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 16.45% is in line with its 5-year average of 15.91%, near the high end of its 5-year range (5.46%–17.94%).
As of the fiscal period ended Tuesday, June 30, 2026. 3.23% above its 12-month average of 15.93%.
Trailing-twelve-month return on invested capital at each fiscal quarter end; no daily interpolation. Q2 FY2026 (2026-06-30): 16.45%.
RETURN ON INVESTED CAPITAL (ROIC)
16.45%
RETURN ON INVESTED CAPITAL (ROIC) AVG TTM
15.93%
RETURN ON INVESTED CAPITAL (ROIC) AVG 3Y
15.46%
RETURN ON INVESTED CAPITAL (ROIC) AVG 5Y
15.91%
RETURN ON INVESTED CAPITAL (ROIC) AVG 10Y
10.76%
RETURN ON INVESTED CAPITAL (ROIC) AVG 15Y
10.67%
RETURN ON INVESTED CAPITAL (ROIC) AVG 20Y
12.17%
CURRENT VS TTM AVG
+3.23%
CURRENT VS 3Y AVG
+6.39%
CURRENT VS 5Y AVG
+3.34%
CURRENT VS 10Y AVG
+52.80%
CURRENT VS 15Y AVG
+54.17%
CURRENT VS 20Y AVG
+35.19%
SECTOR MEDIAN · INDUSTRIALS
9.55%
median of 154 covered companies
CURRENT VS SECTOR MEDIAN
+72.13%
vs the sector median at left
ABB Ltd
Market Cap
$182.11B
Return on Invested Capital (ROIC)
16.45%
TTM Avg
15.93%
3Y Avg
15.46%
5Y Avg
15.91%
Market Cap
$184.83B
Return on Invested Capital (ROIC)
7.20%
TTM Avg
7.16%
3Y Avg
9.76%
5Y Avg
9.33%
Market Cap
$190.99B
Return on Invested Capital (ROIC)
10.96%
TTM Avg
10.36%
3Y Avg
10.24%
5Y Avg
9.45%
Market Cap
$169.08B
Return on Invested Capital (ROIC)
9.09%
TTM Avg
13.05%
3Y Avg
11.55%
5Y Avg
10.10%
Market Cap
$167.33B
Return on Invested Capital (ROIC)
15.14%
TTM Avg
14.94%
3Y Avg
11.63%
5Y Avg
6.26%
Market Cap
$160.18B
Return on Invested Capital (ROIC)
11.65%
TTM Avg
11.62%
3Y Avg
11.69%
5Y Avg
11.48%
Market Cap
$158.98B
Return on Invested Capital (ROIC)
-7.72%
TTM Avg
-12.31%
3Y Avg
-8.28%
5Y Avg
-9.55%
Market Cap
$157.39B
Return on Invested Capital (ROIC)
12.41%
TTM Avg
17.58%
3Y Avg
13.72%
5Y Avg
9.91%
Market Cap
$136.86B
Return on Invested Capital (ROIC)
14.46%
TTM Avg
9.09%
3Y Avg
-0.69%
5Y Avg
-2.26%
| NAME | MARKET CAP | RETURN ON INVESTED CAPITAL (ROIC) | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| ABB Ltd (ABBNY) | $182.11B | 16.45% | 15.93% | 15.46% | 15.91% |
| Deere & Company (DE)vs › | $184.83B | 7.20% | 7.16% | 9.76% | 9.33% |
| Schneider Electric S.E. (SBGSY)vs › | $190.99B | 10.96% | 10.36% | 10.24% | 9.45% |
| Eaton Corporation plc (ETN)vs › | $169.08B | 9.09% | 13.05% | 11.55% | 10.10% |
| Rolls-Royce Holdings plc (RYCEY)vs › | $167.33B | 15.14% | 14.94% | 11.63% | 6.26% |
| Union Pacific Corporation (UNP)vs › | $160.18B | 11.65% | 11.62% | 11.69% | 11.48% |
