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 23.32% is 26% below its 5-year average of 31.53%, near the low end of its 5-year range (23.32%–39.42%).
As of the fiscal period ended Tuesday, June 30, 2026. 18.51% below its 12-month average of 28.62%.
Trailing-twelve-month return on invested capital at each fiscal quarter end; no daily interpolation. Q2 FY2026 (2026-06-30): 23.32%.
RETURN ON INVESTED CAPITAL (ROIC)
23.32%
RETURN ON INVESTED CAPITAL (ROIC) AVG TTM
28.62%
RETURN ON INVESTED CAPITAL (ROIC) AVG 3Y
30.65%
RETURN ON INVESTED CAPITAL (ROIC) AVG 5Y
31.53%
RETURN ON INVESTED CAPITAL (ROIC) AVG 10Y
29.69%
RETURN ON INVESTED CAPITAL (ROIC) AVG 15Y
24.64%
RETURN ON INVESTED CAPITAL (ROIC) AVG 20Y
21.49%
CURRENT VS TTM AVG
-18.51%
CURRENT VS 3Y AVG
-23.91%
CURRENT VS 5Y AVG
-26.03%
CURRENT VS 10Y AVG
-21.44%
CURRENT VS 15Y AVG
-5.36%
CURRENT VS 20Y AVG
+8.53%
SECTOR MEDIAN · INDUSTRIALS
9.55%
median of 154 covered companies
CURRENT VS SECTOR MEDIAN
+144.08%
vs the sector median at left
Lennox International Inc.
Market Cap
$12.65B
Return on Invested Capital (ROIC)
23.32%
TTM Avg
28.62%
3Y Avg
30.65%
5Y Avg
31.53%
Market Cap
$12.42B
Return on Invested Capital (ROIC)
18.82%
TTM Avg
17.29%
3Y Avg
20.01%
5Y Avg
20.48%
Market Cap
$12.94B
Return on Invested Capital (ROIC)
13.49%
TTM Avg
16.11%
3Y Avg
20.03%
5Y Avg
19.49%
Market Cap
$13.04B
Return on Invested Capital (ROIC)
16.20%
TTM Avg
16.74%
3Y Avg
16.59%
5Y Avg
16.64%
Market Cap
$11.97B
Return on Invested Capital (ROIC)
17.08%
TTM Avg
15.92%
3Y Avg
15.93%
5Y Avg
14.44%
Market Cap
$13.48B
Return on Invested Capital (ROIC)
5.92%
TTM Avg
6.46%
3Y Avg
6.34%
5Y Avg
6.54%
Market Cap
$11.65B
Return on Invested Capital (ROIC)
10.04%
TTM Avg
11.46%
3Y Avg
8.25%
5Y Avg
7.23%
Market Cap
$13.75B
Return on Invested Capital (ROIC)
7.59%
TTM Avg
10.11%
3Y Avg
11.07%
5Y Avg
12.05%
Market Cap
$13.93B
Return on Invested Capital (ROIC)
5.95%
TTM Avg
5.87%
3Y Avg
6.12%
5Y Avg
6.02%
| NAME | MARKET CAP | RETURN ON INVESTED CAPITAL (ROIC) | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| Lennox International Inc. (LII) | $12.65B | 23.32% | 28.62% | 30.65% | 31.53% |
| Graco Inc. (GGG)vs › | $12.42B | 18.82% | 17.29% | 20.01% | 20.48% |
| Watsco, Inc. (WSO)vs › | $12.94B | 13.49% | 16.11% | 20.03% | 19.49% |
| Allegion plc (ALLE)vs › | $13.04B | 16.20% | 16.74% | 16.59% | 16.64% |
| Applied Industrial Technologies, Inc. (AIT)vs › | $11.97B | 17.08% | 15.92% | 15.93% | 14.44% |
| Stanley Black & Decker, Inc. (SWK)vs › | $13.48B | 5.92% | 6.46% | 6.34% | 6.54% |
