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.
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.
TKO Group HoldingsTKO +0.19%63 ROC (Joel Greenblatt) % is 146.76% as of Mar. 2026, which is 70% above its 10-year median of 86.58. GuruFocus rates TKO with a GF Score™ of 63/100 and a GF Value™ of $133.40 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,018 Media - Diversified companies, TKO Group Holdings ranks better than 86.44% 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. TKO Group Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 146.76%.
The historical rank and industry rank for TKO Group Holdings's ROC (Joel Greenblatt) % or its related term are showing as below:
TKO'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 2.78 Med: 86.58 Max: 277.43
Current: 100.58
During the past 6 years, TKO Group Holdings's highest ROC (Joel Greenblatt) % was 277.43%. The lowest was 2.78%. And the median was 86.58%.
TKO's ROC (Joel Greenblatt) % is ranked better than 86.44% of 1018
companies
in the Media - Diversified industry
Industry Median: 9.685
vs TKO: 100.58
TKO Group Holdings's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.
TKO Group Holdings (NYSE:TKO) 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.
TKO Group Holdings ROC (Joel Greenblatt) % Related Terms
TKO Group Holdings ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for TKO Group Holdings'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.
TKO vs NWSA, WMG, ROKU: ROC (Joel Greenblatt) % Comparison
For the Entertainment subindustry, TKO Group Holdings'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.
TKO Group Holdings ROC (Joel Greenblatt) % vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, TKO Group Holdings's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where TKO Group Holdings's ROC (Joel Greenblatt) % falls into.
TKO Group Holdings 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 146.76% mean?
TKO Group Holdings (TKO) has a ROC (Joel Greenblatt) % of 146.76% 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 TKO Group Holdings and its competitors. This is 70% above median its historical median of 86.58. Over the past decade, TKO Group Holdings' ROC (Joel Greenblatt) % has ranged from 2.78 to 277.43. According to the industry distribution chart, TKO Group Holdings ranks #138 out of 1018 companies in the Media - Diversified industry, placing it in the top 13.6%.
Is TKO Group Holdings' ROC (Joel Greenblatt) % too high?
TKO Group Holdings' current ROC (Joel Greenblatt) % of 146.76% is 70% above median its 10-year median of 86.58. Over the past 10 years, this metric has ranged from a low of 2.78 to a high of 277.43. The Media - Diversified industry median ROC (Joel Greenblatt) % is 9.69. TKO Group Holdings' value of 146.76% is 1415.3% above this industry median. Based on the distribution chart, TKO Group Holdings ranks #138 out of 1018 companies in the Media - Diversified industry, which is in the top quartile — a strong position relative to peers. Overall, TKO Group Holdings has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does TKO Group Holdings' ROC (Joel Greenblatt) % compare to NWSA and WMG?
According to the Media - Diversified industry distribution chart, TKO Group Holdings ranks #138 out of 1018 companies for ROC (Joel Greenblatt) %. This places TKO Group Holdings in the top 14% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 9.69. TKO Group Holdings' value of 146.76% is 1415.3% above this benchmark. Historically, TKO Group Holdings' own ROC (Joel Greenblatt) % has ranged from 2.78 to 277.43 over the past decade. While the company's 10-year median is 86.58 vs. the industry median of 9.69, TKO Group Holdings 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 Media - Diversified company?
The median ROC (Joel Greenblatt) % among Media - Diversified companies is 9.69, based on 1,018 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. TKO Group Holdings's current ROC (Joel Greenblatt) % of 146.76% is 1415.3% 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 TKO Group Holdings and its competitors. For the Media - Diversified industry, the median ROC (Joel Greenblatt) % is 9.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TKO Group Holdings's current ROC (Joel Greenblatt) % is 146.76%, which is 70% above median its own 10-year median of 86.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TKO Group Holdings stock overvalued right now?
Based on GuruFocus' analysis, TKO Group Holdings (TKO) is currently considered Significantly Overvalued. The stock's GF Value™ is $133.40, compared to a current price of $185.13 — trading 38.8% above its estimated fair value. The current ROC (Joel Greenblatt) % is 146.76%, which is 70% above median its 10-year median of 86.58 and 1415.3% above the Media - Diversified industry median of 9.69. TKO Group Holdings' overall GF Score™ is 63/100 with 6 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 TKO Group Holdings (TKO), the current ROC (Joel Greenblatt) % is 146.76% 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 TKO Group Holdings (TKO) Overvalued in 2026?
Based on GuruFocus' analysis, TKO Group Holdings stock appears to be overvalued.
The current stock price of $185.13 is trading 38.8% above its estimated GF Value™ of $133.40.
GuruFocus considers TKO Group Holdings to be Significantly Overvalued.
Key valuation signals for TKO:
ROC (Joel Greenblatt) %: 146.76% (70% above median its 10-year median of 86.58)
GF Value™: $133.40 vs. price of $185.13 (38.8% above fair value)
Industry Position: 1415.3% above the Media - Diversified median (#138 of 1018)
No single metric tells the full story. See the TKO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
TKO Group Holdings Inc is a sports and sports entertainment company that operates combat sports and sports entertainment companies. It owns and manages valuable sports and entertainment intellectual property. The company distributes content and monetizes its intellectual property through four activities: Media rights, production, and content, Live events and hospitality, Partnerships and marketing and Consumer products licensing, The company has two reportable segments, UFC and WWE. The company generates majority of revenue from the UFC segment. The UFC segment revenue consists of media rights fees associated with the distribution of its programming content, ticket sales, and site fees associated with the business's international live events.
63GF Score
Get the complete analysis for TKO
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
TKO has been successfully added to your 
