Basis: Trailing twelve months (TTM), to the latest fiscal quarter end. Source: stored company filings and market data; unavailable inputs remain N/A.
Is the return on invested capital (ROIC) high or low?
The return on invested capital (ROIC) of 5.02% is in line with its 5-year average of 4.61%, near the low end of its 5-year range (3.50%–11.25%).
As of the fiscal period ended Tuesday, June 30, 2026. 5.83% above its 12-month average of 4.74%.
Trailing-twelve-month return on invested capital at each fiscal quarter end; no daily interpolation. Q2 FY2026 (2026-06-30): 5.02%.
RETURN ON INVESTED CAPITAL (ROIC)
5.02%
RETURN ON INVESTED CAPITAL (ROIC) AVG TTM
4.74%
RETURN ON INVESTED CAPITAL (ROIC) AVG 3Y
4.94%
RETURN ON INVESTED CAPITAL (ROIC) AVG 5Y
4.61%
RETURN ON INVESTED CAPITAL (ROIC) AVG 10Y
8.09%
RETURN ON INVESTED CAPITAL (ROIC) AVG 15Y
8.11%
RETURN ON INVESTED CAPITAL (ROIC) AVG 20Y
7.99%
CURRENT VS TTM AVG
+5.83%
CURRENT VS 3Y AVG
+1.47%
CURRENT VS 5Y AVG
+8.75%
CURRENT VS 10Y AVG
-37.98%
CURRENT VS 15Y AVG
-38.16%
CURRENT VS 20Y AVG
-37.21%
SECTOR MEDIAN · INDUSTRIALS
9.55%
median of 154 covered companies
CURRENT VS SECTOR MEDIAN
-47.51%
vs the sector median at left
Canadian Pacific Kansas City Ltd.
Market Cap
$76.76B
Return on Invested Capital (ROIC)
5.02%
TTM Avg
4.74%
3Y Avg
4.94%
5Y Avg
4.61%
Market Cap
$78.20B
Return on Invested Capital (ROIC)
8.99%
TTM Avg
11.29%
3Y Avg
13.45%
5Y Avg
14.09%
Market Cap
$78.25B
Return on Invested Capital (ROIC)
24.71%
TTM Avg
25.90%
3Y Avg
25.08%
5Y Avg
23.03%
Market Cap
$78.54B
Return on Invested Capital (ROIC)
7.65%
TTM Avg
1.50%
3Y Avg
-6.50%
5Y Avg
-6.96%
Market Cap
$79.11B
Return on Invested Capital (ROIC)
23.53%
TTM Avg
23.31%
3Y Avg
21.46%
5Y Avg
19.94%
Market Cap
$72.54B
Return on Invested Capital (ROIC)
8.89%
TTM Avg
8.82%
3Y Avg
9.98%
5Y Avg
9.70%
Market Cap
$72.31B
Return on Invested Capital (ROIC)
9.97%
TTM Avg
9.50%
3Y Avg
8.59%
5Y Avg
9.56%
Market Cap
$71.90B
Return on Invested Capital (ROIC)
10.95%
TTM Avg
12.63%
3Y Avg
10.01%
5Y Avg
10.48%
Market Cap
$83.12B
Return on Invested Capital (ROIC)
9.01%
TTM Avg
8.59%
3Y Avg
9.20%
5Y Avg
8.88%
| NAME | MARKET CAP | RETURN ON INVESTED CAPITAL (ROIC) | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| Canadian Pacific Kansas City Ltd. (CP) | $76.76B | 5.02% | 4.74% | 4.94% | 4.61% |
| United Parcel Service, Inc. (UPS)vs › | $78.20B | 8.99% | 11.29% | 13.45% | 14.09% |
| Illinois Tool Works Inc. (ITW)vs › | $78.25B | 24.71% | 25.90% | 25.08% | 23.03% |
| Bloom Energy Corporation (BE)vs › | $78.54B | 7.65% | 1.50% | -6.50% | -6.96% |
| Cintas Corporation (CTAS)vs › | $79.11B | 23.53% | 23.31% | 21.46% | 19.94% |
| Canadian National Railway Company (CNI)vs › | $72.54B | 8.89% | 8.82% | 9.98% | 9.70% |
| Northrop Grumman Corporation (NOC)vs › | $72.31B | 9.97% | 9.50% | 8.59% | 9.56% |
| Cummins Inc. (CMI)vs › | $71.90B | 10.95% | 12.63% | 10.01% | 10.48% |
| Waste Management, Inc. (WM)vs › | $83.12B | 9.01% | 8.59% | 9.20% | 8.88% |
| Norfolk Southern Corporation (NSC)vs › | $70.34B | 7.33% | 7.38% | 7.64% | 7.88% |
ROIC
5.0%
ROE
8.4%