| Crane Company (CR)vs › | $11.65B | 10.04% | 11.46% | 8.25% | 7.23% |
| BWX Technologies, Inc. (BWXT)vs › | $13.75B | 7.59% | 10.11% | 11.07% | 12.05% |
| Textron Inc. (TXT)vs › | $13.93B | 5.95% | 5.87% | 6.12% | 6.02% |
| Huntington Ingalls Industries, Inc. (HII)vs › | $11.02B | 5.32% | 4.81% | 5.62% | 6.51% |
ROIC
23.3%
ROE
59.7%
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 | 23.32% |
| 2026-03-31 | 24.66% |
| 2025-12-31 | 25.51% |
| 2025-09-30 | 36.04% |
| 2025-06-30 | 33.55% |
| 2025-03-31 | 33.81% |
| 2024-12-31 | 34.18% |
| 2024-09-30 | 34.48% |
| 2024-06-30 | 30.22% |
| 2024-03-31 | 30.76% |
| 2023-12-31 | 32.71% |
| 2023-09-30 | 29.32% |
| 2023-06-30 | 29.87% |
| 2023-03-31 | 29.07% |
| 2022-12-31 | 31.69% |
| 2022-09-30 | 30.25% |
| 2022-06-30 | 29.21% |
| 2022-03-31 | 30.35% |
| 2021-12-31 | 36.37% |
| 2021-09-30 | 39.42% |
| 2021-06-30 | 37.32% |
| 2021-03-31 | 32.89% |
| 2020-12-31 | 28.83% |
| 2020-09-30 | 33.01% |
| 2020-06-30 | 26.74% |
| 2020-03-31 | 31.58% |
| 2019-12-31 | 39.28% |
| 2019-09-30 | 30.57% |
| 2019-06-30 | 28.57% |
| 2019-03-31 | 30.02% |
| 2018-12-31 | 35.48% |
| 2018-09-30 | 28.64% |
| 2018-06-30 | 25.07% |
| 2018-03-31 | 23.00% |
| 2017-12-31 | 25.83% |
| 2017-09-30 | 23.63% |
| 2017-06-30 | 22.72% |
| 2017-03-31 | 23.99% |
| 2016-12-31 | 26.43% |
| 2016-09-30 | 20.80% |
| 2016-06-30 | 17.95% |
| 2016-03-31 | 16.76% |
| 2015-12-31 | 18.54% |
| 2015-09-30 | 18.58% |
| 2015-06-30 | 16.35% |
| 2015-03-31 | 16.23% |
| 2014-12-31 | 18.49% |
| 2014-09-30 | 16.06% |
| 2014-06-30 | 15.57% |
| 2014-03-31 | 15.63% |
| 2013-12-31 | 17.57% |
| 2013-09-30 | 16.14% |
| 2013-06-30 | 13.91% |
| 2013-03-31 | 12.93% |
| 2012-12-31 | 13.48% |
| 2012-09-30 | 11.56% |
| 2012-06-30 | 9.98% |
| 2012-03-31 | 9.86% |
| 2011-12-31 | 9.29% |
| 2011-09-30 | 10.03% |
| 2011-06-30 | 9.16% |
| 2011-03-31 | 9.80% |
| 2010-12-31 | 11.71% |
| 2010-09-30 | 9.87% |
| 2010-06-30 | 9.44% |
| 2010-03-31 | 8.21% |
| 2009-12-31 | 6.77% |
| 2009-09-30 | 7.26% |
| 2009-06-30 | 9.04% |
| 2009-03-31 | 10.40% |
| 2008-12-31 | 12.29% |
| 2008-09-30 | 12.80% |
| 2008-06-30 | 12.61% |
| 2008-03-31 | 13.17% |
| 2007-12-31 | 13.89% |
| 2007-09-30 | 14.79% |
| 2007-06-30 | 12.27% |
| 2007-03-31 | 13.97% |
| 2006-12-31 | 16.03% |
| 2006-09-30 | 15.82% |
| 2006-06-30 | 17.14% |
| 2006-03-31 | 15.81% |
| 2005-12-31 | 15.80% |
| 2005-09-30 | 13.46% |
| 2005-06-30 | 11.83% |
| 2005-03-31 | 11.58% |
| 2004-12-31 | -3.83% |
| 2004-09-30 | -4.06% |
| 2004-06-30 | -3.64% |
| 2004-03-31 | -4.96% |
| 2003-12-31 | 9.20% |
| 2003-09-30 | 7.64% |
| 2003-06-30 | 7.53% |
