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MSC Industrial Direct CoFRA:98M +0.93%80 ROC (Joel Greenblatt) % is 36.54% as of May. 2026, which is 7% above its 10-year median of 34.08. GuruFocus rates FRA:98M with a GF Score™ of 80/100 and a GF Value™ of €79.51 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 158 Industrial Distribution companies, MSC Industrial Direct Co ranks better than 74.68% 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. MSC Industrial Direct Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2026 was 36.54%.
The historical rank and industry rank for MSC Industrial Direct Co's ROC (Joel Greenblatt) % or its related term are showing as below:
FRA:98M'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 23.94 Med: 34.08 Max: 37.78
Current: 27.18
During the past 13 years, MSC Industrial Direct Co's highest ROC (Joel Greenblatt) % was 37.78%. The lowest was 23.94%. And the median was 34.08%.
FRA:98M's ROC (Joel Greenblatt) % is ranked better than 74.68% of 158
companies
in the Industrial Distribution industry
Industry Median: 14.895
vs FRA:98M: 27.18
MSC Industrial Direct Co's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was -1.00% per year.
MSC Industrial Direct Co (FRA:98M) 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.
MSC Industrial Direct Co ROC (Joel Greenblatt) % Related Terms
MSC Industrial Direct Co ROC (Joel Greenblatt) % Historical Data
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The historical data trend for MSC Industrial Direct Co'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.
MSC Industrial Direct Co ROC (Joel Greenblatt) % Chart
FRA:98M vs POOL, XMTR, SITE: ROC (Joel Greenblatt) % Comparison
For the Industrial Distribution subindustry, MSC Industrial Direct Co'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.
MSC Industrial Direct Co ROC (Joel Greenblatt) % vs Industrial Distribution Industry
For the Industrial Distribution industry and Industrials sector, MSC Industrial Direct Co's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where MSC Industrial Direct Co's ROC (Joel Greenblatt) % falls into.
MSC Industrial Direct Co 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 four times the quarterly (May. 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 36.54% mean?
MSC Industrial Direct Co (FRA:98M) has a ROC (Joel Greenblatt) % of 36.54% as of May. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on MSC Industrial Direct Co and its competitors. This is near median its historical median of 34.08. Over the past decade, MSC Industrial Direct Co's ROC (Joel Greenblatt) % has ranged from 23.94 to 37.78. According to the industry distribution chart, MSC Industrial Direct Co ranks #40 out of 158 companies in the Industrial Distribution industry, placing it in the top 25.3%.
Is MSC Industrial Direct Co's ROC (Joel Greenblatt) % too high?
MSC Industrial Direct Co's current ROC (Joel Greenblatt) % of 36.54% is near median its 10-year median of 34.08. Over the past 10 years, this metric has ranged from a low of 23.94 to a high of 37.78. The Industrial Distribution industry median ROC (Joel Greenblatt) % is 14.90. MSC Industrial Direct Co's value of 36.54% is 145.3% above this industry median. Based on the distribution chart, MSC Industrial Direct Co ranks #40 out of 158 companies in the Industrial Distribution industry, which is above the industry midpoint. Overall, MSC Industrial Direct Co has a GF Score™ of 80/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does MSC Industrial Direct Co's ROC (Joel Greenblatt) % compare to POOL and XMTR?
According to the Industrial Distribution industry distribution chart, MSC Industrial Direct Co ranks #40 out of 158 companies for ROC (Joel Greenblatt) %. This puts MSC Industrial Direct Co in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 14.90. MSC Industrial Direct Co's value of 36.54% is 145.3% above this benchmark. Historically, MSC Industrial Direct Co's own ROC (Joel Greenblatt) % has ranged from 23.94 to 37.78 over the past decade. While the company's 10-year median is 34.08 vs. the industry median of 14.90, MSC Industrial Direct Co 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 an Industrial Distribution company?
The median ROC (Joel Greenblatt) % among Industrial Distribution companies is 14.90, based on 158 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. MSC Industrial Direct Co's current ROC (Joel Greenblatt) % of 36.54% is 145.3% 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 MSC Industrial Direct Co and its competitors. For the Industrial Distribution industry, the median ROC (Joel Greenblatt) % is 14.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. MSC Industrial Direct Co's current ROC (Joel Greenblatt) % is 36.54%, which is near median its own 10-year median of 34.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MSC Industrial Direct Co stock overvalued right now?
Based on GuruFocus' analysis, MSC Industrial Direct Co (FRA:98M) is currently considered Significantly Overvalued. The stock's GF Value™ is €79.51, compared to a current price of €108.20 — trading 36.1% above its estimated fair value. The current ROC (Joel Greenblatt) % is 36.54%, which is near median its 10-year median of 34.08 and 145.3% above the Industrial Distribution industry median of 14.90. MSC Industrial Direct Co's overall GF Score™ is 80/100 with 8 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 MSC Industrial Direct Co (FRA:98M), the current ROC (Joel Greenblatt) % is 36.54% as of May. 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 MSC Industrial Direct Co (FRA:98M) Overvalued in 2026?
Based on GuruFocus' analysis, MSC Industrial Direct Co stock appears to be overvalued.
The current stock price of €108.20 is trading 36.1% above its estimated GF Value™ of €79.51.
GuruFocus considers MSC Industrial Direct Co to be Significantly Overvalued.
Key valuation signals for FRA:98M:
ROC (Joel Greenblatt) %: 36.54% (near median its 10-year median of 34.08)
GF Value™: €79.51 vs. price of €108.20 (36.1% above fair value)
Industry Position: 145.3% above the Industrial Distribution median (#40 of 158)
No single metric tells the full story. See the FRA:98M stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1941, MSC Industrial Direct originally manufactured and sold cutting tools to metalworking shops in New York. Through a series of acquisitions and organic expansions, MSC has grown into an industrial distribution powerhouse with a focus on specialized metalworking products and services. The firm also distributes a wide breadth of maintenance, repair, and operations supplies. MSC primarily operates in North America, where it derives over 95% of its revenue.
80GF Score
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