| The Boeing Company (BA)vs › | $158.98B | -7.72% | -12.31% | -8.28% | -9.55% |
| Safran S.A. (SAFRY)vs › | $157.39B | 12.41% | 17.58% | 13.72% | 9.91% |
| Siemens Energy AG (SMEGF)vs › | $136.86B | 14.46% | 9.09% | -0.69% | -2.26% |
| Lockheed Martin Corporation (LMT)vs › | $123.57B | 20.07% | 16.86% | 18.35% | 18.91% |
ROIC
16.4%
ROE
31.7%
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 | 16.45% |
| 2026-03-31 | 16.75% |
| 2025-12-31 | 16.07% |
| 2025-09-30 | 15.41% |
| 2025-06-30 | 14.98% |
| 2025-03-31 | 15.57% |
| 2024-12-31 | 14.66% |
| 2024-09-30 | 15.23% |
| 2024-06-30 | 15.67% |
| 2024-03-31 | 14.77% |
| 2023-12-31 | 15.37% |
| 2023-09-30 | 16.06% |
| 2023-06-30 | 13.99% |
| 2023-03-31 | 11.93% |
| 2022-12-31 | 10.32% |
| 2022-09-30 | 16.92% |
| 2022-06-30 | 17.47% |
| 2022-03-31 | 17.26% |
| 2021-12-31 | 17.94% |
| 2021-09-30 | 9.17% |
| 2021-06-30 | 5.46% |
| 2021-03-31 | 4.30% |
| 2020-12-31 | 3.25% |
| 2020-09-30 | 3.01% |
| 2020-06-30 | 4.93% |
| 2020-03-31 | 3.45% |
| 2019-12-31 | 4.03% |
| 2019-09-30 | 3.79% |
| 2019-06-30 | 4.54% |
| 2019-03-31 | 7.00% |
| 2018-12-31 | 8.09% |
| 2018-09-30 | 8.50% |
| 2018-06-30 | 8.24% |
| 2018-03-31 | 8.83% |
| 2017-12-31 | 9.09% |
| 2017-09-30 | 9.55% |
| 2017-06-30 | 9.91% |
| 2017-03-31 | 9.38% |
| 2016-12-31 | 8.83% |
| 2016-09-30 | 7.47% |
| 2016-06-30 | 7.67% |
| 2016-03-31 | 7.81% |
| 2015-12-31 | 8.17% |
| 2015-09-30 | 9.72% |
| 2015-06-30 | 10.21% |
| 2015-03-31 | 9.98% |
| 2014-12-31 | 9.74% |
| 2014-09-30 | 9.22% |
| 2014-06-30 | 9.26% |
| 2014-03-31 | 9.13% |
| 2013-12-31 | 10.02% |
| 2013-09-30 | 10.33% |
| 2013-06-30 | 10.50% |
| 2013-03-31 | 9.52% |
| 2012-12-31 | 9.26% |
| 2012-09-30 | 10.43% |
| 2012-06-30 | 10.91% |
| 2012-03-31 | 12.74% |
| 2011-12-31 | 14.49% |
| 2011-09-30 | 13.80% |
| 2011-06-30 | 14.19% |
| 2011-03-31 | 13.92% |
| 2010-12-31 | 13.75% |
| 2010-09-30 | 13.26% |
| 2010-06-30 | 13.23% |
| 2010-03-31 | 13.42% |
| 2009-12-31 | 14.34% |
| 2009-09-30 | 18.42% |
| 2009-06-30 | 19.89% |
| 2009-03-31 | 22.80% |
| 2008-12-31 | 24.39% |
| 2008-09-30 | 23.98% |
| 2008-06-30 | 21.60% |
| 2008-03-31 | 21.01% |
| 2007-12-31 | 19.83% |
| 2007-09-30 | 17.25% |
| 2007-06-30 | 16.18% |
| 2007-03-31 | 13.53% |
| 2006-12-31 | 12.07% |
| 2006-09-30 | 11.33% |
| 2006-06-30 | 10.46% |
| 2006-03-31 | 10.28% |
| 2005-12-31 | 10.31% |
| 2005-09-30 | 8.78% |
| 2005-06-30 | 7.46% |
| 2005-03-31 | 6.73% |
| 2004-12-31 | 6.11% |
| 2004-09-30 | 5.35% |
| 2004-06-30 | 4.58% |
| 2004-03-31 | 4.43% |
| 2003-12-31 | 3.61% |
| 2003-09-30 | 3.08% |
| 2003-06-30 | 2.63% |
