Molycorp (XSWX:MCP) ROC (Joel Greenblatt) % : -57.81% (As of Jun. 2015)

View and export this data going back to . Start your Free Trial

What is Molycorp 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. Molycorp's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2015 was -57.81%.

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

XSWX:MCP' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -55.8 Med: -24.12 Max: 40.93
Current: -36.53

During the past 6 years, Molycorp's highest ROC (Joel Greenblatt) % was 40.93%. The lowest was -55.80%. And the median was -24.12%.

XSWX:MCP's ROC (Joel Greenblatt) % is not ranked
in the Metals & Mining industry.
Industry Median: -19.725 vs XSWX:MCP: -36.53

Molycorp's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.

Molycorp ROC (Joel Greenblatt) % Historical Data

The historical data trend for Molycorp'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.

Molycorp ROC (Joel Greenblatt) % Chart

Molycorp Annual Data

Trend

Dec09

Dec10

Dec11

Dec12

Dec13

Dec14

ROC (Joel Greenblatt) %

Get a 7-Day Free Trial

-54.51

41.28

-45.49

-20.57

-25.19

Molycorp Quarterly Data
	Sep10	Dec10	Mar11	Jun11	Sep11	Dec11	Mar12	Jun12	Sep12	Dec12	Mar13	Jun13	Sep13	Dec13	Mar14	Jun14	Sep14	Dec14	Mar15	Jun15
ROC (Joel Greenblatt) %	Get a 7-Day Free Trial															-10.34	-13.99	-63.49	-11.41	-57.81

Competitive Comparison of Molycorp's ROC (Joel Greenblatt) %

For the Other Industrial Metals & Mining subindustry, Molycorp'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.

Molycorp's ROC (Joel Greenblatt) % Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Molycorp's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Molycorp's ROC (Joel Greenblatt) % falls into.

Molycorp 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: Mar. 2015 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(46.734	+	177.158	+	35.285)	-	(92.105	+	0	+	5.576)
=	161.496

	Working Capital		(Q: Jun. 2015 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(45.919	+	159.676	+	35.247)	-	(49.765	+	0	+	7.721)
=	183.356

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Molycorp for the quarter that ended in Jun. 2015 can be restated as:

	ROC (Joel Greenblatt) %		(Q: Jun. 2015 )
=	EBIT	/	Average of (Net fixed Assets	+	Net Working Capital)
=	EBIT	/	Average of (Property, Plant and Equipment	+	Net Working Capital)
			Q: Mar. 2015		Q: Jun. 2015
=	EBIT	/	( ( (Property, Plant and Equipment + Net Working Capital)	+	(Property, Plant and Equipment + Net Working Capital) )	/	count )
=	-1030.024	/	( ( (1656.892 + max(161.496, 0))	+	(1561.788 + max(183.356, 0)) )	/	2 )
=	-1030.024	/	( ( 1818.388	+	1745.144 )	/	2 )
=	-1030.024	/	1781.766
=	-57.81 %

Note: The EBIT data used here is four times the quarterly (Jun. 2015) EBIT data.

Molycorp (XSWX:MCP) 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.

Molycorp ROC (Joel Greenblatt) % Related Terms

Thank you for viewing the detailed overview of Molycorp's ROC (Joel Greenblatt) % provided by GuruFocus.com. Please click on the following links to see related term pages.

Molycorp (XSWX:MCP) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Basic Materials » Metals & Mining » Molycorp Inc (XSWX:MCP) » Definitions » ROC (Joel Greenblatt) %

Comparable Companies

Traded in Other Exchanges

N/A

Address

Website

http://www.molycorp.com

Molycorp Inc, formerly known as Rare Earth Acquisitions LLC, was formed on March 4, 2010 as a new Delaware corporation. The Company manufactures custom engineered rare earth and rare metal products. Its business is organized into four reportable segments: Resources; Chemicals and Oxides; Magnetic Materials and Alloys; and Rare Metals. The Resources segment includes its operations at the Molycorp Mountain Pass Rare Earth Facility, where it conducts rare earth minerals extraction to produce: rare earth concentrates; REO, including lanthanum, cerium, neodymium, praseodymium, and yttrium; heavy rare earth concentrates, which include samarium, europium, gadolinium, terbium, dysprosium, and others; and SorbXTM, a line of proprietary rare earth-based water treatment products. The Chemicals and Oxides segment includes: production of REO at its operations at Molycorp Silmet; separated heavy rare earth oxides and other custom engineered materials from its facilities in Jiangyin, Jiangsu Province, China; and production of REO, salts of rare earth elements, or REEs, zirconium-based engineered materials and mixed rare earth/zirconium oxides from its facilities in Zibo, Shandong Province, China. The Magnetic Materials and Alloys segment includes: the production of Neo Powders through its wholly-owned manufacturing facilities in Tianjin, China, and Korat, Thailand, under the Molycorp Magnequench brand. This operating segment also includes manufacturing of neodymium and samarium magnet alloys, other specialty alloy products and rare earth metals at its MMA facility, located in Tolleson, Arizona. The Rare Metals segment produces, reclaims, refines and markets high value niche metals and their compounds that include gallium, indium, rhenium, tantalum, and niobium. Applications from products made in this segment include wireless technologies, LED, flat panel display, turbine, solar, catalyst, steel additive, electronics applications, and others. The Company's operations are subject to numerous and detailed international, national, federal, state and local laws, regulations and permits affecting the mining and mineral processing industry, including those pertaining to employee health and safety, environmental permitting and licensing, air quality standards, greenhouse gas, or GHG, emissions, water usage and disposal, pollution, waste management, plant and wildlife protection, handling and disposal of radioactive substances, remediation of soil and groundwater contamination, land use, reclamation and restoration of properties, the discharge of materials into the environment and groundwater quality and availability.

Molycorp (XSWX:MCP) Headlines

No Headlines