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VTech HoldingsFRA:VTCB +6.90%81 ROC (Joel Greenblatt) % is 35.07% as of Mar. 2026, which is 38% below its 10-year median of 56.78. GuruFocus rates FRA:VTCB with a GF Score™ of 81/100 and a GF Value™ of €5.89 (Fairly Valued). The stock has 3 warning signs investors should review. Among 2,494 Hardware companies, VTech Holdings ranks better than 84.92% 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. VTech Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 35.07%.
The historical rank and industry rank for VTech Holdings's ROC (Joel Greenblatt) % or its related term are showing as below:
FRA:VTCB'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 34.24 Med: 56.78 Max: 96.56
Current: 42.87
During the past 13 years, VTech Holdings's highest ROC (Joel Greenblatt) % was 96.56%. The lowest was 34.24%. And the median was 56.78%.
FRA:VTCB's ROC (Joel Greenblatt) % is ranked better than 84.92% of 2494
companies
in the Hardware industry
Industry Median: 10.42
vs FRA:VTCB: 42.87
VTech Holdings's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.70% 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.
VTech Holdings ROC (Joel Greenblatt) % Related Terms
VTech Holdings ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for VTech Holdings'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.
FRA:VTCB vs CSCO, CIEN, MSI: ROC (Joel Greenblatt) % Comparison
For the Communication Equipment subindustry, VTech Holdings'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.
VTech Holdings ROC (Joel Greenblatt) % vs Hardware Industry
For the Hardware industry and Technology sector, VTech Holdings's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where VTech Holdings'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 two times the semi-annual (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 35.07% mean?
VTech Holdings (FRA:VTCB) has a ROC (Joel Greenblatt) % of 35.07% 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 VTech Holdings and its competitors. This is 38% below median its historical median of 56.78. Over the past decade, VTech Holdings' ROC (Joel Greenblatt) % has ranged from 34.24 to 96.56. According to the industry distribution chart, VTech Holdings ranks #376 out of 2494 companies in the Hardware industry, placing it in the top 15.1%.
Is VTech Holdings' ROC (Joel Greenblatt) % too high?
VTech Holdings' current ROC (Joel Greenblatt) % of 35.07% is 38% below median its 10-year median of 56.78. Over the past 10 years, this metric has ranged from a low of 34.24 to a high of 96.56. The Hardware industry median ROC (Joel Greenblatt) % is 10.42. VTech Holdings' value of 35.07% is 236.6% above this industry median. Based on the distribution chart, VTech Holdings ranks #376 out of 2494 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, VTech Holdings has a GF Score™ of 81/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does VTech Holdings' ROC (Joel Greenblatt) % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, VTech Holdings ranks #376 out of 2494 companies for ROC (Joel Greenblatt) %. This places VTech Holdings in the top 15% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 10.42. VTech Holdings' value of 35.07% is 236.6% above this benchmark. Historically, VTech Holdings' own ROC (Joel Greenblatt) % has ranged from 34.24 to 96.56 over the past decade. While the company's 10-year median is 56.78 vs. the industry median of 10.42, VTech Holdings 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 Hardware company?
The median ROC (Joel Greenblatt) % among Hardware companies is 10.42, based on 2,494 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. VTech Holdings's current ROC (Joel Greenblatt) % of 35.07% is 236.6% 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 VTech Holdings and its competitors. For the Hardware industry, the median ROC (Joel Greenblatt) % is 10.42 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. VTech Holdings's current ROC (Joel Greenblatt) % is 35.07%, which is 38% below median its own 10-year median of 56.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is VTech Holdings stock overvalued right now?
Based on GuruFocus' analysis, VTech Holdings (FRA:VTCB) is currently considered Fairly Valued. The stock's GF Value™ is €5.89, compared to a current price of €6.20 — trading 5.3% above its estimated fair value. The current ROC (Joel Greenblatt) % is 35.07%, which is 38% below median its 10-year median of 56.78 and 236.6% above the Hardware industry median of 10.42. VTech Holdings' 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 VTech Holdings (FRA:VTCB), the current ROC (Joel Greenblatt) % is 35.07% 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 VTech Holdings (FRA:VTCB) Overvalued in 2026?
Based on GuruFocus' analysis, VTech Holdings stock appears to be overvalued.
The current stock price of €6.20 is trading 5.3% above its estimated GF Value™ of €5.89.
GuruFocus considers VTech Holdings to be Fairly Valued.
Key valuation signals for FRA:VTCB:
ROC (Joel Greenblatt) %: 35.07% (38% below median its 10-year median of 56.78)
GF Value™: €5.89 vs. price of €6.20 (5.3% above fair value)
Industry Position: 236.6% above the Hardware median (#376 of 2494)
No single metric tells the full story. See the FRA:VTCB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
VTech Holdings Ltd is engaged in the designing, manufacturing, and distribution of consumer electronic products. It also provides contract manufacturing services. The company's diverse collection of products includes Telephone Products, Business Phones, Electronic Learning Toys, Baby Monitors, and Hospitality Products. In addition, it offers turnkey services to customers in several product categories. The company operates through four reportable segments: North America, (including the United States and Canada), Europe, Asia Pacific, and Others, which covers sales of electronic products to the rest of the world. It generates maximum revenue from Europe.
81GF Score
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