United Parcel Service, Inc. (UPS) Return on Invested Capital (ROIC): 10.40%
Is United Parcel Service, Inc.’s return on invested capital (ROIC) high or low?
United Parcel Service, Inc.'s return on invested capital (ROIC) of 10.40% is 25% below its 5-year average of 13.95%, near the low end of its 5-year range (10.40%–18.66%).
The return on invested capital (ROIC) for United Parcel Service, Inc. (UPS) is 10.40% as of Wednesday, June 10, 2026. It is below its 12-month average by 7.18% (11.21%).
UPS Return on Invested Capital (ROIC) Chart
UPS Average Return on Invested Capital (ROIC) Chart
UPS Current vs Average Return on Invested Capital (ROIC) Chart
UPS Return on Invested Capital (ROIC) Metrics
RETURN ON INVESTED CAPITAL (ROIC)
10.40%
RETURN ON INVESTED CAPITAL (ROIC) AVG TTM
11.21%
RETURN ON INVESTED CAPITAL (ROIC) AVG 3Y
13.32%
RETURN ON INVESTED CAPITAL (ROIC) AVG 5Y
13.95%
RETURN ON INVESTED CAPITAL (ROIC) AVG 10Y
13.80%
RETURN ON INVESTED CAPITAL (ROIC) AVG 15Y
13.27%
RETURN ON INVESTED CAPITAL (ROIC) AVG 20Y
12.71%
CURRENT VS TTM AVG
-7.18%
CURRENT VS 3Y AVG
-21.92%
CURRENT VS 5Y AVG
-25.44%
CURRENT VS 10Y AVG
-24.64%
CURRENT VS 15Y AVG
-21.64%
CURRENT VS 20Y AVG
-18.17%
UPS Competitors' Return on Invested Capital (ROIC)
| NAME | MARKET CAP | RETURN ON INVESTED CAPITAL (ROIC) | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| United Parcel Service, Inc. (UPS) | — | 10.40% | 11.21% | 13.32% | 13.95% |
| Cummins Inc. (CMI) | $87.60B | 11.41% | 12.55% | 9.89% | 10.37% |
| Automatic Data Processing, Inc. (ADP) | $92.41B | 24.66% | 32.02% | 35.59% | 31.77% |
| 3M Company (MMM) | $81.79B | 11.53% | 12.46% | 10.54% | 11.94% |
| Emerson Electric Co. (EMR) | $76.94B | 7.26% | 6.33% | 6.09% | 7.58% |
| Illinois Tool Works Inc. (ITW) | $72.19B | 24.49% | 25.84% | 24.99% | 22.94% |
| Parker-Hannifin Corporation (PH) | $111.11B | 13.69% | 12.91% | 11.49% | 10.97% |
| Rocket Lab USA, Inc. (RKLB) | $62.17B | -10.09% | -16.12% | -18.18% | -20.49% |
| PACCAR Inc (PCAR) | $60.21B | 6.39% | 8.44% | 10.51% | 8.23% |
| Lockheed Martin Corporation (LMT) | $121.37B | 17.39% | 16.86% | 18.35% | 18.91% |
Capital Efficiency
ROIC
10.4%
ROE
33.3%
United Parcel Service, Inc. Return on Invested Capital (ROIC) Formula & Definition
ROIC = NOPAT / Invested Capital
Return on invested capital measures the after-tax return a company earns on all capital (debt and equity) invested in the business.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
United Parcel Service, Inc. Return on Invested Capital (ROIC) FAQ
- What is the return on invested capital (ROIC) for United Parcel Service, Inc. (UPS)?
- The return on invested capital (ROIC) for UPS stock is 10.40%.
- Is United Parcel Service, Inc.'s return on invested capital (ROIC) high or low?
- United Parcel Service, Inc.'s return on invested capital (ROIC) of 10.40% is 25% below its 5-year average of 13.95%, near the low end of its 5-year range (10.40%–18.66%).
- What is the TTM average return on invested capital (ROIC) for United Parcel Service, Inc. (UPS)?
