Merit Medical SystemsFRA:MM3 +4.07%86 ROC (Joel Greenblatt) % is 27.34% as of Mar. 2026, which is 150% above its 10-year median of 10.92. GuruFocus rates FRA:MM3 with a GF Score™ of 86/100 and a GF Value™ of €84.08 (Modestly Undervalued). Among 839 Medical Devices & Instruments companies, Merit Medical Systems ranks better than 75.8% 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. Merit Medical Systems's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 27.34%.
The historical rank and industry rank for Merit Medical Systems's ROC (Joel Greenblatt) % or its related term are showing as below:
FRA:MM3'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -0.48 Med: 10.92 Max: 24.71
Current: 24.71
During the past 13 years, Merit Medical Systems's highest ROC (Joel Greenblatt) % was 24.71%. The lowest was -0.48%. And the median was 10.92%.
FRA:MM3's ROC (Joel Greenblatt) % is ranked better than 75.8% of 839
companies
in the Medical Devices & Instruments industry
Industry Median: 3.94
vs FRA:MM3: 24.71
Merit Medical Systems's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.
Merit Medical Systems (FRA:MM3) 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.
Merit Medical Systems ROC (Joel Greenblatt) % Related Terms
Merit Medical Systems ROC (Joel Greenblatt) % Historical Data
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The historical data trend for Merit Medical Systems'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.
Merit Medical Systems ROC (Joel Greenblatt) % Chart
FRA:MM3 vs NVST, MMED, ICUI: ROC (Joel Greenblatt) % Comparison
For the Medical Instruments & Supplies subindustry, Merit Medical Systems'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.
Merit Medical Systems ROC (Joel Greenblatt) % vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Merit Medical Systems's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Merit Medical Systems's ROC (Joel Greenblatt) % falls into.
Merit Medical Systems 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 27.34% mean?
Merit Medical Systems (FRA:MM3) has a ROC (Joel Greenblatt) % of 27.34% 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 Merit Medical Systems and its competitors. This is 150% above median its historical median of 10.92. According to the industry distribution chart, Merit Medical Systems ranks #203 out of 839 companies in the Medical Devices & Instruments industry, placing it in the top 24.2%.
Is Merit Medical Systems' ROC (Joel Greenblatt) % too high?
Merit Medical Systems' current ROC (Joel Greenblatt) % of 27.34% is 150% above median its 10-year median of 10.92. The Medical Devices & Instruments industry median ROC (Joel Greenblatt) % is 3.94. Merit Medical Systems' value of 27.34% is 593.9% above this industry median. Based on the distribution chart, Merit Medical Systems ranks #203 out of 839 companies in the Medical Devices & Instruments industry, which is in the top quartile — a strong position relative to peers. Overall, Merit Medical Systems has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Merit Medical Systems' ROC (Joel Greenblatt) % compare to NVST and MMED?
According to the Medical Devices & Instruments industry distribution chart, Merit Medical Systems ranks #203 out of 839 companies for ROC (Joel Greenblatt) %. This places Merit Medical Systems in the top 24% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 3.94. Merit Medical Systems' value of 27.34% is 593.9% above this benchmark. While the company's 10-year median is 10.92 vs. the industry median of 3.94, Merit Medical Systems 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 Medical Devices & Instruments company?
The median ROC (Joel Greenblatt) % among Medical Devices & Instruments companies is 3.94, based on 839 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. Merit Medical Systems's current ROC (Joel Greenblatt) % of 27.34% is 593.9% 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 Merit Medical Systems and its competitors. For the Medical Devices & Instruments industry, the median ROC (Joel Greenblatt) % is 3.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Merit Medical Systems's current ROC (Joel Greenblatt) % is 27.34%, which is 150% above median its own 10-year median of 10.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Merit Medical Systems stock overvalued right now?
Based on GuruFocus' analysis, Merit Medical Systems (FRA:MM3) is currently considered Modestly Undervalued. The stock's GF Value™ is €84.08, compared to a current price of €64.00 — trading 23.9% below its estimated fair value. The current ROC (Joel Greenblatt) % is 27.34%, which is 150% above median its 10-year median of 10.92 and 593.9% above the Medical Devices & Instruments industry median of 3.94. Merit Medical Systems' overall GF Score™ is 86/100. 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 Merit Medical Systems (FRA:MM3), the current ROC (Joel Greenblatt) % is 27.34% 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 Merit Medical Systems (FRA:MM3) Overvalued in 2026?
Based on GuruFocus' analysis, Merit Medical Systems stock appears to be undervalued.
The current stock price of €64.00 is trading 23.9% below its estimated GF Value™ of €84.08.
GuruFocus considers Merit Medical Systems to be Modestly Undervalued.
Key valuation signals for FRA:MM3:
ROC (Joel Greenblatt) %: 27.34% (150% above median its 10-year median of 10.92)
GF Value™: €84.08 vs. price of €64.00 (23.9% below fair value)
Industry Position: 593.9% above the Medical Devices & Instruments median (#203 of 839)
No single metric tells the full story. See the FRA:MM3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Merit Medical Systems Inc is a medical equipment company that develops and manufactures products for interventional cardiology, radiology, and endoscopy procedures. The firm reports two segments which are Cardiovascular and Endoscopy. The majority of the revenue is earned from the Cardiovascular segment which consists of cardiology and radiology medical device products that assist in diagnosing and treating coronary artery disease, peripheral vascular disease, and other non-vascular diseases and includes embolotherapeutic, cardiac rhythm management, electrophysiology, critical care, and interventional oncology and spine devices.
86GF Score
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