Hermes InternationalXSWX:RMS 98 ROC (Joel Greenblatt) % is 116.25% as of Dec. 2025, which is 2% above its 10-year median of 113.53. GuruFocus rates XSWX:RMS with a GF Score™ of 98/100 and a GF Value™ of CHF2,497.81. The stock has 1 warning sign investors should review. Among 1,128 Retail - Cyclical companies, Hermes International ranks better than 94.95% 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. Hermes International's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 116.25%.
The historical rank and industry rank for Hermes International's ROC (Joel Greenblatt) % or its related term are showing as below:
XSWX:RMS'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 70.92 Med: 113.53 Max: 150.39
Current: 125.47
During the past 13 years, Hermes International's highest ROC (Joel Greenblatt) % was 150.39%. The lowest was 70.92%. And the median was 113.53%.
XSWX:RMS's ROC (Joel Greenblatt) % is ranked better than 94.95% of 1128
companies
in the Retail - Cyclical industry
Industry Median: 11.545
vs XSWX:RMS: 125.47
Hermes International's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 11.80% per year.
Hermes International (XSWX:RMS) 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.
Hermes International ROC (Joel Greenblatt) % Related Terms
Hermes International ROC (Joel Greenblatt) % Historical Data
* Premium members only.
The historical data trend for Hermes International'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.
Hermes International ROC (Joel Greenblatt) % Chart
XSWX:RMS vs TPR, SIG: ROC (Joel Greenblatt) % Comparison
For the Luxury Goods subindustry, Hermes International'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.
Hermes International ROC (Joel Greenblatt) % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Hermes International's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Hermes International's ROC (Joel Greenblatt) % falls into.
Hermes International 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 two times the semi-annual (Dec. 2025) 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 116.25% mean?
Hermes International (XSWX:RMS) has a ROC (Joel Greenblatt) % of 116.25% as of Dec. 2025. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Hermes International and its competitors. This is near median its historical median of 113.53. Over the past decade, Hermes International's ROC (Joel Greenblatt) % has ranged from 70.92 to 150.39. According to the industry distribution chart, Hermes International ranks #57 out of 1128 companies in the Retail - Cyclical industry, placing it in the top 5.1%.
Is Hermes International's ROC (Joel Greenblatt) % too high?
Hermes International's current ROC (Joel Greenblatt) % of 116.25% is near median its 10-year median of 113.53. Over the past 10 years, this metric has ranged from a low of 70.92 to a high of 150.39. The Retail - Cyclical industry median ROC (Joel Greenblatt) % is 11.55. Hermes International's value of 116.25% is 906.9% above this industry median. Based on the distribution chart, Hermes International ranks #57 out of 1128 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Hermes International has a GF Score™ of 98/100, reflecting its overall financial health beyond just this single metric.
How does Hermes International's ROC (Joel Greenblatt) % compare to TPR and SIG?
According to the Retail - Cyclical industry distribution chart, Hermes International ranks #57 out of 1128 companies for ROC (Joel Greenblatt) %. This places Hermes International in the top 5% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 11.55. Hermes International's value of 116.25% is 906.9% above this benchmark. Historically, Hermes International's own ROC (Joel Greenblatt) % has ranged from 70.92 to 150.39 over the past decade. While the company's 10-year median is 113.53 vs. the industry median of 11.55, Hermes International 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 11.55, based on 1,128 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. Hermes International's current ROC (Joel Greenblatt) % of 116.25% is 906.9% 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 Hermes International and its competitors. For the Retail - Cyclical industry, the median ROC (Joel Greenblatt) % is 11.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hermes International's current ROC (Joel Greenblatt) % is 116.25%, which is near median its own 10-year median of 113.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hermes International stock overvalued right now?
Hermes International (XSWX:RMS) has a current ROC (Joel Greenblatt) % of 116.25%. The stock's GF Value™ is CHF2,497.81, compared to a current price of CHF1,621.50 — trading 35.1% below its estimated fair value. The current ROC (Joel Greenblatt) % is 116.25%, which is near median its 10-year median of 113.53 and 906.9% above the Retail - Cyclical industry median of 11.55. Hermes International's overall GF Score™ is 98/100 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 Hermes International (XSWX:RMS), the current ROC (Joel Greenblatt) % is 116.25% as of Dec. 2025. 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 Hermes International (XSWX:RMS) Overvalued in 2026?
Based on GuruFocus' analysis, Hermes International stock appears to be undervalued.
The current stock price of CHF1,621.50 is trading 35.1% below its estimated GF Value™ of CHF2,497.81.
Key valuation signals for XSWX:RMS:
ROC (Joel Greenblatt) %: 116.25% (near median its 10-year median of 113.53)
GF Value™: CHF2,497.81 vs. price of CHF1,621.50 (35.1% below fair value)
Industry Position: 906.9% above the Retail - Cyclical median (#57 of 1128)
No single metric tells the full story. See the XSWX:RMS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hermès is over 180-year-old family controlled luxury goods company best known for its Birkin and Kelly bags. Its biggest segments are leather goods and saddlery, accounting for over 40% of revenue; clothes and accessories (28% of sales); silk and textiles (6%); and other products such as perfumes, watches, jewellery, and home furnishings. Hermès has about 300 stores globally.
98GF Score
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