Middle East Pharmaceutical Industries Co (SAU:4016) ROC (Joel Greenblatt) %: 28.51% (As of Mar. 2026) — 10% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

SAU:4016 Middle East Pharmaceutical Industries Co SAU:4016
22 GF Score
Price ﷼60.50
! 3 Warning Signs
View Full Analysis

What is Middle East Pharmaceutical Industries Co ROC (Joel Greenblatt) %?

Middle East Pharmaceutical Industries Co SAU:4016 22 ROC (Joel Greenblatt) % is 28.51% as of Mar. 2026, which is 10% above its 10-year median of 25.92. GuruFocus rates SAU:4016 with a GF Score™ of 22/100. The stock has 3 warning signs investors should review. Among 981 Drug Manufacturers companies, Middle East Pharmaceutical Industries Co ranks better than 73.39% 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. Middle East Pharmaceutical Industries Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 28.51%.

The historical rank and industry rank for Middle East Pharmaceutical Industries Co's ROC (Joel Greenblatt) % or its related term are showing as below:

SAU:4016' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 24.47   Med: 25.92   Max: 28.76
Current: 28.76

During the past 3 years, Middle East Pharmaceutical Industries Co's highest ROC (Joel Greenblatt) % was 28.76%. The lowest was 24.47%. And the median was 25.92%.

SAU:4016's ROC (Joel Greenblatt) % is ranked better than
73.39% of 981 companies
in the Drug Manufacturers industry
Industry Median: 10.75 vs SAU:4016: 28.76

Middle East Pharmaceutical Industries Co's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.


Middle East Pharmaceutical Industries Co  (SAU:4016) 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.


Middle East Pharmaceutical Industries Co ROC (Joel Greenblatt) % Related Terms


Middle East Pharmaceutical Industries Co ROC (Joel Greenblatt) % Historical Data

* Premium members only.

The historical data trend for Middle East Pharmaceutical Industries Co'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.

Middle East Pharmaceutical Industries Co ROC (Joel Greenblatt) % Chart

Middle East Pharmaceutical Industries Co Annual Data
Trend Dec23 Dec24 Dec25
ROC (Joel Greenblatt) %
24.47 25.92 27.25

Middle East Pharmaceutical Industries Co Quarterly Data
Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROC (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 23.11 28.79 11.30 47.03 28.51

SAU:4016 vs ZTS, UTHR, VTRS: ROC (Joel Greenblatt) % Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Middle East Pharmaceutical Industries Co'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.


Middle East Pharmaceutical Industries Co ROC (Joel Greenblatt) % vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Middle East Pharmaceutical Industries Co's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Middle East Pharmaceutical Industries Co's ROC (Joel Greenblatt) % falls into.


SAU:4016
22GF Score
Middle East Pharmaceutical Industries Co SAU:4016
ROC (Joel Greenblatt) % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Middle East Pharmaceutical Industries Co 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: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(256.838 + 103.526 + 18.516) - (45.611 + 0 + 44.143)
=289.126

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(286.963 + 101.361 + 21.715) - (56.615 + 0 + 38.198)
=315.226

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Middle East Pharmaceutical Industries Co for the quarter that ended in Mar. 2026 can be restated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=122.88/( ( (123.918 + max(289.126, 0)) + (133.873 + max(315.226, 0)) )/ 2 )
=122.88/( ( 413.044 + 449.099 )/ 2 )
=122.88/431.0715
=28.51 %

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 28.51% mean?
Middle East Pharmaceutical Industries Co (SAU:4016) has a ROC (Joel Greenblatt) % of 28.51% 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 Middle East Pharmaceutical Industries Co and its competitors. This is 10% above median its historical median of 25.92. Over the past decade, Middle East Pharmaceutical Industries Co's ROC (Joel Greenblatt) % has ranged from 24.47 to 28.76. According to the industry distribution chart, Middle East Pharmaceutical Industries Co ranks #261 out of 981 companies in the Drug Manufacturers industry, placing it in the top 26.6%.
Is Middle East Pharmaceutical Industries Co's ROC (Joel Greenblatt) % too high?
Middle East Pharmaceutical Industries Co's current ROC (Joel Greenblatt) % of 28.51% is 10% above median its 10-year median of 25.92. Over the past 10 years, this metric has ranged from a low of 24.47 to a high of 28.76. The Drug Manufacturers industry median ROC (Joel Greenblatt) % is 10.75. Middle East Pharmaceutical Industries Co's value of 28.51% is 165.2% above this industry median. Based on the distribution chart, Middle East Pharmaceutical Industries Co ranks #261 out of 981 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Middle East Pharmaceutical Industries Co has a GF Score™ of 22/100, reflecting its overall financial health beyond just this single metric.
How does Middle East Pharmaceutical Industries Co's ROC (Joel Greenblatt) % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Middle East Pharmaceutical Industries Co ranks #261 out of 981 companies for ROC (Joel Greenblatt) %. This puts Middle East Pharmaceutical Industries Co in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 10.75. Middle East Pharmaceutical Industries Co's value of 28.51% is 165.2% above this benchmark. Historically, Middle East Pharmaceutical Industries Co's own ROC (Joel Greenblatt) % has ranged from 24.47 to 28.76 over the past decade. While the company's 10-year median is 25.92 vs. the industry median of 10.75, Middle East Pharmaceutical Industries Co 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 Drug Manufacturers company?
The median ROC (Joel Greenblatt) % among Drug Manufacturers companies is 10.75, based on 981 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. Middle East Pharmaceutical Industries Co's current ROC (Joel Greenblatt) % of 28.51% is 165.2% 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 Middle East Pharmaceutical Industries Co and its competitors. For the Drug Manufacturers industry, the median ROC (Joel Greenblatt) % is 10.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Middle East Pharmaceutical Industries Co's current ROC (Joel Greenblatt) % is 28.51%, which is 10% above median its own 10-year median of 25.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Middle East Pharmaceutical Industries Co stock overvalued right now?
Middle East Pharmaceutical Industries Co (SAU:4016) has a current ROC (Joel Greenblatt) % of 28.51%. The current ROC (Joel Greenblatt) % is 28.51%, which is 10% above median its 10-year median of 25.92 and 165.2% above the Drug Manufacturers industry median of 10.75. Middle East Pharmaceutical Industries Co's overall GF Score™ is 22/100 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 Middle East Pharmaceutical Industries Co (SAU:4016), the current ROC (Joel Greenblatt) % is 28.51% 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.

Middle East Pharmaceutical Industries Co Business Description

Address 8146 King Muhammad V, Sulaimaniyah, P.O. Box 4180, Riyadh, SAU, 11491
Middle East Pharmaceutical Industries Co is a holding company engaged in manufacturing medicines, medicated and non-medicated creams and gels. The company operates in Private, Public, and Export segments. Geographically, it generates the majority of its revenue from Saudi Arabia.
22GF Score

Get the complete analysis for SAU:4016

ROC (Joel Greenblatt) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

﷼60.50
Price