BorgWarnerMEX:BWA 75 ROC (Joel Greenblatt) % is 31.09% as of Mar. 2026, which is 33% above its 10-year median of 23.38. GuruFocus rates MEX:BWA with a GF Score™ of 75/100 and a GF Value™ of MXN602.10. The stock has 1 warning sign investors should review. Among 1,333 Vehicles & Parts companies, BorgWarner ranks better than 56.94% 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. BorgWarner's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 31.09%.
The historical rank and industry rank for BorgWarner's ROC (Joel Greenblatt) % or its related term are showing as below:
MEX:BWA'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 11.22 Med: 23.38 Max: 37.48
Current: 14.56
During the past 13 years, BorgWarner's highest ROC (Joel Greenblatt) % was 37.48%. The lowest was 11.22%. And the median was 23.38%.
MEX:BWA's ROC (Joel Greenblatt) % is ranked better than 56.94% of 1333
companies
in the Vehicles & Parts industry
Industry Median: 12.01
vs MEX:BWA: 14.56
BorgWarner's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was -3.80% 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.
BorgWarner ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for BorgWarner'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.
MEX:BWA vs MOD, APTV, AUR: ROC (Joel Greenblatt) % Comparison
For the Auto Parts subindustry, BorgWarner'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.
BorgWarner ROC (Joel Greenblatt) % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, BorgWarner's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where BorgWarner'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 31.09% mean?
BorgWarner (MEX:BWA) has a ROC (Joel Greenblatt) % of 31.09% 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 BorgWarner and its competitors. This is 33% above median its historical median of 23.38. Over the past decade, BorgWarner's ROC (Joel Greenblatt) % has ranged from 11.22 to 37.48. According to the industry distribution chart, BorgWarner ranks #574 out of 1333 companies in the Vehicles & Parts industry, placing it in the top 43.1%.
Is BorgWarner's ROC (Joel Greenblatt) % too high?
BorgWarner's current ROC (Joel Greenblatt) % of 31.09% is 33% above median its 10-year median of 23.38. Over the past 10 years, this metric has ranged from a low of 11.22 to a high of 37.48. The Vehicles & Parts industry median ROC (Joel Greenblatt) % is 12.01. BorgWarner's value of 31.09% is 158.9% above this industry median. Based on the distribution chart, BorgWarner ranks #574 out of 1333 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, BorgWarner has a GF Score™ of 75/100, reflecting its overall financial health beyond just this single metric.
How does BorgWarner's ROC (Joel Greenblatt) % compare to MOD and APTV?
According to the Vehicles & Parts industry distribution chart, BorgWarner ranks #574 out of 1333 companies for ROC (Joel Greenblatt) %. This puts BorgWarner in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 12.01. BorgWarner's value of 31.09% is 158.9% above this benchmark. Historically, BorgWarner's own ROC (Joel Greenblatt) % has ranged from 11.22 to 37.48 over the past decade. While the company's 10-year median is 23.38 vs. the industry median of 12.01, BorgWarner 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 Vehicles & Parts company?
The median ROC (Joel Greenblatt) % among Vehicles & Parts companies is 12.01, based on 1,333 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. BorgWarner's current ROC (Joel Greenblatt) % of 31.09% is 158.9% 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 BorgWarner and its competitors. For the Vehicles & Parts industry, the median ROC (Joel Greenblatt) % is 12.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. BorgWarner's current ROC (Joel Greenblatt) % is 31.09%, which is 33% above median its own 10-year median of 23.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BorgWarner stock overvalued right now?
BorgWarner (MEX:BWA) has a current ROC (Joel Greenblatt) % of 31.09%. The stock's GF Value™ is MXN602.10, compared to a current price of MXN1,001.80 — trading 66.4% above its estimated fair value. The current ROC (Joel Greenblatt) % is 31.09%, which is 33% above median its 10-year median of 23.38 and 158.9% above the Vehicles & Parts industry median of 12.01. BorgWarner's overall GF Score™ is 75/100 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 BorgWarner (MEX:BWA), the current ROC (Joel Greenblatt) % is 31.09% 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 BorgWarner (MEX:BWA) Overvalued in 2026?
Based on GuruFocus' analysis, BorgWarner stock appears to be overvalued.
The current stock price of MXN1,001.80 is trading 66.4% above its estimated GF Value™ of MXN602.10.
Key valuation signals for MEX:BWA:
ROC (Joel Greenblatt) %: 31.09% (33% above median its 10-year median of 23.38)
GF Value™: MXN602.10 vs. price of MXN1,001.80 (66.4% above fair value)
Industry Position: 158.9% above the Vehicles & Parts median (#574 of 1333)
No single metric tells the full story. See the MEX:BWA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
BorgWarner is a tier one supplier of turbo and thermal management technologies, drivetrain systems, powerdrive systems, and battery and charging systems mostly to automotive original equipment manufacturers. Its products aim to move a vehicle with as few electrons as possible, resulting in cleaner, cost-optimized, and more-efficient vehicles. Foundational products, the combustion vehicle business, contributes more than 80% to group revenue while BorgWarner transitions to becoming an electric vehicle-centric parts supplier (e-business). In 2024, 23% of the company's revenue was sourced from Volkswagen and Ford. Revenue is well diversified geographically, with approximately a third each generated in North America, Europe, and Asia.
75GF Score
Get the complete analysis for MEX:BWA
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
MEX:BWA has been successfully added to your 
