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Designer BrandsDBI +0.31%71 ROC (Joel Greenblatt) % is 6.73% as of Apr. 2026, which is 22% below its 10-year median of 8.62. GuruFocus rates DBI with a GF Score™ of 71/100 and a GF Value™ of $6.75 (Fairly Valued). The stock has 6 warning signs investors should review. Among 1,062 Manufacturing - Apparel & Accessories companies, Designer Brands ranks worse than 57.82% 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. Designer Brands's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2026 was 6.73%.
The historical rank and industry rank for Designer Brands's ROC (Joel Greenblatt) % or its related term are showing as below:
DBI'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -43.43 Med: 8.62 Max: 33.88
Current: 6.27
During the past 13 years, Designer Brands's highest ROC (Joel Greenblatt) % was 33.88%. The lowest was -43.43%. And the median was 8.62%.
DBI's ROC (Joel Greenblatt) % is ranked worse than 57.82% of 1062
companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 8.62
vs DBI: 6.27
Designer Brands's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% 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.
Designer Brands ROC (Joel Greenblatt) % Related Terms
Designer Brands ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for Designer Brands'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.
DBI vs FWDI, RCKY, FOSL: ROC (Joel Greenblatt) % Comparison
For the Footwear & Accessories subindustry, Designer Brands'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.
Designer Brands ROC (Joel Greenblatt) % vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Designer Brands's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Designer Brands'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 (Apr. 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 6.73% mean?
Designer Brands (DBI) has a ROC (Joel Greenblatt) % of 6.73% as of Apr. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Designer Brands and its competitors. This is 22% below median its historical median of 8.62. According to the industry distribution chart, Designer Brands ranks #614 out of 1062 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 57.8%.
Is Designer Brands' ROC (Joel Greenblatt) % too high?
Designer Brands' current ROC (Joel Greenblatt) % of 6.73% is 22% below median its 10-year median of 8.62. The Manufacturing - Apparel & Accessories industry median ROC (Joel Greenblatt) % is 8.62. Designer Brands' value of 6.73% is 21.9% below this industry median. Based on the distribution chart, Designer Brands ranks #614 out of 1062 companies in the Manufacturing - Apparel & Accessories industry, which is below the industry midpoint. Overall, Designer Brands has a GF Score™ of 71/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Designer Brands' ROC (Joel Greenblatt) % compare to FWDI and RCKY?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Designer Brands ranks #614 out of 1062 companies for ROC (Joel Greenblatt) %. This places Designer Brands in the lower half of its industry. The industry median ROC (Joel Greenblatt) % is 8.62. Designer Brands' value of 6.73% is 21.9% below this benchmark. While the company's 10-year median is 8.62 vs. the industry median of 8.62, Designer Brands has consistently been below 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 Manufacturing - Apparel & Accessories company?
The median ROC (Joel Greenblatt) % among Manufacturing - Apparel & Accessories companies is 8.62, based on 1,062 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. Designer Brands's current ROC (Joel Greenblatt) % of 6.73% is 21.9% below 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 Designer Brands and its competitors. For the Manufacturing - Apparel & Accessories industry, the median ROC (Joel Greenblatt) % is 8.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Designer Brands's current ROC (Joel Greenblatt) % is 6.73%, which is 22% below median its own 10-year median of 8.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Designer Brands stock overvalued right now?
Based on GuruFocus' analysis, Designer Brands (DBI) is currently considered Fairly Valued. The stock's GF Value™ is $6.75, compared to a current price of $6.57 — trading 2.7% below its estimated fair value. The current ROC (Joel Greenblatt) % is 6.73%, which is 22% below median its 10-year median of 8.62 and 21.9% below the Manufacturing - Apparel & Accessories industry median of 8.62. Designer Brands' overall GF Score™ is 71/100 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 Designer Brands (DBI), the current ROC (Joel Greenblatt) % is 6.73% as of Apr. 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 Designer Brands (DBI) Overvalued in 2026?
Based on GuruFocus' analysis, Designer Brands stock appears to be undervalued.
The current stock price of $6.57 is trading 2.7% below its estimated GF Value™ of $6.75.
GuruFocus considers Designer Brands to be Fairly Valued.
Key valuation signals for DBI:
ROC (Joel Greenblatt) %: 6.73% (22% below median its 10-year median of 8.62)
GF Value™: $6.75 vs. price of $6.57 (2.7% below fair value)
Industry Position: 21.9% below the Manufacturing - Apparel & Accessories median (#614 of 1062)
No single metric tells the full story. See the DBI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Designer Brands Inc is a designer, producer, and retailer of footwear and accessories. The company operates in two reportable segments: the Retail segment and the Brand Portfolio segment. The Retail segment, which derives key revenue, operates the DSW Designer Shoe Warehouse ("DSW") banner through its direct-to-consumer stores and e-commerce sites in the United States ("U.S.") and Canada, and the Shoe Co. and Rubino banners through its direct-to-consumer stores and e-commerce sites in Canada. The Brand Portfolio segment principally earns revenue from the wholesale of its exclusive and licensed brands to retailers, its Retail segment, and international distributors, and the sale of its Vince Camuto, Keds, and Topo brands through direct-to-consumer e-commerce sites.
71GF Score
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