SThreeCHIX:STEML +1.90%59 ROC (Joel Greenblatt) % is 21.23% as of Nov. 2025, which is 84% below its 10-year median of 136.89. GuruFocus rates CHIX:STEML with a GF Score™ of 59/100 and a GF Value™ of £2.91 (Significantly Undervalued). The stock has 6 warning signs investors should review. Among 1,081 Business Services companies, SThree ranks worse than 51.9% 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. SThree's annualized ROC (Joel Greenblatt) % for the quarter that ended in Nov. 2025 was 21.23%.
The historical rank and industry rank for SThree's ROC (Joel Greenblatt) % or its related term are showing as below:
CHIX:STEMl'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 19.5 Med: 136.89 Max: 596.06
Current: 19.5
During the past 13 years, SThree's highest ROC (Joel Greenblatt) % was 596.06%. The lowest was 19.50%. And the median was 136.89%.
CHIX:STEMl's ROC (Joel Greenblatt) % is ranked worse than 51.9% of 1081
companies
in the Business Services industry
Industry Median: 20.97
vs CHIX:STEMl: 19.50
SThree's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was -20.30% 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.
The historical data trend for SThree'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.
CHIX:STEML vs KFY, RHI, TNET: ROC (Joel Greenblatt) % Comparison
For the Staffing & Employment Services subindustry, SThree'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.
SThree ROC (Joel Greenblatt) % vs Business Services Industry
For the Business Services industry and Industrials sector, SThree's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where SThree'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 (Nov. 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 21.23% mean?
SThree (CHIX:STEML) has a ROC (Joel Greenblatt) % of 21.23% as of Nov. 2025. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on SThree and its competitors. This is 84% below median its historical median of 136.89. Over the past decade, SThree's ROC (Joel Greenblatt) % has ranged from 19.50 to 596.06. According to the industry distribution chart, SThree ranks #561 out of 1081 companies in the Business Services industry, placing it in the top 51.9%.
Is SThree's ROC (Joel Greenblatt) % too high?
SThree's current ROC (Joel Greenblatt) % of 21.23% is 84% below median its 10-year median of 136.89. Over the past 10 years, this metric has ranged from a low of 19.50 to a high of 596.06. The Business Services industry median ROC (Joel Greenblatt) % is 20.97. SThree's value of 21.23% is 1.2% above this industry median. Based on the distribution chart, SThree ranks #561 out of 1081 companies in the Business Services industry, which is below the industry midpoint. Overall, SThree has a GF Score™ of 59/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does SThree's ROC (Joel Greenblatt) % compare to KFY and RHI?
According to the Business Services industry distribution chart, SThree ranks #561 out of 1081 companies for ROC (Joel Greenblatt) %. This places SThree in the lower half of its industry. The industry median ROC (Joel Greenblatt) % is 20.97. SThree's value of 21.23% is 1.2% above this benchmark. Historically, SThree's own ROC (Joel Greenblatt) % has ranged from 19.50 to 596.06 over the past decade. While the company's 10-year median is 136.89 vs. the industry median of 20.97, SThree 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 Business Services company?
The median ROC (Joel Greenblatt) % among Business Services companies is 20.97, based on 1,081 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. SThree's current ROC (Joel Greenblatt) % of 21.23% is 1.2% 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 SThree and its competitors. For the Business Services industry, the median ROC (Joel Greenblatt) % is 20.97 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SThree's current ROC (Joel Greenblatt) % is 21.23%, which is 84% below median its own 10-year median of 136.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SThree stock overvalued right now?
Based on GuruFocus' analysis, SThree (CHIX:STEML) is currently considered Significantly Undervalued. The stock's GF Value™ is £2.91, compared to a current price of £1.61 — trading 44.7% below its estimated fair value. The current ROC (Joel Greenblatt) % is 21.23%, which is 84% below median its 10-year median of 136.89 and 1.2% above the Business Services industry median of 20.97. SThree's overall GF Score™ is 59/100 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 SThree (CHIX:STEML), the current ROC (Joel Greenblatt) % is 21.23% as of Nov. 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 SThree (CHIX:STEML) Overvalued in 2026?
Based on GuruFocus' analysis, SThree stock appears to be undervalued.
The current stock price of £1.61 is trading 44.7% below its estimated GF Value™ of £2.91.
GuruFocus considers SThree to be Significantly Undervalued.
Key valuation signals for CHIX:STEML:
ROC (Joel Greenblatt) %: 21.23% (84% below median its 10-year median of 136.89)
GF Value™: £2.91 vs. price of £1.61 (44.7% below fair value)
Industry Position: 1.2% above the Business Services median (#561 of 1081)
No single metric tells the full story. See the CHIX:STEML stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SThree PLC is involved in the staffing business. It provides contract and permanent recruitment services. The company operates in information and communication, engineering, energy, life sciences, banking, and finance sectors. It provides its service through various brands such as Progressive, Computer Futures, Real Staffing Group, and Huxley Associates. The company generated its revenue from DACH, Rest of Europe, Netherlands including Spain, USA, Middle East & Asia.
59GF Score
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