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. Cumberland Pharmaceuticals's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was -148.24%.
The historical rank and industry rank for Cumberland Pharmaceuticals's ROC (Joel Greenblatt) % or its related term are showing as below:
CPIX'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -962.27 Med: -145.34 Max: -30.74
Current: -86.47
During the past 13 years, Cumberland Pharmaceuticals's highest ROC (Joel Greenblatt) % was -30.74%. The lowest was -962.27%. And the median was -145.34%.
CPIX's ROC (Joel Greenblatt) % is ranked worse than 88.51% of 975
companies
in the Drug Manufacturers industry
Industry Median: 11.44
vs CPIX: -86.47
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.
* 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.
CPIX vs INCR, CTOR, TLPH: ROC (Joel Greenblatt) % Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Cumberland Pharmaceuticals'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.
Cumberland Pharmaceuticals ROC (Joel Greenblatt) % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Cumberland Pharmaceuticals's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Cumberland Pharmaceuticals'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 -148.24% mean?
Cumberland Pharmaceuticals (CPIX) has a ROC (Joel Greenblatt) % of -148.24% 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 Cumberland Pharmaceuticals and its competitors. According to the industry distribution chart, Cumberland Pharmaceuticals ranks #863 out of 975 companies in the Drug Manufacturers industry, placing it in the top 88.5%.
Is Cumberland Pharmaceuticals' ROC (Joel Greenblatt) % too high?
Cumberland Pharmaceuticals' current ROC (Joel Greenblatt) % is -148.24%. Based on the distribution chart, Cumberland Pharmaceuticals ranks #863 out of 975 companies in the Drug Manufacturers industry, which is in the bottom quartile relative to peers. Overall, Cumberland Pharmaceuticals has a GF Score™ of 32/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Cumberland Pharmaceuticals' ROC (Joel Greenblatt) % compare to INCR and CTOR?
According to the Drug Manufacturers industry distribution chart, Cumberland Pharmaceuticals ranks #863 out of 975 companies for ROC (Joel Greenblatt) %. This places Cumberland Pharmaceuticals in the lower half of its industry. The industry median ROC (Joel Greenblatt) % is 11.44. 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 Drug Manufacturers company?
The median ROC (Joel Greenblatt) % among Drug Manufacturers companies is 11.44, based on 975 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. 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 Cumberland Pharmaceuticals and its competitors. For the Drug Manufacturers industry, the median ROC (Joel Greenblatt) % is 11.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cumberland Pharmaceuticals's current ROC (Joel Greenblatt) % is -148.24%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cumberland Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Cumberland Pharmaceuticals (CPIX) is currently considered Significantly Overvalued. The stock's GF Value™ is $2.16, compared to a current price of $6.87 — trading 218.1% above its estimated fair value. The current ROC (Joel Greenblatt) % is -148.24%. Cumberland Pharmaceuticals' overall GF Score™ is 32/100 with 5 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 Cumberland Pharmaceuticals (CPIX), the current ROC (Joel Greenblatt) % is -148.24% 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 Cumberland Pharmaceuticals (CPIX) Overvalued in 2026?
Based on GuruFocus' analysis, Cumberland Pharmaceuticals stock appears to be overvalued.
The current stock price of $6.87 is trading 218.1% above its estimated GF Value™ of $2.16.
GuruFocus considers Cumberland Pharmaceuticals to be Significantly Overvalued.
Key valuation signals for CPIX:
ROC (Joel Greenblatt) %: -148.24%
GF Value™: $2.16 vs. price of $6.87 (218.1% above fair value)
No single metric tells the full story. See the CPIX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cumberland Pharmaceuticals Inc is a specialty pharmaceutical company focused on the acquisition, development, and commercialization of branded prescription pharmaceutical products. The Company has one operating segment, which is specialty pharmaceutical products. The company's target markets are hospital acute care, gastroenterology, rheumatology, and oncology. The firm promotes its approved products through its hospital, field, and oncology sales divisions in the United States and establishes a network of international partners to register and provide medicines to patients in their countries. Its brands include Acetadote, Caldolor, Kristalose, Sancuso, Vaprisol, and Vibativ. Geographically, the company generates revenue from China, South Korea, Russia, Mexico, Australia, and Saudi Arabia.
32GF Score
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