamASX:SSM -0.75%80 ROC (Joel Greenblatt) % is 41.50% as of Dec. 2025, which is 41% below its 10-year median of 70.35. GuruFocus rates ASX:SSM with a GF Score™ of 80/100 and a GF Value™ of A$1.48 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 1,775 Construction companies, Service Stream ranks better than 72.23% 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. Service Stream's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 41.50%.
The historical rank and industry rank for Service Stream's ROC (Joel Greenblatt) % or its related term are showing as below:
ASX:SSM'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -22.59 Med: 70.35 Max: 614.89
Current: 41.55
During the past 13 years, Service Stream's highest ROC (Joel Greenblatt) % was 614.89%. The lowest was -22.59%. And the median was 70.35%.
ASX:SSM's ROC (Joel Greenblatt) % is ranked better than 72.23% of 1775
companies
in the Construction industry
Industry Median: 19.38
vs ASX:SSM: 41.55
Service Stream's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.
Service Stream (ASX:SSM) 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.
Service Stream ROC (Joel Greenblatt) % Related Terms
Service Stream ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for Service Stream'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:SSM vs PWR, FIX, EME: ROC (Joel Greenblatt) % Comparison
For the Engineering & Construction subindustry, Service Stream'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.
Service Stream ROC (Joel Greenblatt) % vs Construction Industry
For the Construction industry and Industrials sector, Service Stream's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Service Stream's ROC (Joel Greenblatt) % falls into.
Service Stream 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 41.50% mean?
Service Stream (ASX:SSM) has a ROC (Joel Greenblatt) % of 41.50% 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 Service Stream and its competitors. This is 41% below median its historical median of 70.35. According to the industry distribution chart, Service Stream ranks #493 out of 1775 companies in the Construction industry, placing it in the top 27.8%.
Is Service Stream's ROC (Joel Greenblatt) % too high?
Service Stream's current ROC (Joel Greenblatt) % of 41.50% is 41% below median its 10-year median of 70.35. The Construction industry median ROC (Joel Greenblatt) % is 19.38. Service Stream's value of 41.50% is 114.1% above this industry median. Based on the distribution chart, Service Stream ranks #493 out of 1775 companies in the Construction industry, which is above the industry midpoint. Overall, Service Stream has a GF Score™ of 80/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Service Stream's ROC (Joel Greenblatt) % compare to PWR and FIX?
According to the Construction industry distribution chart, Service Stream ranks #493 out of 1775 companies for ROC (Joel Greenblatt) %. This puts Service Stream in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 19.38. Service Stream's value of 41.50% is 114.1% above this benchmark. While the company's 10-year median is 70.35 vs. the industry median of 19.38, Service Stream 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 Construction company?
The median ROC (Joel Greenblatt) % among Construction companies is 19.38, based on 1,775 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. Service Stream's current ROC (Joel Greenblatt) % of 41.50% is 114.1% 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 Service Stream and its competitors. For the Construction industry, the median ROC (Joel Greenblatt) % is 19.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Service Stream's current ROC (Joel Greenblatt) % is 41.50%, which is 41% below median its own 10-year median of 70.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Service Stream stock overvalued right now?
Based on GuruFocus' analysis, Service Stream (ASX:SSM) is currently considered Significantly Overvalued. The stock's GF Value™ is A$1.48, compared to a current price of A$2.63 — trading 77.7% above its estimated fair value. The current ROC (Joel Greenblatt) % is 41.50%, which is 41% below median its 10-year median of 70.35 and 114.1% above the Construction industry median of 19.38. Service Stream's overall GF Score™ is 80/100 with 7 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 Service Stream (ASX:SSM), the current ROC (Joel Greenblatt) % is 41.50% 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 Service Stream (ASX:SSM) Overvalued in 2026?
Based on GuruFocus' analysis, Service Stream stock appears to be overvalued.
The current stock price of A$2.63 is trading 77.7% above its estimated GF Value™ of A$1.48.
GuruFocus considers Service Stream to be Significantly Overvalued.
Key valuation signals for ASX:SSM:
ROC (Joel Greenblatt) %: 41.50% (41% below median its 10-year median of 70.35)
GF Value™: A$1.48 vs. price of A$2.63 (77.7% above fair value)
Industry Position: 114.1% above the Construction median (#493 of 1775)
No single metric tells the full story. See the ASX:SSM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Service Stream Ltd is engaged in the provision of telecommunications and network services. Its segments are Telecommunications, Transport, and Utilities. The Telecommunications segment provides a range of operations, maintenance, installation, design, and construction services to the owners of fixed-line and wireless telecommunication networks in Australia. Transport provides long-term operational support and maintenance services to public and private road and tunnel asset owners. The utilities segment provides operations, maintenance, design, and construction services, specialist metering, new energy, and inspection services to gas, water, and electricity network owners, among others. It generates revenue from the Telecommunications segment.
80GF Score
Get the complete analysis for ASX:SSM
ROC (Joel Greenblatt) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
ASX:SSM has been successfully added to your 
