Group 1 Automotive (FRA:GAV) ROC (Joel Greenblatt) %: 17.95% (As of Mar. 2026) — 21% Above Median

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FRA:GAV Group 1 Automotive Inc FRA:GAV
81 GF Score
Price €288.00
GF Value €373.35
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Group 1 Automotive ROC (Joel Greenblatt) %?

Group 1 Automotive FRA:GAV +10.77% 81 ROC (Joel Greenblatt) % is 17.95% as of Mar. 2026, which is 21% above its 10-year median of 14.81. GuruFocus rates FRA:GAV with a GF Score™ of 81/100 and a GF Value™ of €373.35 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,332 Vehicles & Parts companies, Group 1 Automotive ranks better than 54.88% 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. Group 1 Automotive's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 17.95%.

The historical rank and industry rank for Group 1 Automotive's ROC (Joel Greenblatt) % or its related term are showing as below:

FRA:GAV' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 11.71   Med: 14.81   Max: 35.37
Current: 13.94

During the past 13 years, Group 1 Automotive's highest ROC (Joel Greenblatt) % was 35.37%. The lowest was 11.71%. And the median was 14.81%.

FRA:GAV's ROC (Joel Greenblatt) % is ranked better than
54.88% of 1332 companies
in the Vehicles & Parts industry
Industry Median: 11.97 vs FRA:GAV: 13.94

Group 1 Automotive's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was -6.30% per year.


Group 1 Automotive  (FRA:GAV) 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.

Joel Greenblatt uses his definition of Return on Capital and Earnings Yield (Joel Greenblatt) % to rank companies.


Group 1 Automotive ROC (Joel Greenblatt) % Related Terms


Group 1 Automotive ROC (Joel Greenblatt) % Historical Data

* Premium members only.

The historical data trend for Group 1 Automotive'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.

Group 1 Automotive ROC (Joel Greenblatt) % Chart

Group 1 Automotive Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 32.00 36.44 26.10 20.27 13.09

Group 1 Automotive Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROC (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 18.18 19.03 7.99 10.17 17.95

FRA:GAV vs ABG, CARG, SAH: ROC (Joel Greenblatt) % Comparison

For the Auto & Truck Dealerships subindustry, Group 1 Automotive'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.


Group 1 Automotive ROC (Joel Greenblatt) % vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Group 1 Automotive's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Group 1 Automotive's ROC (Joel Greenblatt) % falls into.


FRA:GAV
81GF Score
Group 1 Automotive Inc FRA:GAV
ROC (Joel Greenblatt) % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Group 1 Automotive 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:

ROC (Joel Greenblatt) %=EBIT/Average of (Net fixed Assets + Net Working Capital)

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.

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(263.374 + 2341.07 + 216.916) - (994.739 + 0 + 32.793)
=1793.828

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(300.414 + 2359.547 + 50.862) - (992.587 + 0 + 0)
=1718.236

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Group 1 Automotive for the quarter that ended in Mar. 2026 can be restated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=839.396/( ( (2915.044 + max(1793.828, 0)) + (2923.7 + max(1718.236, 0)) )/ 2 )
=839.396/( ( 4708.872 + 4641.936 )/ 2 )
=839.396/4675.404
=17.95 %

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 17.95% mean?
Group 1 Automotive (FRA:GAV) has a ROC (Joel Greenblatt) % of 17.95% 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 Group 1 Automotive and its competitors. This is 21% above median its historical median of 14.81. Over the past decade, Group 1 Automotive's ROC (Joel Greenblatt) % has ranged from 11.71 to 35.37. According to the industry distribution chart, Group 1 Automotive ranks #601 out of 1332 companies in the Vehicles & Parts industry, placing it in the top 45.1%.
Is Group 1 Automotive's ROC (Joel Greenblatt) % too high?
Group 1 Automotive's current ROC (Joel Greenblatt) % of 17.95% is 21% above median its 10-year median of 14.81. Over the past 10 years, this metric has ranged from a low of 11.71 to a high of 35.37. The Vehicles & Parts industry median ROC (Joel Greenblatt) % is 11.97. Group 1 Automotive's value of 17.95% is 50% above this industry median. Based on the distribution chart, Group 1 Automotive ranks #601 out of 1332 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, Group 1 Automotive has a GF Score™ of 81/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Group 1 Automotive's ROC (Joel Greenblatt) % compare to ABG and CARG?
According to the Vehicles & Parts industry distribution chart, Group 1 Automotive ranks #601 out of 1332 companies for ROC (Joel Greenblatt) %. This puts Group 1 Automotive in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 11.97. Group 1 Automotive's value of 17.95% is 50% above this benchmark. Historically, Group 1 Automotive's own ROC (Joel Greenblatt) % has ranged from 11.71 to 35.37 over the past decade. While the company's 10-year median is 14.81 vs. the industry median of 11.97, Group 1 Automotive 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 Vehicles & Parts company?
The median ROC (Joel Greenblatt) % among Vehicles & Parts companies is 11.97, based on 1,332 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. Group 1 Automotive's current ROC (Joel Greenblatt) % of 17.95% is 50% 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 Group 1 Automotive and its competitors. For the Vehicles & Parts industry, the median ROC (Joel Greenblatt) % is 11.97 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Group 1 Automotive's current ROC (Joel Greenblatt) % is 17.95%, which is 21% above median its own 10-year median of 14.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Group 1 Automotive stock overvalued right now?
Based on GuruFocus' analysis, Group 1 Automotive (FRA:GAV) is currently considered Modestly Undervalued. The stock's GF Value™ is €373.35, compared to a current price of €288.00 — trading 22.9% below its estimated fair value. The current ROC (Joel Greenblatt) % is 17.95%, which is 21% above median its 10-year median of 14.81 and 50% above the Vehicles & Parts industry median of 11.97. Group 1 Automotive's overall GF Score™ is 81/100 with 3 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 Group 1 Automotive (FRA:GAV), the current ROC (Joel Greenblatt) % is 17.95% 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 Group 1 Automotive (FRA:GAV) Overvalued in 2026?

Based on GuruFocus' analysis, Group 1 Automotive stock appears to be undervalued. The current stock price of €288.00 is trading 22.9% below its estimated GF Value™ of €373.35. GuruFocus considers Group 1 Automotive to be Modestly Undervalued.

Key valuation signals for FRA:GAV:

  • ROC (Joel Greenblatt) %: 17.95% (21% above median its 10-year median of 14.81)
  • GF Value™: €373.35 vs. price of €288.00 (22.9% below fair value)
  • GF Score™: 81/100 with 3 warning signs
  • Industry Position: 50% above the Vehicles & Parts median (#601 of 1332)

No single metric tells the full story. See the FRA:GAV stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Group 1 Automotive Business Description

Other Exchanges GPI:USAGAV:Germany
Address 730 Town and Country boulevard, Suite 500, Houston, TX, USA, 77024
Group 1 owns and operates 32 collision centers and 253 automotive dealerships in the US and the UK, offering 36 brands of automobiles altogether. Slightly over half of the stores are in the US with locations mostly in metropolitan areas in 17 states in the Northeast, Southeast, Midwest, and California. Texas alone contributed 31.6% of new-vehicle unit volume in 2025 and the UK 27.6%. Texas, Massachusetts, and California combined was 45.4%. Revenue in 2025 totaled $22.6 billion. The firm entered the UK in 2007 and has 110 stores there contributing about 26% of total revenue. Group 1 was founded in 1995 and is based in Houston.
81GF Score

Get the complete analysis for FRA:GAV

ROC (Joel Greenblatt) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€288.00
Price
€373.35
GF Value