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James Hardie IndustriesFRA:JHA +0.89%70 ROC (Joel Greenblatt) % is 11.85% as of Mar. 2026, which is 59% below its 10-year median of 28.96. GuruFocus rates FRA:JHA with a GF Score™ of 70/100. The stock has 8 warning signs investors should review. Among 408 Building Materials companies, James Hardie Industries ranks better than 62.75% 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. James Hardie Industries's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 11.85%.
The historical rank and industry rank for James Hardie Industries's ROC (Joel Greenblatt) % or its related term are showing as below:
FRA:JHA'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 13.44 Med: 28.96 Max: 43.91
Current: 13.44
During the past 13 years, James Hardie Industries's highest ROC (Joel Greenblatt) % was 43.91%. The lowest was 13.44%. And the median was 28.96%.
FRA:JHA's ROC (Joel Greenblatt) % is ranked better than 62.75% of 408
companies
in the Building Materials industry
Industry Median: 8.6
vs FRA:JHA: 13.44
James Hardie Industries's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was -14.70% per year.
James Hardie Industries (FRA:JHA) 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.
James Hardie Industries ROC (Joel Greenblatt) % Related Terms
James Hardie Industries ROC (Joel Greenblatt) % Historical Data
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The historical data trend for James Hardie Industries'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.
James Hardie Industries ROC (Joel Greenblatt) % Chart
FRA:JHA vs EXP, KNF, TTAM: ROC (Joel Greenblatt) % Comparison
For the Building Materials subindustry, James Hardie Industries'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.
James Hardie Industries ROC (Joel Greenblatt) % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, James Hardie Industries's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where James Hardie Industries's ROC (Joel Greenblatt) % falls into.
James Hardie Industries 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 (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 11.85% mean?
James Hardie Industries (FRA:JHA) has a ROC (Joel Greenblatt) % of 11.85% 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 James Hardie Industries and its competitors. This is 59% below median its historical median of 28.96. Over the past decade, James Hardie Industries' ROC (Joel Greenblatt) % has ranged from 13.44 to 43.91. According to the industry distribution chart, James Hardie Industries ranks #152 out of 408 companies in the Building Materials industry, placing it in the top 37.3%.
Is James Hardie Industries' ROC (Joel Greenblatt) % too high?
James Hardie Industries' current ROC (Joel Greenblatt) % of 11.85% is 59% below median its 10-year median of 28.96. Over the past 10 years, this metric has ranged from a low of 13.44 to a high of 43.91. The Building Materials industry median ROC (Joel Greenblatt) % is 8.60. James Hardie Industries' value of 11.85% is 37.8% above this industry median. Based on the distribution chart, James Hardie Industries ranks #152 out of 408 companies in the Building Materials industry, which is above the industry midpoint. Overall, James Hardie Industries has a GF Score™ of 70/100, reflecting its overall financial health beyond just this single metric.
How does James Hardie Industries' ROC (Joel Greenblatt) % compare to EXP and KNF?
According to the Building Materials industry distribution chart, James Hardie Industries ranks #152 out of 408 companies for ROC (Joel Greenblatt) %. This puts James Hardie Industries in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 8.60. James Hardie Industries' value of 11.85% is 37.8% above this benchmark. Historically, James Hardie Industries' own ROC (Joel Greenblatt) % has ranged from 13.44 to 43.91 over the past decade. While the company's 10-year median is 28.96 vs. the industry median of 8.60, James Hardie Industries 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 Building Materials company?
The median ROC (Joel Greenblatt) % among Building Materials companies is 8.60, based on 408 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. James Hardie Industries's current ROC (Joel Greenblatt) % of 11.85% is 37.8% 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 James Hardie Industries and its competitors. For the Building Materials industry, the median ROC (Joel Greenblatt) % is 8.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. James Hardie Industries's current ROC (Joel Greenblatt) % is 11.85%, which is 59% below median its own 10-year median of 28.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is James Hardie Industries stock overvalued right now?
James Hardie Industries (FRA:JHA) has a current ROC (Joel Greenblatt) % of 11.85%. The current ROC (Joel Greenblatt) % is 11.85%, which is 59% below median its 10-year median of 28.96 and 37.8% above the Building Materials industry median of 8.60. James Hardie Industries' overall GF Score™ is 70/100 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 James Hardie Industries (FRA:JHA), the current ROC (Joel Greenblatt) % is 11.85% 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.
James Hardie is a manufacturer of fiber cement-based building products, selling primarily to the residential construction industry. North America is the primary geography, generating about 80% of group earnings. Here, it is the largest manufacturer of fiber cement, which is mainly used for exterior siding on houses. Following the Azek acquisition in 2025, it also produces wooden composite decking materials, siding trims, and accessories for outdoor areas including stair and deck railing. Businesses in Australia, New Zealand, and Europe, make up the rest of earnings.
70GF Score
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