- The TTM average return on invested capital (ROIC) for UPS stock is 11.21%.
- What is the 3Y average return on invested capital (ROIC) for United Parcel Service, Inc. (UPS)?
- The 3Y average return on invested capital (ROIC) for UPS stock is 13.32%.
- What is the 5Y average return on invested capital (ROIC) for United Parcel Service, Inc. (UPS)?
- The 5Y average return on invested capital (ROIC) for UPS stock is 13.95%.
- What is the 10Y average return on invested capital (ROIC) for United Parcel Service, Inc. (UPS)?
- The 10Y average return on invested capital (ROIC) for UPS stock is 13.80%.
- What is the 15Y average return on invested capital (ROIC) for United Parcel Service, Inc. (UPS)?
- The 15Y average return on invested capital (ROIC) for UPS stock is 13.27%.
- What is the 20Y average return on invested capital (ROIC) for United Parcel Service, Inc. (UPS)?
- The 20Y average return on invested capital (ROIC) for UPS stock is 12.71%.
United Parcel Service, Inc. Return on Invested Capital (ROIC) History
| DATE | RETURN ON INVESTED CAPITAL (ROIC) |
|---|---|
| 2025-12-31 | 10.40% |
| 2024-12-31 | 12.01% |
| 2023-12-31 | 12.81% |
| 2022-12-31 | 18.06% |
| 2021-12-31 | 18.66% |
| 2020-12-31 | 11.75% |
| 2019-12-31 | 13.33% |
| 2018-12-31 | 14.54% |
| 2017-12-31 | 13.95% |
| 2016-12-31 | 10.50% |
| 2015-12-31 | 15.80% |
| 2014-12-31 | 14.29% |
| 2013-12-31 | 15.78% |
| 2012-12-31 | 3.21% |
| 2011-12-31 | 14.32% |
| 2010-12-31 | 12.93% |
| 2009-12-31 | 9.32% |
| 2008-12-31 | 13.64% |
| 2007-12-31 | 2.37% |
| 2006-12-31 | 15.62% |
| 2005-12-31 | 13.61% |
| 2004-12-31 | 12.56% |
| 2003-12-31 | 11.84% |
| 2002-12-31 | 12.15% |
| 2001-12-31 | 11.89% |
| 2000-12-31 | 15.40% |
| 1999-12-31 | 8.72% |
| 1998-12-31 | 13.47% |
Related Metrics
About United Parcel Service, Inc.
United Parcel Service, Inc. (UPS) stands as a leading global entity in shipping and logistics, delivering an extensive array of services such as parcel and document conveyance, transportation of goods, and supply chain management. The corporation structures its widespread operations into two principal divisions: U.S. Domestic Package and International Package. Within the United States, its Domestic Package unit specializes in time-guaranteed delivery for a range of items, including correspondence, critical paperwork, smaller parcels, and palletized cargo, utilizing both air and surface transportation methods. Conversely, the International Package division ensures reliable, precise-time international shipping services across extensive geographical areas, encompassing Europe, the Asia Pacific region, Canada, Latin America, the Indian sub-continent, the Middle East, and Africa. This segment notably features guaranteed express options for urgent consignments. Beyond core package services, UPS extends its reach to roughly 200 nations and jurisdictions, offering international air and sea cargo forwarding, expert customs clearance, distribution and after-sales support, alongside postal and advisory solutions. Furthermore, its diversified portfolio includes truckload transport brokering; tailored supply chain management for the healthcare and life sciences sectors; sophisticated shipping, tracking, and invoicing technologies; and a suite of financial and insurance offerings. Supporting these extensive operations is an impressive operational fleet of around 121,000 vehicles, comprising package cars, vans, tractors, and motorcycles. Additionally, it possesses 59,000 specialized containers integral for cargo transport aboard its aircraft. Established in 1907, United Parcel Service, Inc. has its corporate headquarters situated in Atlanta, Georgia.
- Sector
- Industrials
- Industry
- Integrated Freight & Logistics
- CEO
- Carol Tome