Torotrak (LSE:TRK) ROC (Joel Greenblatt) %: -2,752.59% (As of Mar. 2017)

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What is Torotrak ROC (Joel Greenblatt) %?

Torotrak LSE:TRK ROC (Joel Greenblatt) % is -2,752.59% as of Mar. 2017. The stock has 4 warning signs investors should review.

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. Torotrak's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2017 was -2,752.59%.

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

LSE:TRK' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -1821.04   Med: -270.19   Max: 70.14
Current: -1562.88

During the past 13 years, Torotrak's highest ROC (Joel Greenblatt) % was 70.14%. The lowest was -1821.04%. And the median was -270.19%.

LSE:TRK's ROC (Joel Greenblatt) % is not ranked
in the Vehicles & Parts industry.
Industry Median: 12.07 vs LSE:TRK: -1562.88

Torotrak's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 75.80% per year.


Torotrak  (LSE:TRK) 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.


Torotrak ROC (Joel Greenblatt) % Related Terms


Torotrak ROC (Joel Greenblatt) % Historical Data

* Premium members only.

The historical data trend for Torotrak'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.

Torotrak ROC (Joel Greenblatt) % Chart

Torotrak Annual Data
Trend Mar08 Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 Mar15 Mar16 Mar17
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -55.70 -364.50 -486.92 -923.43 -1,941.56

Torotrak Semi-Annual Data
Sep07 Mar08 Sep08 Mar09 Sep09 Mar10 Sep10 Mar11 Sep11 Mar12 Sep12 Mar13 Sep13 Mar14 Sep14 Mar15 Sep15 Mar16 Sep16 Mar17
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 -449.74 -1,071.38 -533.01 -472.48 -2,752.59

LSE:TRK vs DLPH: ROC (Joel Greenblatt) % Comparison

For the Auto Parts subindustry, Torotrak'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.


Torotrak ROC (Joel Greenblatt) % vs Vehicles & Parts Industry

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

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



Torotrak 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: Sep. 2016 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.357 + 0.176 + 1.337) - (0.596 + 0 + 0.899)
=0.375

Working Capital(Q: Mar. 2017 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.035 + 0.056 + 0.803) - (0.506 + 0 + 1.923)
=-1.535

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Torotrak for the quarter that ended in Mar. 2017 can be restated as:

ROC (Joel Greenblatt) %(Q: Mar. 2017 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2016  Q: Mar. 2017
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-35.536/( ( (1.375 + max(0.375, 0)) + (0.832 + max(-1.535, 0)) )/ 2 )
=-35.536/( ( 1.75 + 0.832 )/ 2 )
=-35.536/1.291
=-2,752.59 %

Note: The EBIT data used here is two times the semi-annual (Mar. 2017) 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 -2,752.59% mean?
Torotrak (LSE:TRK) has a ROC (Joel Greenblatt) % of -2,752.59% as of Mar. 2017. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Torotrak and its competitors.
Is Torotrak's ROC (Joel Greenblatt) % too high?
Torotrak's current ROC (Joel Greenblatt) % is -2,752.59%.
How does Torotrak's ROC (Joel Greenblatt) % compare to DLPH?
Torotrak's ROC (Joel Greenblatt) % of -2,752.59% can be compared against companies in the Vehicles & Parts industry. The industry median ROC (Joel Greenblatt) % is 12.07. 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 12.07, based on 1,331 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. 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 Torotrak and its competitors. For the Vehicles & Parts industry, the median ROC (Joel Greenblatt) % is 12.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Torotrak's current ROC (Joel Greenblatt) % is -2,752.59%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Torotrak stock overvalued right now?
Torotrak (LSE:TRK) has a current ROC (Joel Greenblatt) % of -2,752.59%. The current ROC (Joel Greenblatt) % is -2,752.59%. 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 Torotrak (LSE:TRK), the current ROC (Joel Greenblatt) % is -2,752.59% as of Mar. 2017. 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.

Torotrak Business Description

Comparable Companies LSE:SCELSE:AUTGLSE:GKNDLPH
Address 1 Aston Way, Leyland, Lancs, GBR, PR26 7UX
Torotrak PLC is a technology development company. It designs, develops and offers technologies that are focused on products, such as infinitely variable transmissions (IVTs), variable drive superchargers (V-Charge) and mechanical kinetic energy recovery systems (Flybrid). The company operates its business through the following segments, Licence Agreements, Engineering Services, and Development Activities, Including Research and The Creation of New Intellectual Property. Its Flybrid technology relates to high-speed flywheels which are used vehicles, V-Charge technology is used to control emissions in gasoline and diesel engines, and IVTs improves the performance and fuel economy of the vehicle.