ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. The Baldwin Insurance Group's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was -0.12%.
As of today (2026-06-25), The Baldwin Insurance Group's WACC % is 6.62%. The Baldwin Insurance Group's ROIC % is -0.80% (calculated using TTM income statement data).
The Baldwin Insurance Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.
The Baldwin Insurance Group (NAS:BWIN) ROIC % Explanation
ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. The reason book values of debt and equity are used is because the book values are the capital the company received when issuing the debt or receiving the equity investments.
There are four key components to this definition. The first is the use of operating income or EBIT rather than net income in the numerator. The second is the tax adjustment to this operating income or EBIT, computed as a hypothetical tax based on an effective or marginal tax rate. The third is the use of book values for invested capital, rather than market values. The final is the timing difference; the capital invested is from the end of the prior year whereas the operating income or EBIT is the current year's number.
Why is ROIC % important?
Because it costs money to raise capital. A firm that generates higher returns on investment than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.
As of today, The Baldwin Insurance Group's WACC % is 6.62%. The Baldwin Insurance Group's ROIC % is -0.80% (calculated using TTM income statement data).
The Baldwin Insurance Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Be Aware
Like ROE % and ROA %, ROIC % is calculated with only 12 months of data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
The Baldwin Insurance Group ROIC % Related Terms
The Baldwin Insurance Group ROIC % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Insurance Brokers subindustry, The Baldwin Insurance Group's ROIC %, along with its competitors' market caps and ROIC % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
The Baldwin Insurance Group ROIC % vs Insurance Industry
For the Insurance industry and Financial Services sector, The Baldwin Insurance Group's ROIC % distribution charts can be found below:
* The bar in red indicates where The Baldwin Insurance Group's ROIC % falls into.
Note:
The Operating Income data used here is four times the quarterly (Mar. 2026) data.
The tax rate is limited to between 0% and 100%.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
The Baldwin Insurance Group (BWIN) has a ROIC % of -0.12% as of Mar. 2026. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on The Baldwin Insurance Group and its competitors.
Is The Baldwin Insurance Group's ROIC % too high?
The Baldwin Insurance Group's current ROIC % is -0.12%. Overall, The Baldwin Insurance Group has a GF Score™ of 74/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does The Baldwin Insurance Group's ROIC % compare to LIFE and GSHD?
The Baldwin Insurance Group's ROIC % of -0.12% can be compared against companies in the Insurance industry. The industry median ROIC % is 3.36. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROIC % for an Insurance company?
The median ROIC % among Insurance companies is 3.36, based on 368 companies in the industry. Companies in the top quartile (top 25%) have a ROIC % significantly above this median, while those in the bottom quartile fall well below. However, ROIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROIC % mean?
A high ROIC % can signal that a stock is expensive relative to its fundamentals. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on The Baldwin Insurance Group and its competitors. For the Insurance industry, the median ROIC % is 3.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Baldwin Insurance Group's current ROIC % is -0.12%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Baldwin Insurance Group stock overvalued right now?
Based on GuruFocus' analysis, The Baldwin Insurance Group (BWIN) is currently considered Modestly Undervalued. The stock's GF Value™ is $29.32, compared to a current price of $24.65 — trading 15.9% below its estimated fair value. The current ROIC % is -0.12%. The Baldwin Insurance Group's overall GF Score™ is 74/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROIC % calculated?
ROIC % is calculated from a company's financial statements. For The Baldwin Insurance Group (BWIN), the current ROIC % is -0.12% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is The Baldwin Insurance Group (BWIN) Overvalued in 2026?
Based on GuruFocus' analysis, The Baldwin Insurance Group stock appears to be undervalued.
The current stock price of $24.65 is trading 15.9% below its estimated GF Value™ of $29.32.
GuruFocus considers The Baldwin Insurance Group to be Modestly Undervalued.
Key valuation signals for BWIN:
ROIC %: -0.12%
GF Value™: $29.32 vs. price of $24.65 (15.9% below fair value)
No single metric tells the full story. See the BWIN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Baldwin Insurance Group Inc is an insurance distribution company operating in the United States. The company provides commercial risk management, employee benefits, private risk management, and personal insurance solutions. It operates through three segments: Insurance Advisory Solutions, which focuses on commercial risk management and employee benefits; Underwriting, Capacity & Technology Solutions, which includes managing general agency operations, reinsurance brokerage, captive management, and technology-enabled insurance products; and Mainstreet Insurance Solutions, which offers personal, commercial, and life and health insurance products through community-based distribution channels.
74GF Score
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