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Mori-Gumi CoTSE:1853 -0.91%68 ROC (Joel Greenblatt) % is 39.35% as of Mar. 2026, which is 10% above its 10-year median of 35.86. GuruFocus rates TSE:1853 with a GF Score™ of 68/100 and a GF Value™ of 円330.34 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,780 Construction companies, Mori-Gumi Co ranks better than 50.84% 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. Mori-Gumi Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 39.35%.
The historical rank and industry rank for Mori-Gumi Co's ROC (Joel Greenblatt) % or its related term are showing as below:
TSE:1853'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 17.05 Med: 35.86 Max: 179.56
Current: 20.42
During the past 13 years, Mori-Gumi Co's highest ROC (Joel Greenblatt) % was 179.56%. The lowest was 17.05%. And the median was 35.86%.
TSE:1853's ROC (Joel Greenblatt) % is ranked better than 50.84% of 1780
companies
in the Construction industry
Industry Median: 19.77
vs TSE:1853: 20.42
Mori-Gumi Co's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was -19.80% per year.
Mori-Gumi Co (TSE:1853) 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.
Mori-Gumi Co ROC (Joel Greenblatt) % Related Terms
Mori-Gumi Co ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for Mori-Gumi 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.
TSE:1853 vs PWR, FIX, EME: ROC (Joel Greenblatt) % Comparison
For the Engineering & Construction subindustry, Mori-Gumi 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.
Mori-Gumi Co ROC (Joel Greenblatt) % vs Construction Industry
For the Construction industry and Industrials sector, Mori-Gumi Co's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Mori-Gumi Co'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 two times the semi-annual (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 39.35% mean?
Mori-Gumi Co (TSE:1853) has a ROC (Joel Greenblatt) % of 39.35% 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 Mori-Gumi Co and its competitors. This is 10% above median its historical median of 35.86. Over the past decade, Mori-Gumi Co's ROC (Joel Greenblatt) % has ranged from 17.05 to 179.56. According to the industry distribution chart, Mori-Gumi Co ranks #875 out of 1780 companies in the Construction industry, placing it in the top 49.2%.
Is Mori-Gumi Co's ROC (Joel Greenblatt) % too high?
Mori-Gumi Co's current ROC (Joel Greenblatt) % of 39.35% is 10% above median its 10-year median of 35.86. Over the past 10 years, this metric has ranged from a low of 17.05 to a high of 179.56. The Construction industry median ROC (Joel Greenblatt) % is 19.77. Mori-Gumi Co's value of 39.35% is 99% above this industry median. Based on the distribution chart, Mori-Gumi Co ranks #875 out of 1780 companies in the Construction industry, which is above the industry midpoint. Overall, Mori-Gumi Co has a GF Score™ of 68/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Mori-Gumi Co's ROC (Joel Greenblatt) % compare to PWR and FIX?
According to the Construction industry distribution chart, Mori-Gumi Co ranks #875 out of 1780 companies for ROC (Joel Greenblatt) %. This puts Mori-Gumi Co in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 19.77. Mori-Gumi Co's value of 39.35% is 99% above this benchmark. Historically, Mori-Gumi Co's own ROC (Joel Greenblatt) % has ranged from 17.05 to 179.56 over the past decade. While the company's 10-year median is 35.86 vs. the industry median of 19.77, Mori-Gumi 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 Construction company?
The median ROC (Joel Greenblatt) % among Construction companies is 19.77, based on 1,780 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. Mori-Gumi Co's current ROC (Joel Greenblatt) % of 39.35% is 99% 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 Mori-Gumi Co and its competitors. For the Construction industry, the median ROC (Joel Greenblatt) % is 19.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mori-Gumi Co's current ROC (Joel Greenblatt) % is 39.35%, which is 10% above median its own 10-year median of 35.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mori-Gumi Co stock overvalued right now?
Based on GuruFocus' analysis, Mori-Gumi Co (TSE:1853) is currently considered Fairly Valued. The stock's GF Value™ is 円330.34, compared to a current price of 円328.00 — trading 0.7% below its estimated fair value. The current ROC (Joel Greenblatt) % is 39.35%, which is 10% above median its 10-year median of 35.86 and 99% above the Construction industry median of 19.77. Mori-Gumi Co's overall GF Score™ is 68/100 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 Mori-Gumi Co (TSE:1853), the current ROC (Joel Greenblatt) % is 39.35% 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 Mori-Gumi Co (TSE:1853) Overvalued in 2026?
Based on GuruFocus' analysis, Mori-Gumi Co stock appears to be undervalued.
The current stock price of 円328.00 is trading 0.7% below its estimated GF Value™ of 円330.34.
GuruFocus considers Mori-Gumi Co to be Fairly Valued.
Key valuation signals for TSE:1853:
ROC (Joel Greenblatt) %: 39.35% (10% above median its 10-year median of 35.86)
GF Value™: 円330.34 vs. price of 円328.00 (0.7% below fair value)
Industry Position: 99% above the Construction median (#875 of 1780)
No single metric tells the full story. See the TSE:1853 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Mori-Gumi Co Ltd operates in three divisions - Construction business, which is engaged in civil engineering, architecture, and other general construction work-related businesses; Crushed stone division, which is engaged in the manufacture and sale of crushed stone, crushed sand, etc., and brokerage of transactions.; and Real estate division is engaged in the development, purchase and sale, exchange, and rental of real estate, as well as the agency and brokerage of these businesses.
68GF Score
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