Amazon.comXSWX:AMZN +0.64%94 ROC (Joel Greenblatt) % is 34.78% as of Mar. 2026, which is 73% above its 10-year median of 20.15. GuruFocus rates XSWX:AMZN with a GF Score™ of 94/100 and a GF Value™ of CHF189.18 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,122 Retail - Cyclical companies, Amazon.com ranks better than 75.49% 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. Amazon.com's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 34.78%.
The historical rank and industry rank for Amazon.com's ROC (Joel Greenblatt) % or its related term are showing as below:
XSWX:AMZN'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -1.52 Med: 20.15 Max: 28.53
Current: 28.53
During the past 13 years, Amazon.com's highest ROC (Joel Greenblatt) % was 28.53%. The lowest was -1.52%. And the median was 20.15%.
XSWX:AMZN's ROC (Joel Greenblatt) % is ranked better than 75.49% of 1122
companies
in the Retail - Cyclical industry
Industry Median: 11.5
vs XSWX:AMZN: 28.53
Amazon.com's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.
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.
Amazon.com ROC (Joel Greenblatt) % Historical Data
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The historical data trend for Amazon.com'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.
XSWX:AMZN vs BABA, PDD, MELI: ROC (Joel Greenblatt) % Comparison
For the Internet Retail subindustry, Amazon.com'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.
Amazon.com ROC (Joel Greenblatt) % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Amazon.com's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Amazon.com'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 34.78% mean?
Amazon.com (XSWX:AMZN) has a ROC (Joel Greenblatt) % of 34.78% 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 Amazon.com and its competitors. This is 73% above median its historical median of 20.15. According to the industry distribution chart, Amazon.com ranks #275 out of 1122 companies in the Retail - Cyclical industry, placing it in the top 24.5%.
Is Amazon.com's ROC (Joel Greenblatt) % too high?
Amazon.com's current ROC (Joel Greenblatt) % of 34.78% is 73% above median its 10-year median of 20.15. The Retail - Cyclical industry median ROC (Joel Greenblatt) % is 11.50. Amazon.com's value of 34.78% is 202.4% above this industry median. Based on the distribution chart, Amazon.com ranks #275 out of 1122 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Amazon.com has a GF Score™ of 94/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Amazon.com's ROC (Joel Greenblatt) % compare to BABA and PDD?
According to the Retail - Cyclical industry distribution chart, Amazon.com ranks #275 out of 1122 companies for ROC (Joel Greenblatt) %. This places Amazon.com in the top 25% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 11.50. Amazon.com's value of 34.78% is 202.4% above this benchmark. While the company's 10-year median is 20.15 vs. the industry median of 11.50, Amazon.com 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 Retail - Cyclical company?
The median ROC (Joel Greenblatt) % among Retail - Cyclical companies is 11.50, based on 1,122 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. Amazon.com's current ROC (Joel Greenblatt) % of 34.78% is 202.4% 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 Amazon.com and its competitors. For the Retail - Cyclical industry, the median ROC (Joel Greenblatt) % is 11.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Amazon.com's current ROC (Joel Greenblatt) % is 34.78%, which is 73% above median its own 10-year median of 20.15. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Amazon.com stock overvalued right now?
Based on GuruFocus' analysis, Amazon.com (XSWX:AMZN) is currently considered Fairly Valued. The stock's GF Value™ is CHF189.18, compared to a current price of CHF197.06 — trading 4.2% above its estimated fair value. The current ROC (Joel Greenblatt) % is 34.78%, which is 73% above median its 10-year median of 20.15 and 202.4% above the Retail - Cyclical industry median of 11.50. Amazon.com's overall GF Score™ is 94/100 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 Amazon.com (XSWX:AMZN), the current ROC (Joel Greenblatt) % is 34.78% 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 Amazon.com (XSWX:AMZN) Overvalued in 2026?
Based on GuruFocus' analysis, Amazon.com stock appears to be overvalued.
The current stock price of CHF197.06 is trading 4.2% above its estimated GF Value™ of CHF189.18.
GuruFocus considers Amazon.com to be Fairly Valued.
Key valuation signals for XSWX:AMZN:
ROC (Joel Greenblatt) %: 34.78% (73% above median its 10-year median of 20.15)
GF Value™: CHF189.18 vs. price of CHF197.06 (4.2% above fair value)
Industry Position: 202.4% above the Retail - Cyclical median (#275 of 1122)
No single metric tells the full story. See the XSWX:AMZN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Amazon is the leading online retailer and marketplace for third party sellers. Retail related revenue represents approximately 74% of total, followed by Amazon Web Services (17%), and advertising services (9%). International segments constitute 22% of Amazon's total revenue, led by Germany, the United Kingdom, and Japan.
94GF Score
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