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Doman Building Materials Group (TSX:DBM) ROC (Joel Greenblatt) % : 14.82% (As of Sep. 2024)


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What is Doman Building Materials Group ROC (Joel Greenblatt) %?

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. Doman Building Materials Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was 14.82%.

The historical rank and industry rank for Doman Building Materials Group's ROC (Joel Greenblatt) % or its related term are showing as below:

TSX:DBM' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 9.29   Med: 17.86   Max: 27.48
Current: 14.07

During the past 13 years, Doman Building Materials Group's highest ROC (Joel Greenblatt) % was 27.48%. The lowest was 9.29%. And the median was 17.86%.

TSX:DBM's ROC (Joel Greenblatt) % is ranked worse than
58.06% of 155 companies
in the Industrial Distribution industry
Industry Median: 16.77 vs TSX:DBM: 14.07

Doman Building Materials Group's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 11.50% per year.


Doman Building Materials Group ROC (Joel Greenblatt) % Historical Data

The historical data trend for Doman Building Materials Group'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.

* Premium members only.

Doman Building Materials Group ROC (Joel Greenblatt) % Chart

Doman Building Materials Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.29 20.39 27.48 18.89 18.84

Doman Building Materials Group Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
ROC (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 19.90 9.80 14.26 15.39 14.82

Competitive Comparison of Doman Building Materials Group's ROC (Joel Greenblatt) %

For the Industrial Distribution subindustry, Doman Building Materials Group'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.


Doman Building Materials Group's ROC (Joel Greenblatt) % Distribution in the Industrial Distribution Industry

For the Industrial Distribution industry and Industrials sector, Doman Building Materials Group's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Doman Building Materials Group's ROC (Joel Greenblatt) % falls into.



Doman Building Materials Group 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: Jun. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(297.243 + 387.555 + 13.75) - (163.591 + 0 + 0)
=534.957

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(222.444 + 333.006 + 14.228) - (180.104 + 0 + -2.8421709430404E-14)
=389.574

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Doman Building Materials Group for the quarter that ended in Sep. 2024 can be restated as:

ROC (Joel Greenblatt) %(Q: Sep. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2024  Q: Sep. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=111.032/( ( (288.868 + max(534.957, 0)) + (285.12 + max(389.574, 0)) )/ 2 )
=111.032/( ( 823.825 + 674.694 )/ 2 )
=111.032/749.2595
=14.82 %

Note: The EBIT data used here is four times the quarterly (Sep. 2024) 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.


Doman Building Materials Group  (TSX:DBM) 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.


Doman Building Materials Group ROC (Joel Greenblatt) % Related Terms

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Doman Building Materials Group Business Description

Traded in Other Exchanges
Address
1100 Melville Street, Suite 1600, PO Box 39, Vancouver, BC, CAN, V6E 4A6
Doman Building Materials Group Ltd is a wholesale distributor of building materials and home renovation products. The company services the new home construction, home renovation and industrial markets by supplying the retail and wholesale lumber and building materials industry, hardware stores, industrial and furniture manufacturers and similar concerns. Its operations also include timber ownership and management of private timberlands and forest licenses, and agricultural post-peeling and pressure treating through CanWel Fibre Corp. Its operating segments are Building Materials and Other. Geographically the group has a business presence in Canada and the U.S.
Executives
Amar Doman Director
Siegfried Josef Thoma Director
Marc Seguin Director
James Salter Code Senior Officer

Doman Building Materials Group Headlines

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