Lojas RennerBSP:LREN3 +3.32%92 ROC (Joel Greenblatt) % is 15.34% as of Mar. 2026, which is 34% below its 10-year median of 23.16. GuruFocus rates BSP:LREN3 with a GF Score™ of 92/100 and a GF Value™ of R$17.28 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 1,121 Retail - Cyclical companies, Lojas Renner ranks better than 69.05% 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. Lojas Renner's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 15.34%.
The historical rank and industry rank for Lojas Renner's ROC (Joel Greenblatt) % or its related term are showing as below:
BSP:LREN3'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 13.66 Med: 23.16 Max: 42.95
Current: 22.69
During the past 13 years, Lojas Renner's highest ROC (Joel Greenblatt) % was 42.95%. The lowest was 13.66%. And the median was 23.16%.
BSP:LREN3's ROC (Joel Greenblatt) % is ranked better than 69.05% of 1121
companies
in the Retail - Cyclical industry
Industry Median: 11.49
vs BSP:LREN3: 22.69
Lojas Renner's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.40% 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.
Lojas Renner ROC (Joel Greenblatt) % Related Terms
Lojas Renner ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for Lojas Renner'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.
BSP:LREN3 vs DDS, M: ROC (Joel Greenblatt) % Comparison
For the Department Stores subindustry, Lojas Renner'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.
Lojas Renner ROC (Joel Greenblatt) % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Lojas Renner's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Lojas Renner'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 four times the quarterly (Mar. 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 15.34% mean?
Lojas Renner (BSP:LREN3) has a ROC (Joel Greenblatt) % of 15.34% as of Mar. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Lojas Renner and its competitors. This is 34% below median its historical median of 23.16. Over the past decade, Lojas Renner's ROC (Joel Greenblatt) % has ranged from 13.66 to 42.95. According to the industry distribution chart, Lojas Renner ranks #347 out of 1121 companies in the Retail - Cyclical industry, placing it in the top 31%.
Is Lojas Renner's ROC (Joel Greenblatt) % too high?
Lojas Renner's current ROC (Joel Greenblatt) % of 15.34% is 34% below median its 10-year median of 23.16. Over the past 10 years, this metric has ranged from a low of 13.66 to a high of 42.95. The Retail - Cyclical industry median ROC (Joel Greenblatt) % is 11.49. Lojas Renner's value of 15.34% is 33.5% above this industry median. Based on the distribution chart, Lojas Renner ranks #347 out of 1121 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Lojas Renner has a GF Score™ of 92/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lojas Renner's ROC (Joel Greenblatt) % compare to DDS and M?
According to the Retail - Cyclical industry distribution chart, Lojas Renner ranks #347 out of 1121 companies for ROC (Joel Greenblatt) %. This puts Lojas Renner in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 11.49. Lojas Renner's value of 15.34% is 33.5% above this benchmark. Historically, Lojas Renner's own ROC (Joel Greenblatt) % has ranged from 13.66 to 42.95 over the past decade. While the company's 10-year median is 23.16 vs. the industry median of 11.49, Lojas Renner 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. Lojas Renner's current ROC (Joel Greenblatt) % of 15.34% is 33.5% 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 Lojas Renner 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. Lojas Renner's current ROC (Joel Greenblatt) % is 15.34%, which is 34% below median its own 10-year median of 23.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lojas Renner stock overvalued right now?
Based on GuruFocus' analysis, Lojas Renner (BSP:LREN3) is currently considered Modestly Undervalued. The stock's GF Value™ is R$17.28, compared to a current price of R$14.62 — trading 15.4% below its estimated fair value. The current ROC (Joel Greenblatt) % is 15.34%, which is 34% below median its 10-year median of 23.16 and 33.5% above the Retail - Cyclical industry median of 11.49. Lojas Renner's overall GF Score™ is 92/100 with 1 warning sign 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 Lojas Renner (BSP:LREN3), the current ROC (Joel Greenblatt) % is 15.34% as of Mar. 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 Lojas Renner (BSP:LREN3) Overvalued in 2026?
Based on GuruFocus' analysis, Lojas Renner stock appears to be undervalued.
The current stock price of R$14.62 is trading 15.4% below its estimated GF Value™ of R$17.28.
GuruFocus considers Lojas Renner to be Modestly Undervalued.
Key valuation signals for BSP:LREN3:
ROC (Joel Greenblatt) %: 15.34% (34% below median its 10-year median of 23.16)
GF Value™: R$17.28 vs. price of R$14.62 (15.4% below fair value)
Industry Position: 33.5% above the Retail - Cyclical median (#347 of 1121)
No single metric tells the full story. See the BSP:LREN3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lojas Renner SA is an omnichannel fashion retailer in Brazil, bringing together the Renner, Camicado, Youcom, Realize, and Repassa brands in a fashion and lifestyle ecosystem that connects customers through digital channels and physical stores distributed across Brazil, Argentina, and Uruguay. It operates in two segments namely Retail engaged in trade of clothing, perfumery, cosmetics, watches and home & decoration, urban deliveries and logistics management solutions covering the operations of Renner, Camicado, Youcom, Repassa, Uello and operations in Uruguay and Argentina; and Financial products engaged in granting of individual and corporate loans, financing of purchases, insurance and the practice of receivables and payables inherent to credit, financing and investment companies.
92GF Score
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