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 19.89% is 21% above its 5-year average of 16.50%, near the high end of its 5-year range (10.99%–20.83%).
As of the fiscal period ended Tuesday, June 30, 2026. 1.61% below its 12-month average of 20.22%.
Trailing-twelve-month return on invested capital at each fiscal quarter end; no daily interpolation. Q2 FY2026 (2026-06-30): 19.89%.
RETURN ON INVESTED CAPITAL (ROIC)
19.89%
RETURN ON INVESTED CAPITAL (ROIC) AVG TTM
20.22%
RETURN ON INVESTED CAPITAL (ROIC) AVG 3Y
18.66%
RETURN ON INVESTED CAPITAL (ROIC) AVG 5Y
16.50%
RETURN ON INVESTED CAPITAL (ROIC) AVG 10Y
13.16%
RETURN ON INVESTED CAPITAL (ROIC) AVG 15Y
11.04%
RETURN ON INVESTED CAPITAL (ROIC) AVG 20Y
9.72%
CURRENT VS TTM AVG
-1.61%
CURRENT VS 3Y AVG
+6.61%
CURRENT VS 5Y AVG
+20.53%
CURRENT VS 10Y AVG
+51.18%
CURRENT VS 15Y AVG
+80.18%
CURRENT VS 20Y AVG
+104.62%
SECTOR MEDIAN · INDUSTRIALS
9.55%
median of 154 covered companies
CURRENT VS SECTOR MEDIAN
+108.17%
vs the sector median at left
Trane Technologies plc
Market Cap
$96.33B
Return on Invested Capital (ROIC)
19.89%
TTM Avg
20.22%
3Y Avg
18.66%
5Y Avg
16.50%
Market Cap
$96.61B
Return on Invested Capital (ROIC)
8.49%
TTM Avg
7.59%
3Y Avg
7.41%
5Y Avg
7.19%
Market Cap
$97.58B
Return on Invested Capital (ROIC)
20.78%
TTM Avg
16.59%
3Y Avg
12.27%
5Y Avg
10.46%
Market Cap
$92.91B
Return on Invested Capital (ROIC)
10.94%
TTM Avg
10.38%
3Y Avg
9.82%
5Y Avg
9.64%
Market Cap
$90.17B
Return on Invested Capital (ROIC)
18.58%
TTM Avg
16.88%
3Y Avg
13.48%
5Y Avg
11.66%
Market Cap
$87.32B
Return on Invested Capital (ROIC)
14.64%
TTM Avg
12.53%
3Y Avg
11.28%
5Y Avg
12.46%
Market Cap
$86.40B
Return on Invested Capital (ROIC)
7.93%
TTM Avg
6.36%
3Y Avg
6.09%
5Y Avg
7.57%
Market Cap
$86.31B
Return on Invested Capital (ROIC)
8.99%
TTM Avg
9.30%
3Y Avg
10.17%
5Y Avg
9.93%
Market Cap
$83.01B
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 |
|---|---|---|---|---|---|
| Trane Technologies plc (TT) | $96.33B | 19.89% | 20.22% | 18.66% | 16.50% |
| Quanta Services, Inc. (PWR)vs › | $96.61B | 8.49% | 7.59% | 7.41% | 7.19% |
| Vertiv Holdings Co (VRT)vs › | $97.58B | 20.78% | 16.59% | 12.27% | 10.46% |
| General Dynamics Corporation (GD)vs › | $92.91B | 10.94% | 10.38% | 9.82% | 9.64% |
| Howmet Aerospace Inc. (HWM)vs › | $90.17B | 18.58% | 16.88% | 13.48% | 11.66% |
| 3M Company (MMM)vs › | $87.32B | 14.64% | 12.53% | 11.28% | 12.46% |
| Emerson Electric Co. (EMR)vs › | $86.40B | 7.93% | 6.36% | 6.09% | 7.57% |