ROIC = NOPAT / Invested Capital, where NOPAT = Operating Income × (1 − effective tax rate) and Invested Capital = Total Assets − (Current Liabilities − Short-Term Debt)
Return on invested capital measures the after-tax operating return a company earns on the capital invested in the business. TGMCharts computes it from reported statements: trailing-twelve-month operating income after tax, over invested capital at the latest balance sheet — total assets less the non-interest-bearing current liabilities (payables, accruals, deferred revenue) that fund them; short-term debt stays in the capital base. The tax rate is the period's own effective rate (income tax ÷ pretax income), capped at 45%; when pretax income is zero or negative, or the tax line is a net benefit, no tax is deducted — the operating figure is shown untaxed rather than adjusted by an assumed rate. Not shown for banks, insurers or funds.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
| DATE | RETURN ON INVESTED CAPITAL (ROIC) |
|---|---|
| 2026-06-30 | 5.02% |
| 2026-03-31 | 4.97% |
| 2025-12-31 | 5.03% |
| 2025-09-30 | 3.67% |
| 2025-06-30 | 5.01% |
| 2025-03-31 | 5.01% |
| 2024-12-31 | 4.89% |
| 2024-09-30 | 4.88% |
| 2024-06-30 | 4.85% |
| 2024-03-31 | 6.00% |
| 2023-12-31 | 5.57% |
| 2023-09-30 | 5.06% |
| 2023-06-30 | 4.72% |
| 2023-03-31 | 4.25% |
| 2022-12-31 | 4.00% |
| 2022-09-30 | 3.77% |
| 2022-06-30 | 3.50% |
| 2022-03-31 | 3.62% |
| 2021-12-31 | 3.81% |
| 2021-09-30 | 10.68% |
| 2021-06-30 | 11.25% |
| 2021-03-31 | 10.70% |
| 2020-12-31 | 10.75% |
| 2020-09-30 | 10.74% |
| 2020-06-30 | 11.42% |
| 2020-03-31 | 12.50% |
| 2019-12-31 | 11.44% |
| 2019-09-30 | 11.32% |
| 2019-06-30 | 11.36% |
| 2019-03-31 | 10.50% |
| 2018-12-31 | 11.06% |
| 2018-09-30 | 12.86% |
| 2018-06-30 | 12.81% |
| 2018-03-31 | 12.67% |
| 2017-12-31 | 12.56% |
| 2017-09-30 | 9.99% |
| 2017-06-30 | 9.69% |
| 2017-03-31 | 9.60% |
| 2016-12-31 | 10.10% |
| 2016-09-30 | 9.54% |
| 2016-06-30 | 10.40% |
| 2016-03-31 | 10.50% |
| 2015-12-31 | 10.77% |
| 2015-09-30 | 12.04% |
| 2015-06-30 | 12.00% |
| 2015-03-31 | 12.58% |
| 2014-12-31 | 11.56% |
| 2014-09-30 | 8.49% |
| 2014-06-30 | 7.95% |
| 2014-03-31 | 7.32% |
| 2013-12-31 | 7.13% |
| 2013-09-30 | 7.01% |
| 2013-06-30 | 6.68% |
| 2013-03-31 | 5.75% |
| 2012-12-31 | 5.31% |
| 2012-09-30 | 6.81% |
| 2012-06-30 | 6.77% |
| 2012-03-31 | 6.81% |
| 2011-12-31 | 6.15% |
| 2011-09-30 | 5.91% |
| 2011-06-30 | 5.59% |
| 2011-03-31 | 5.85% |
| 2010-12-31 | 6.40% |
| 2010-09-30 | 7.23% |
| 2010-06-30 | 7.30% |
| 2010-03-31 | 6.06% |
| 2009-12-31 | 5.55% |
| 2009-09-30 | 6.20% |
| 2009-06-30 | 6.39% |
| 2009-03-31 | 7.43% |
| 2008-12-31 | 8.27% |
| 2008-09-30 | 8.43% |
| 2008-06-30 | 8.59% |
| 2008-03-31 | 9.27% |
| 2007-12-31 | 9.05% |
| 2007-09-30 | -27.92% |
| 2007-06-30 | -29.87% |
| 2007-03-31 | -42.12% |
| 2006-12-31 | -42.37% |
| 2006-09-30 | 9.21% |
| 2006-06-30 | 9.12% |
| 2006-03-31 | 6.97% |
| 2005-12-31 | 6.61% |
| 2005-09-30 | 6.37% |
| 2005-06-30 | 6.36% |
| 2005-03-31 | 5.79% |
| 2004-12-31 | 5.31% |
| 2004-09-30 | 6.09% |
| 2004-06-30 | 5.96% |
| 2004-03-31 | 6.68% |
| 2003-12-31 | 6.81% |
| 2003-09-30 | 6.29% |
| 2003-06-30 | 6.39% |
