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Spectra SystemsSCTQ -3.18%76 ROC (Joel Greenblatt) % is 166.53% as of Dec. 2025, which is 79% above its 10-year median of 93.21. GuruFocus rates SCTQ with a GF Score™ of 76/100 and a GF Value™ of $4.23. The stock has 4 warning signs investors should review. Among 2,811 Software companies, Spectra Systems ranks better than 82.14% 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. Spectra Systems's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 166.53%.
The historical rank and industry rank for Spectra Systems's ROC (Joel Greenblatt) % or its related term are showing as below:
SCTQ'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 21.96 Med: 93.21 Max: 219.29
Current: 173.4
During the past 13 years, Spectra Systems's highest ROC (Joel Greenblatt) % was 219.29%. The lowest was 21.96%. And the median was 93.21%.
SCTQ's ROC (Joel Greenblatt) % is ranked better than 82.14% of 2811
companies
in the Software industry
Industry Median: 19.63
vs SCTQ: 173.40
Spectra Systems's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.40% per year.
Spectra Systems (OTCPK:SCTQ) 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.
Spectra Systems ROC (Joel Greenblatt) % Related Terms
Spectra Systems ROC (Joel Greenblatt) % Historical Data
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The historical data trend for Spectra Systems'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.
SCTQ vs UBER, SHOP, CRM: ROC (Joel Greenblatt) % Comparison
For the Software - Application subindustry, Spectra Systems'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.
Spectra Systems ROC (Joel Greenblatt) % vs Software Industry
For the Software industry and Technology sector, Spectra Systems's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Spectra Systems's ROC (Joel Greenblatt) % falls into.
Spectra Systems 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 two times the semi-annual (Dec. 2025) 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 166.53% mean?
Spectra Systems (SCTQ) has a ROC (Joel Greenblatt) % of 166.53% as of Dec. 2025. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Spectra Systems and its competitors. This is 79% above median its historical median of 93.21. Over the past decade, Spectra Systems' ROC (Joel Greenblatt) % has ranged from 21.96 to 219.29. According to the industry distribution chart, Spectra Systems ranks #502 out of 2811 companies in the Software industry, placing it in the top 17.9%.
Is Spectra Systems' ROC (Joel Greenblatt) % too high?
Spectra Systems' current ROC (Joel Greenblatt) % of 166.53% is 79% above median its 10-year median of 93.21. Over the past 10 years, this metric has ranged from a low of 21.96 to a high of 219.29. The Software industry median ROC (Joel Greenblatt) % is 19.63. Spectra Systems' value of 166.53% is 748.3% above this industry median. Based on the distribution chart, Spectra Systems ranks #502 out of 2811 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Spectra Systems has a GF Score™ of 76/100, reflecting its overall financial health beyond just this single metric.
How does Spectra Systems' ROC (Joel Greenblatt) % compare to UBER and SHOP?
According to the Software industry distribution chart, Spectra Systems ranks #502 out of 2811 companies for ROC (Joel Greenblatt) %. This places Spectra Systems in the top 18% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 19.63. Spectra Systems' value of 166.53% is 748.3% above this benchmark. Historically, Spectra Systems' own ROC (Joel Greenblatt) % has ranged from 21.96 to 219.29 over the past decade. While the company's 10-year median is 93.21 vs. the industry median of 19.63, Spectra Systems 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 Software company?
The median ROC (Joel Greenblatt) % among Software companies is 19.63, based on 2,811 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. Spectra Systems's current ROC (Joel Greenblatt) % of 166.53% is 748.3% 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 Spectra Systems and its competitors. For the Software industry, the median ROC (Joel Greenblatt) % is 19.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Spectra Systems's current ROC (Joel Greenblatt) % is 166.53%, which is 79% above median its own 10-year median of 93.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Spectra Systems stock overvalued right now?
Spectra Systems (SCTQ) has a current ROC (Joel Greenblatt) % of 166.53%. The stock's GF Value™ is $4.23, compared to a current price of $2.13 — trading 49.6% below its estimated fair value. The current ROC (Joel Greenblatt) % is 166.53%, which is 79% above median its 10-year median of 93.21 and 748.3% above the Software industry median of 19.63. Spectra Systems' overall GF Score™ is 76/100 with 4 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 Spectra Systems (SCTQ), the current ROC (Joel Greenblatt) % is 166.53% as of Dec. 2025. 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 Spectra Systems (SCTQ) Overvalued in 2026?
Based on GuruFocus' analysis, Spectra Systems stock appears to be undervalued.
The current stock price of $2.13 is trading 49.6% below its estimated GF Value™ of $4.23.
Key valuation signals for SCTQ:
ROC (Joel Greenblatt) %: 166.53% (79% above median its 10-year median of 93.21)
GF Value™: $4.23 vs. price of $2.13 (49.6% below fair value)
Industry Position: 748.3% above the Software median (#502 of 2811)
No single metric tells the full story. See the SCTQ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Spectra Systems Corp manufactures, and markets technology-based products used to authenticate and process banknotes and also offers secure software products for gaming. The company has divided its business into Authentication Systems, Security Printing, and Banknote Cleaning. The company derives maximum revenue from Authentication Systems that involve the hardware, software, and materials related to the authentication of banknotes, tax stamps, and other high-value goods.
76GF Score
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