Labcorp HoldingsLH -0.19%78 ROC (Joel Greenblatt) % is 34.02% as of Mar. 2026, which is 41% below its 10-year median of 57.47. GuruFocus rates LH with a GF Score™ of 78/100 and a GF Value™ of $272.01 (Fairly Valued). The stock has 6 warning signs investors should review. Among 212 Medical Diagnostics & Research companies, Labcorp Holdings ranks better than 80.19% 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. Labcorp Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 34.02%.
The historical rank and industry rank for Labcorp Holdings's ROC (Joel Greenblatt) % or its related term are showing as below:
LH'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 18.79 Med: 57.47 Max: 90.27
Current: 30.99
During the past 13 years, Labcorp Holdings's highest ROC (Joel Greenblatt) % was 90.27%. The lowest was 18.79%. And the median was 57.47%.
LH's ROC (Joel Greenblatt) % is ranked better than 80.19% of 212
companies
in the Medical Diagnostics & Research industry
Industry Median: -2.815
vs LH: 30.99
Labcorp Holdings's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was -21.50% 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.
Labcorp Holdings ROC (Joel Greenblatt) % Related Terms
Labcorp Holdings ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for Labcorp 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.
LH vs DGX, GH, MTD: ROC (Joel Greenblatt) % Comparison
For the Diagnostics & Research subindustry, Labcorp 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.
Labcorp Holdings ROC (Joel Greenblatt) % vs Medical Diagnostics & Research Industry
For the Medical Diagnostics & Research industry and Healthcare sector, Labcorp Holdings's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Labcorp 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 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 34.02% mean?
Labcorp Holdings (LH) has a ROC (Joel Greenblatt) % of 34.02% 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 Labcorp Holdings and its competitors. This is 41% below median its historical median of 57.47. Over the past decade, Labcorp Holdings' ROC (Joel Greenblatt) % has ranged from 18.79 to 90.27. According to the industry distribution chart, Labcorp Holdings ranks #42 out of 212 companies in the Medical Diagnostics & Research industry, placing it in the top 19.8%.
Is Labcorp Holdings' ROC (Joel Greenblatt) % too high?
Labcorp Holdings' current ROC (Joel Greenblatt) % of 34.02% is 41% below median its 10-year median of 57.47. Over the past 10 years, this metric has ranged from a low of 18.79 to a high of 90.27. Based on the distribution chart, Labcorp Holdings ranks #42 out of 212 companies in the Medical Diagnostics & Research industry, which is in the top quartile — a strong position relative to peers. Overall, Labcorp Holdings has a GF Score™ of 78/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Labcorp Holdings' ROC (Joel Greenblatt) % compare to DGX and GH?
According to the Medical Diagnostics & Research industry distribution chart, Labcorp Holdings ranks #42 out of 212 companies for ROC (Joel Greenblatt) %. This places Labcorp Holdings in the top 20% of its industry — outperforming the majority of peers. Historically, Labcorp Holdings' own ROC (Joel Greenblatt) % has ranged from 18.79 to 90.27 over the past decade. 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 Diagnostics & Research company?
A good ROC (Joel Greenblatt) % depends on the Medical Diagnostics & Research industry context. However, ROC (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. 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 Labcorp Holdings and its competitors. Labcorp Holdings's current ROC (Joel Greenblatt) % is 34.02%, which is 41% below median its own 10-year median of 57.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Labcorp Holdings stock overvalued right now?
Based on GuruFocus' analysis, Labcorp Holdings (LH) is currently considered Fairly Valued. The stock's GF Value™ is $272.01, compared to a current price of $283.86 — trading 4.4% above its estimated fair value. The current ROC (Joel Greenblatt) % is 34.02%, which is 41% below median its 10-year median of 57.47. Labcorp Holdings' overall GF Score™ is 78/100 with 6 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 Labcorp Holdings (LH), the current ROC (Joel Greenblatt) % is 34.02% 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 Labcorp Holdings (LH) Overvalued in 2026?
Based on GuruFocus' analysis, Labcorp Holdings stock appears to be overvalued.
The current stock price of $283.86 is trading 4.4% above its estimated GF Value™ of $272.01.
GuruFocus considers Labcorp Holdings to be Fairly Valued.
Key valuation signals for LH:
ROC (Joel Greenblatt) %: 34.02% (41% below median its 10-year median of 57.47)
GF Value™: $272.01 vs. price of $283.86 (4.4% above fair value)
No single metric tells the full story. See the LH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Labcorp is one of the nation's two largest independent clinical laboratories, with roughly 20% of the independent lab market. The company operates approximately 2,000 patient-service centers, offering a broad range of 5,000 clinical lab tests, ranging from uncomplicated routine blood and urine screens to complex oncology and genomic testing.
78GF Score
Get the complete analysis for LH
ROC (Joel Greenblatt) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
LH has been successfully added to your 
