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Japan EngineTSE:6016 +4.24%74 ROC (Joel Greenblatt) % is 31.92% as of Mar. 2026, which is 186% above its 10-year median of 11.17. GuruFocus rates TSE:6016 with a GF Score™ of 74/100 and a GF Value™ of 円5,786.32 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 3,065 Industrial Products companies, Japan Engine ranks better than 89.92% 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. Japan Engine's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 31.92%.
The historical rank and industry rank for Japan Engine's ROC (Joel Greenblatt) % or its related term are showing as below:
TSE:6016'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -9.39 Med: 11.17 Max: 60.75
Current: 52.37
During the past 13 years, Japan Engine's highest ROC (Joel Greenblatt) % was 60.75%. The lowest was -9.39%. And the median was 11.17%.
TSE:6016's ROC (Joel Greenblatt) % is ranked better than 89.92% of 3065
companies
in the Industrial Products industry
Industry Median: 11.67
vs TSE:6016: 52.37
Japan Engine's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 63.30% per year.
Japan Engine (TSE:6016) 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.
Japan Engine ROC (Joel Greenblatt) % Related Terms
Japan Engine ROC (Joel Greenblatt) % Historical Data
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The historical data trend for Japan Engine'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:6016 vs GEV, ETN, PH: ROC (Joel Greenblatt) % Comparison
For the Specialty Industrial Machinery subindustry, Japan Engine'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.
Japan Engine ROC (Joel Greenblatt) % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Japan Engine's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Japan Engine'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 31.92% mean?
Japan Engine (TSE:6016) has a ROC (Joel Greenblatt) % of 31.92% 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 Japan Engine and its competitors. This is 186% above median its historical median of 11.17. According to the industry distribution chart, Japan Engine ranks #309 out of 3065 companies in the Industrial Products industry, placing it in the top 10.1%.
Is Japan Engine's ROC (Joel Greenblatt) % too high?
Japan Engine's current ROC (Joel Greenblatt) % of 31.92% is 186% above median its 10-year median of 11.17. The Industrial Products industry median ROC (Joel Greenblatt) % is 11.67. Japan Engine's value of 31.92% is 173.5% above this industry median. Based on the distribution chart, Japan Engine ranks #309 out of 3065 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Japan Engine has a GF Score™ of 74/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Japan Engine's ROC (Joel Greenblatt) % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Japan Engine ranks #309 out of 3065 companies for ROC (Joel Greenblatt) %. This places Japan Engine in the top 10% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 11.67. Japan Engine's value of 31.92% is 173.5% above this benchmark. While the company's 10-year median is 11.17 vs. the industry median of 11.67, Japan Engine 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 an Industrial Products company?
The median ROC (Joel Greenblatt) % among Industrial Products companies is 11.67, based on 3,065 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. Japan Engine's current ROC (Joel Greenblatt) % of 31.92% is 173.5% 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 Japan Engine and its competitors. For the Industrial Products industry, the median ROC (Joel Greenblatt) % is 11.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Japan Engine's current ROC (Joel Greenblatt) % is 31.92%, which is 186% above median its own 10-year median of 11.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Japan Engine stock overvalued right now?
Based on GuruFocus' analysis, Japan Engine (TSE:6016) is currently considered Significantly Overvalued. The stock's GF Value™ is 円5,786.32, compared to a current price of 円9,340.00 — trading 61.4% above its estimated fair value. The current ROC (Joel Greenblatt) % is 31.92%, which is 186% above median its 10-year median of 11.17 and 173.5% above the Industrial Products industry median of 11.67. Japan Engine's overall GF Score™ is 74/100 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 Japan Engine (TSE:6016), the current ROC (Joel Greenblatt) % is 31.92% 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 Japan Engine (TSE:6016) Overvalued in 2026?
Based on GuruFocus' analysis, Japan Engine stock appears to be overvalued.
The current stock price of 円9,340.00 is trading 61.4% above its estimated GF Value™ of 円5,786.32.
GuruFocus considers Japan Engine to be Significantly Overvalued.
Key valuation signals for TSE:6016:
ROC (Joel Greenblatt) %: 31.92% (186% above median its 10-year median of 11.17)
GF Value™: 円5,786.32 vs. price of 円9,340.00 (61.4% above fair value)
Industry Position: 173.5% above the Industrial Products median (#309 of 3065)
No single metric tells the full story. See the TSE:6016 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Japan Engine Corp is a Japanese company engaged in the production and sale of various types of UE diesel engines. It also manufactures machinery and equipment related to marine, factory automation and energy saving. The organization has a business presence in Japan and other countries.
74GF Score
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