| CSX Corporation (CSX)vs › | $86.31B | 8.99% | 9.30% | 10.17% | 9.93% |
| Waste Management, Inc. (WM)vs › | $83.01B | 9.01% | 8.59% | 9.20% | 8.88% |
| Bloom Energy Corporation (BE)vs › | $81.45B | 7.65% | 1.50% | -6.50% | -6.96% |
ROIC
19.9%
ROE
34.1%
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) |
|---|---|
| 2026-06-30 | 19.89% |
| 2026-03-31 | 19.62% |
| 2025-12-31 | 20.26% |
| 2025-09-30 | 20.49% |
| 2025-06-30 | 20.83% |
| 2025-03-31 | 20.42% |
| 2024-12-31 | 19.43% |
| 2024-09-30 | 17.98% |
| 2024-06-30 | 17.84% |
| 2024-03-31 | 17.49% |
| 2023-12-31 | 16.49% |
| 2023-09-30 | 16.05% |
| 2023-06-30 | 15.75% |
| 2023-03-31 | 15.32% |
| 2022-12-31 | 14.88% |
| 2022-09-30 | 14.08% |
| 2022-06-30 | 13.10% |
| 2022-03-31 | 12.47% |
| 2021-12-31 | 12.06% |
| 2021-09-30 | 11.13% |
| 2021-06-30 | 10.99% |
| 2021-03-31 | 9.80% |
| 2020-12-31 | 8.08% |
| 2020-09-30 | 7.90% |
| 2020-06-30 | 8.03% |
| 2020-03-31 | 8.84% |
| 2019-12-31 | 8.51% |
| 2019-09-30 | 8.76% |
| 2019-06-30 | 9.60% |
| 2019-03-31 | 10.22% |
| 2018-12-31 | 11.42% |
| 2018-09-30 | 12.96% |
| 2018-06-30 | 11.88% |
| 2018-03-31 | 10.88% |
| 2017-12-31 | 10.87% |
| 2017-09-30 | 8.90% |
| 2017-06-30 | 8.79% |
| 2017-03-31 | 9.47% |
| 2016-12-31 | 9.40% |
| 2016-09-30 | 9.35% |
| 2016-06-30 | 9.20% |
| 2016-03-31 | 6.38% |
| 2015-12-31 | 6.08% |
| 2015-09-30 | 5.70% |
| 2015-06-30 | 5.62% |
| 2015-03-31 | 7.51% |
| 2014-12-31 | 7.54% |
| 2014-09-30 | 6.76% |
| 2014-06-30 | 6.40% |
| 2014-03-31 | 6.35% |
| 2013-12-31 | 5.99% |
| 2013-09-30 | 6.76% |
| 2013-06-30 | 6.69% |
| 2013-03-31 | 7.82% |
| 2012-12-31 | 8.09% |
| 2012-09-30 | 8.26% |
| 2012-06-30 | 6.79% |
| 2012-03-31 | 6.26% |
| 2011-12-31 | 6.46% |
| 2011-09-30 | 5.85% |
| 2011-06-30 | 6.68% |
| 2011-03-31 | 6.48% |
| 2010-12-31 | 6.60% |
| 2010-09-30 | 6.19% |
| 2010-06-30 | 6.14% |
| 2010-03-31 | 5.40% |
| 2009-12-31 | 4.22% |
| 2009-09-30 | -17.10% |
| 2009-06-30 | -16.64% |
| 2009-03-31 | -15.90% |
| 2008-12-31 | -14.49% |
| 2008-09-30 | 4.36% |
| 2008-06-30 | 3.99% |
| 2008-03-31 | 6.86% |
| 2007-12-31 | 6.96% |
| 2007-09-30 | 9.45% |
| 2007-06-30 | 9.59% |
| 2007-03-31 | 9.13% |
| 2006-12-31 | 10.40% |
| 2006-09-30 | 10.96% |
| 2006-06-30 | 11.49% |
| 2006-03-31 | 12.02% |
| 2005-12-31 | 12.01% |
| 2005-09-30 | 11.74% |
| 2005-06-30 | 11.31% |
| 2005-03-31 | 10.98% |
| 2004-12-31 | 10.52% |
| 2004-09-30 | 11.03% |
| 2004-06-30 | 10.41% |
| 2004-03-31 | 9.37% |
| 2003-12-31 | 8.45% |
| 2003-09-30 | 8.06% |
| 2003-06-30 | 7.58% |
