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 1.03% is 48% below its 5-year average of 1.99%, around the middle of its 5-year range (-4.92%–6.71%).
As of the fiscal period ended Friday, July 31, 2026. 73.45% below its 12-month average of 3.89%.
Trailing-twelve-month return on invested capital at each fiscal quarter end; no daily interpolation.
RETURN ON INVESTED CAPITAL (ROIC)
1.03%
RETURN ON INVESTED CAPITAL (ROIC) AVG TTM
3.89%
RETURN ON INVESTED CAPITAL (ROIC) AVG 3Y
5.40%
RETURN ON INVESTED CAPITAL (ROIC) AVG 5Y
1.99%
RETURN ON INVESTED CAPITAL (ROIC) AVG 10Y
-1.29%
RETURN ON INVESTED CAPITAL (ROIC) AVG 15Y
-3.29%
RETURN ON INVESTED CAPITAL (ROIC) AVG 20Y
N/A
CURRENT VS TTM AVG
-73.45%
CURRENT VS 3Y AVG
-80.86%
CURRENT VS 5Y AVG
-48.08%
CURRENT VS 10Y AVG
+180.10%
CURRENT VS 15Y AVG
+131.40%
CURRENT VS 20Y AVG
N/A
SECTOR MEDIAN · TECHNOLOGY
8.17%
median of 193 covered companies
CURRENT VS SECTOR MEDIAN
-87.36%
vs the sector median at left
Palo Alto Networks, Inc.
Market Cap
$271.80B
Return on Invested Capital (ROIC)
1.03%
TTM Avg
3.89%
3Y Avg
5.40%
5Y Avg
1.99%
Market Cap
$264.78B
Return on Invested Capital (ROIC)
64.29%
TTM Avg
64.29%
3Y Avg
16.19%
5Y Avg
7.93%
Market Cap
$288.34B
Return on Invested Capital (ROIC)
7.33%
TTM Avg
8.81%
3Y Avg
7.18%
5Y Avg
7.18%
Market Cap
$247.67B
Return on Invested Capital (ROIC)
13.02%
TTM Avg
8.86%
3Y Avg
7.92%
5Y Avg
8.43%
Market Cap
$245.20B
Return on Invested Capital (ROIC)
21.80%
TTM Avg
22.69%
3Y Avg
23.35%
5Y Avg
21.10%
Market Cap
$242.07B
Return on Invested Capital (ROIC)
35.75%
TTM Avg
36.17%
3Y Avg
33.56%
5Y Avg
32.79%
Market Cap
$237.87B
Return on Invested Capital (ROIC)
18.81%
TTM Avg
15.57%
3Y Avg
22.12%
5Y Avg
25.71%
Market Cap
$217.33B
Return on Invested Capital (ROIC)
10.12%
TTM Avg
9.80%
3Y Avg
8.91%
5Y Avg
7.63%
Market Cap
$212.40B
Return on Invested Capital (ROIC)
-1.57%
TTM Avg
-2.75%
3Y Avg
-3.01%
5Y Avg
-3.90%
| NAME | MARKET CAP | RETURN ON INVESTED CAPITAL (ROIC) | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| Palo Alto Networks, Inc. (PANW) | $271.80B | 1.03% | 3.89% | 5.40% | 1.99% |
| Sandisk Corporation (SNDK)vs › | $264.78B | 64.29% | 64.29% | 16.19% | 7.93% |
| Arm Holdings plc American Depositary Shares (ARM)vs › | $288.34B | 7.33% | 8.81% | 7.18% | 7.18% |
| SAP SE (SAP)vs › | $247.67B | 13.02% | 8.86% | 7.92% | 8.43% |
| Arista Networks, Inc. (ANET)vs › | $245.20B | 21.80% | 22.69% | 23.35% | 21.10% |
| KLA Corporation (KLAC)vs › | $242.07B | 35.75% | 36.17% | 33.56% | 32.79% |
| Texas Instruments Incorporated (TXN)vs › | $237.87B | 18.81% | 15.57% | 22.12% | 25.71% |
| International Business Machines Corporation (IBM)vs › | $217.33B | 10.12% | 9.80% | 8.91% | 7.63% |
| CrowdStrike Holdings, Inc. (CRWD)vs › | $212.40B | -1.57% | -2.75% | -3.01% | -3.90% |
| Marvell Technology, Inc. (MRVL)vs › | $207.47B | 5.44% | 1.03% | -0.05% | -0.75% |
ROIC
1.0%
ROE
1.1%
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) |
|---|---|
| 2026-07-31 | 1.03% |
| 2026-04-30 | 1.65% |
| 2026-01-31 | 5.78% |
| 2025-10-31 | 5.35% |
| 2025-07-31 | 5.64% |
| 2025-04-30 | 6.27% |
| 2025-01-31 | 6.71% |
| 2024-10-31 | 5.54% |
| 2024-07-31 | 5.15% |
| 2024-04-30 | 5.82% |
| 2024-01-31 | 4.87% |
| 2023-10-31 | 4.79% |
| 2023-07-31 | 3.43% |
| 2023-04-30 | 1.31% |
| 2023-01-31 | 0.15% |
| 2022-10-31 | -1.13% |
| 2022-07-31 | -2.48% |
| 2022-04-30 | -3.73% |
| 2022-01-31 | -4.91% |
| 2021-10-31 | -4.92% |
| 2021-07-31 | -4.55% |
| 2021-04-30 | -3.99% |
| 2021-01-31 | -3.13% |
| 2020-10-31 | -2.82% |
| 2020-07-31 | -2.81% |
| 2020-04-30 | -4.11% |
| 2020-01-31 | -2.70% |
| 2019-10-31 | -1.55% |
| 2019-07-31 | -1.19% |
| 2019-04-30 | -0.81% |
| 2019-01-31 | -1.56% |
| 2018-10-31 | -2.16% |
| 2018-07-31 | -2.66% |
| 2018-04-30 | -5.92% |
| 2018-01-31 | -6.60% |
| 2017-10-31 | -8.10% |
| 2017-07-31 | -8.04% |
| 2017-04-30 | -9.01% |
| 2017-01-31 | -9.23% |
| 2016-10-31 | -9.33% |
| 2016-07-31 | -8.95% |
| 2016-04-30 | -9.55% |
| 2016-01-31 | -9.42% |
| 2015-10-31 | -9.40% |
| 2015-07-31 | -14.31% |
| 2015-04-30 | -9.41% |
| 2015-01-31 | -18.56% |
| 2014-10-31 | -19.68% |
| 2014-07-31 | -19.05% |
| 2014-04-30 | -43.49% |
| 2014-01-31 | -13.49% |
| 2013-10-31 | -5.47% |
| 2013-07-31 | -4.91% |
| 2013-04-30 | -4.48% |
| 2013-01-31 | -2.98% |
| 2012-10-31 | -2.04% |
| 2012-07-31 | 0.75% |
| 2012-04-30 | 2.49% |
| 2012-01-31 | 1.61% |
