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. Bright Horizons Family Solutions's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 20.90%.
The historical rank and industry rank for Bright Horizons Family Solutions's ROC (Joel Greenblatt) % or its related term are showing as below:
MEX:BFAM'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 3.97 Med: 21.61 Max: 40.79
Current: 24.68
During the past 13 years, Bright Horizons Family Solutions's highest ROC (Joel Greenblatt) % was 40.79%. The lowest was 3.97%. And the median was 21.61%.
MEX:BFAM's ROC (Joel Greenblatt) % is ranked better than 70.41% of 98
companies
in the Personal Services industry
Industry Median: 13.02
vs MEX:BFAM: 24.68
Bright Horizons Family Solutions (MEX:BFAM) 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.
* 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.
Bright Horizons Family Solutions ROC (Joel Greenblatt) % Chart
MEX:BFAM vs ANDG, HRB, FTDR: ROC (Joel Greenblatt) % Comparison
For the Personal Services subindustry, Bright Horizons Family Solutions'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.
Bright Horizons Family Solutions ROC (Joel Greenblatt) % vs Personal Services Industry
For the Personal Services industry and Consumer Cyclical sector, Bright Horizons Family Solutions's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Bright Horizons Family Solutions's ROC (Joel Greenblatt) % falls into.
Bright Horizons Family Solutions 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 20.90% mean?
Bright Horizons Family Solutions (MEX:BFAM) has a ROC (Joel Greenblatt) % of 20.90% 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 Bright Horizons Family Solutions and its competitors. This is near median its historical median of 21.61. Over the past decade, Bright Horizons Family Solutions' ROC (Joel Greenblatt) % has ranged from 3.97 to 40.79. According to the industry distribution chart, Bright Horizons Family Solutions ranks #29 out of 98 companies in the Personal Services industry, placing it in the top 29.6%.
Is Bright Horizons Family Solutions' ROC (Joel Greenblatt) % too high?
Bright Horizons Family Solutions' current ROC (Joel Greenblatt) % of 20.90% is near median its 10-year median of 21.61. Over the past 10 years, this metric has ranged from a low of 3.97 to a high of 40.79. The Personal Services industry median ROC (Joel Greenblatt) % is 13.02. Bright Horizons Family Solutions' value of 20.90% is 60.5% above this industry median. Based on the distribution chart, Bright Horizons Family Solutions ranks #29 out of 98 companies in the Personal Services industry, which is above the industry midpoint. Overall, Bright Horizons Family Solutions has a GF Score™ of 73/100, reflecting its overall financial health beyond just this single metric.
How does Bright Horizons Family Solutions' ROC (Joel Greenblatt) % compare to ANDG and HRB?
According to the Personal Services industry distribution chart, Bright Horizons Family Solutions ranks #29 out of 98 companies for ROC (Joel Greenblatt) %. This puts Bright Horizons Family Solutions in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 13.02. Bright Horizons Family Solutions' value of 20.90% is 60.5% above this benchmark. Historically, Bright Horizons Family Solutions' own ROC (Joel Greenblatt) % has ranged from 3.97 to 40.79 over the past decade. While the company's 10-year median is 21.61 vs. the industry median of 13.02, Bright Horizons Family Solutions 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 Personal Services company?
The median ROC (Joel Greenblatt) % among Personal Services companies is 13.02, based on 98 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. Bright Horizons Family Solutions's current ROC (Joel Greenblatt) % of 20.90% is 60.5% 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 Bright Horizons Family Solutions and its competitors. For the Personal Services industry, the median ROC (Joel Greenblatt) % is 13.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bright Horizons Family Solutions's current ROC (Joel Greenblatt) % is 20.90%, which is near median its own 10-year median of 21.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bright Horizons Family Solutions stock overvalued right now?
Bright Horizons Family Solutions (MEX:BFAM) has a current ROC (Joel Greenblatt) % of 20.90%. The stock's GF Value™ is MXN2,463.67, compared to a current price of MXN1,370.45 — trading 44.4% below its estimated fair value. The current ROC (Joel Greenblatt) % is 20.90%, which is near median its 10-year median of 21.61 and 60.5% above the Personal Services industry median of 13.02. Bright Horizons Family Solutions' overall GF Score™ is 73/100 with 1 warning sign 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 Bright Horizons Family Solutions (MEX:BFAM), the current ROC (Joel Greenblatt) % is 20.90% 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 Bright Horizons Family Solutions (MEX:BFAM) Overvalued in 2026?
Based on GuruFocus' analysis, Bright Horizons Family Solutions stock appears to be undervalued.
The current stock price of MXN1,370.45 is trading 44.4% below its estimated GF Value™ of MXN2,463.67.
Key valuation signals for MEX:BFAM:
ROC (Joel Greenblatt) %: 20.90% (near median its 10-year median of 21.61)
GF Value™: MXN2,463.67 vs. price of MXN1,370.45 (44.4% below fair value)
Industry Position: 60.5% above the Personal Services median (#29 of 98)
No single metric tells the full story. See the MEX:BFAM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bright Horizons Family Solutions Business Description
Bright Horizons Family Solutions Inc provider of early education and child care, family care solutions, and workforce education services that help working families and client employees personally and professionally. It provides services under multi-year contracts with employers that offer early education and child care, back-up care, and educational advisory services as part of their employee benefits package. The company has three business segments; Full-service center-based child care, Backup care, and Educational advisory services. The majority of the revenue is generated by full-service center-based child care, which includes traditional center-based child care and early education services. Other services provided by the company include in-home child and elder care, and Others.
73GF Score
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