Zillow GroupZ +1.24%64 ROC (Joel Greenblatt) % is 34.53% as of Mar. 2026. GuruFocus rates Z with a GF Score™ of 64/100 and a GF Value™ of $74.67 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 549 Interactive Media companies, Zillow Group ranks worse than 51.55% 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. Zillow Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 34.53%.
The historical rank and industry rank for Zillow Group's ROC (Joel Greenblatt) % or its related term are showing as below:
Z'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -231.65 Med: -25.52 Max: 17.16
Current: 15.98
During the past 13 years, Zillow Group's highest ROC (Joel Greenblatt) % was 17.16%. The lowest was -231.65%. And the median was -25.52%.
Z's ROC (Joel Greenblatt) % is ranked worse than 51.55% of 549
companies
in the Interactive Media industry
Industry Median: 20.1
vs Z: 15.98
Zillow Group's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.
Zillow Group (NAS:Z) 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.
Zillow Group ROC (Joel Greenblatt) % Related Terms
Zillow Group ROC (Joel Greenblatt) % Historical Data
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The historical data trend for Zillow 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.
Z vs SNAP, BILI, BZ: ROC (Joel Greenblatt) % Comparison
For the Internet Content & Information subindustry, Zillow 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.
Zillow Group ROC (Joel Greenblatt) % vs Interactive Media Industry
For the Interactive Media industry and Communication Services sector, Zillow Group's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Zillow Group'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 34.53% mean?
Zillow Group (Z) has a ROC (Joel Greenblatt) % of 34.53% 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 Zillow Group and its competitors. According to the industry distribution chart, Zillow Group ranks #283 out of 549 companies in the Interactive Media industry, placing it in the top 51.5%.
Is Zillow Group's ROC (Joel Greenblatt) % too high?
Zillow Group's current ROC (Joel Greenblatt) % is 34.53%. The Interactive Media industry median ROC (Joel Greenblatt) % is 20.10. Zillow Group's value of 34.53% is 71.8% above this industry median. Based on the distribution chart, Zillow Group ranks #283 out of 549 companies in the Interactive Media industry, which is below the industry midpoint. Overall, Zillow Group has a GF Score™ of 64/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Zillow Group's ROC (Joel Greenblatt) % compare to SNAP and BILI?
According to the Interactive Media industry distribution chart, Zillow Group ranks #283 out of 549 companies for ROC (Joel Greenblatt) %. This places Zillow Group in the lower half of its industry. The industry median ROC (Joel Greenblatt) % is 20.10. Zillow Group's value of 34.53% is 71.8% above this benchmark. 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 Interactive Media company?
The median ROC (Joel Greenblatt) % among Interactive Media companies is 20.10, based on 549 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. Zillow Group's current ROC (Joel Greenblatt) % of 34.53% is 71.8% 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 Zillow Group and its competitors. For the Interactive Media industry, the median ROC (Joel Greenblatt) % is 20.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zillow Group's current ROC (Joel Greenblatt) % is 34.53%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zillow Group stock overvalued right now?
Based on GuruFocus' analysis, Zillow Group (Z) is currently considered Significantly Undervalued. The stock's GF Value™ is $74.67, compared to a current price of $33.43 — trading 55.2% below its estimated fair value. The current ROC (Joel Greenblatt) % is 34.53% and 71.8% above the Interactive Media industry median of 20.10. Zillow Group's overall GF Score™ is 64/100 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 Zillow Group (Z), the current ROC (Joel Greenblatt) % is 34.53% 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 Zillow Group (Z) Overvalued in 2026?
Based on GuruFocus' analysis, Zillow Group stock appears to be undervalued.
The current stock price of $33.43 is trading 55.2% below its estimated GF Value™ of $74.67.
GuruFocus considers Zillow Group to be Significantly Undervalued.
Key valuation signals for Z:
ROC (Joel Greenblatt) %: 34.53%
GF Value™: $74.67 vs. price of $33.43 (55.2% below fair value)
Industry Position: 71.8% above the Interactive Media median (#283 of 549)
No single metric tells the full story. See the Z stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zillow Group Inc is a real estate technology company offering a digital platform that connects real estate customers with sellers, agents, loan officers, and other real estate-related professionals. With its tools and resources, Zillow helps real estate professionals grow their businesses, and for renters and housing providers, it offers a marketplace along with a set of end-to-end products and services to streamline applications, leases, payments, and more. The group operates various brands such as Zillow, Zillow Home Loans, Zillow Rentals, Zillow New Construction, Trulia, StreetEasy, Out East, HotPads, Follow Up Boss, ShowingTime, dotloop, and Zillow Closing. Its ecosystem spans the entire home journey from shopping to renting, buying, selling, and financing real estate.
64GF Score
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