Generation Development GroupASX:GDG +0.54%57 3-Year ROIIC % is 15.19 as of Jun. 2025, which is 247% above its 10-year median of 4.38. GuruFocus rates ASX:GDG with a GF Score™ of 57/100 and a GF Value™ of A$7.15 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 650 Asset Management companies, Generation Development Group ranks better than 65.54% on this metric.
3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year.
Generation Development Group's 3-Year ROIIC % for the quarter that ended in Jun. 2025 was 15.19%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
ASX:GDG's 3-Year ROIIC % is ranked better than 65.54% of 650
companies
in the Asset Management industry
Industry Median: 2.295
vs ASX:GDG: 15.19
Generation Development Group (ASX:GDG) 3-Year ROIIC % Explanation
Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.
High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
Be Aware
It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.
Generation Development Group 3-Year ROIIC % Related Terms
Generation Development Group 3-Year ROIIC % 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.
ASX:GDG vs BLK, BX, KKR: 3-Year ROIIC % Comparison
For the Asset Management subindustry, Generation Development Group's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % 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.
Generation Development Group 3-Year ROIIC % vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Generation Development Group's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Generation Development Group's 3-Year ROIIC % falls into.
* 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.
** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.
Generation Development Group (ASX:GDG) has a 3-Year ROIIC % of 15.19 as of Jun. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Generation Development Group and its competitors. This is 247% above median its historical median of 4.38. According to the industry distribution chart, Generation Development Group ranks #224 out of 650 companies in the Asset Management industry, placing it in the top 34.5%.
Is Generation Development Group's 3-Year ROIIC % too high?
Generation Development Group's current 3-Year ROIIC % of 15.19 is 247% above median its 10-year median of 4.38. The Asset Management industry median 3-Year ROIIC % is 2.30. Generation Development Group's value of 15.19 is 561.9% above this industry median. Based on the distribution chart, Generation Development Group ranks #224 out of 650 companies in the Asset Management industry, which is above the industry midpoint. Overall, Generation Development Group has a GF Score™ of 57/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Generation Development Group's 3-Year ROIIC % compare to BLK and BX?
According to the Asset Management industry distribution chart, Generation Development Group ranks #224 out of 650 companies for 3-Year ROIIC %. This puts Generation Development Group in the upper half of its industry. The industry median 3-Year ROIIC % is 2.30. Generation Development Group's value of 15.19 is 561.9% above this benchmark. While the company's 10-year median is 4.38 vs. the industry median of 2.30, Generation Development Group has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year ROIIC % for an Asset Management company?
The median 3-Year ROIIC % among Asset Management companies is 2.30, based on 650 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Generation Development Group's current 3-Year ROIIC % of 15.19 is 561.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Generation Development Group and its competitors. For the Asset Management industry, the median 3-Year ROIIC % is 2.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Generation Development Group's current 3-Year ROIIC % is 15.19, which is 247% above median its own 10-year median of 4.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Generation Development Group stock overvalued right now?
Based on GuruFocus' analysis, Generation Development Group (ASX:GDG) is currently considered Possible Value Trap. The stock's GF Value™ is A$7.15, compared to a current price of A$3.72 — trading 48% below its estimated fair value. The current 3-Year ROIIC % is 15.19, which is 247% above median its 10-year median of 4.38 and 561.9% above the Asset Management industry median of 2.30. Generation Development Group's overall GF Score™ is 57/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For Generation Development Group (ASX:GDG), the current 3-Year ROIIC % is 15.19 as of Jun. 2025. 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 Generation Development Group (ASX:GDG) Overvalued in 2026?
Based on GuruFocus' analysis, Generation Development Group stock appears to be undervalued.
The current stock price of A$3.72 is trading 48% below its estimated GF Value™ of A$7.15.
GuruFocus considers Generation Development Group to be Possible Value Trap.
Key valuation signals for ASX:GDG:
3-Year ROIIC %: 15.19 (247% above median its 10-year median of 4.38)
GF Value™: A$7.15 vs. price of A$3.72 (48% below fair value)
Industry Position: 561.9% above the Asset Management median (#224 of 650)
No single metric tells the full story. See the ASX:GDG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1991, Generation originally operated as a pooled development fund, focusing on providing capital to businesses in financial services. Today, the firm is structured across three key business lines within wealth management. The first is through Generation Life, the market leader in investment bonds by in-flows, which offers tax-effective products, including investment bonds and annuities. The second business line is Lonsec, a prominent research and ratings provider to the Australian financial services sector, competing against Morningstar and Zenith. The third division provides managed account solutions, a result of the merger between Evidentia and Lonsec Investment Solutions, offering individually owned accounts professionally managed by experienced portfolio managers.
57GF Score
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