American VanguardAVD +0.75%56 3-Year ROIIC % is 12.14 as of Dec. 2025, which is 17% below its 10-year median of 14.68. GuruFocus rates AVD with a GF Score™ of 56/100 and a GF Value™ of $5.40 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 251 Agriculture companies, American Vanguard ranks better than 71.71% 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.
American Vanguard's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 12.14%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for American Vanguard's 3-Year ROIIC % or its related term are showing as below:
AVD's 3-Year ROIIC % is ranked better than 71.71% of 251
companies
in the Agriculture industry
Industry Median: -2.28
vs AVD: 12.14
American Vanguard (NYSE:AVD) 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.
American Vanguard 3-Year ROIIC % Related Terms
American Vanguard 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for American Vanguard's 3-Year ROIIC % can be seen below:
* 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.
AVD vs VRDR, BIOX, GNVR: 3-Year ROIIC % Comparison
For the Agricultural Inputs subindustry, American Vanguard'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.
American Vanguard 3-Year ROIIC % vs Agriculture Industry
For the Agriculture industry and Basic Materials sector, American Vanguard's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where American Vanguard's 3-Year ROIIC % falls into.
American Vanguard's 3-Year ROIIC % for the quarter that ended in Dec. 2025 is calculated as:
3-Year ROIIC %
=
3-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
3-Year Incremental Invested Capital**
=
( 13.767 (Dec. 2025) - 30.976062 (Dec. 2022) )
/
( 413.525 (Dec. 2025) - 555.26 (Dec. 2022) )
=
-17.209062
/
-141.735
=
12.14%***
* 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.
American Vanguard (AVD) has a 3-Year ROIIC % of 12.14 as of Dec. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on American Vanguard and its competitors. This is 17% below median its historical median of 14.68. According to the industry distribution chart, American Vanguard ranks #71 out of 251 companies in the Agriculture industry, placing it in the top 28.3%.
Is American Vanguard's 3-Year ROIIC % too high?
American Vanguard's current 3-Year ROIIC % of 12.14 is 17% below median its 10-year median of 14.68. Based on the distribution chart, American Vanguard ranks #71 out of 251 companies in the Agriculture industry, which is above the industry midpoint. Overall, American Vanguard has a GF Score™ of 56/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does American Vanguard's 3-Year ROIIC % compare to VRDR and BIOX?
According to the Agriculture industry distribution chart, American Vanguard ranks #71 out of 251 companies for 3-Year ROIIC %. This puts American Vanguard in the upper half of its industry. 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 Agriculture company?
A good 3-Year ROIIC % depends on the Agriculture industry context. However, 3-Year ROIIC % 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 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 American Vanguard and its competitors. American Vanguard's current 3-Year ROIIC % is 12.14, which is 17% below median its own 10-year median of 14.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Vanguard stock overvalued right now?
Based on GuruFocus' analysis, American Vanguard (AVD) is currently considered Possible Value Trap. The stock's GF Value™ is $5.40, compared to a current price of $2.68 — trading 50.4% below its estimated fair value. The current 3-Year ROIIC % is 12.14, which is 17% below median its 10-year median of 14.68. American Vanguard's overall GF Score™ is 56/100 with 6 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 American Vanguard (AVD), the current 3-Year ROIIC % is 12.14 as of Dec. 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 American Vanguard (AVD) Overvalued in 2026?
Based on GuruFocus' analysis, American Vanguard stock appears to be undervalued.
The current stock price of $2.68 is trading 50.4% below its estimated GF Value™ of $5.40.
GuruFocus considers American Vanguard to be Possible Value Trap.
Key valuation signals for AVD:
3-Year ROIIC %: 12.14 (17% below median its 10-year median of 14.68)
GF Value™: $5.40 vs. price of $2.68 (50.4% below fair value)
No single metric tells the full story. See the AVD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
American Vanguard Corp is a United States-based diversified specialty and agricultural products company. The company is a manufacturer of specialty solutions that develops and markets safe synthetic, biological, and biorational products for agricultural, commercial, and consumer uses. These chemicals include insecticides, fungicides, herbicides, molluscicides, growth regulators, and soil fumigants, which are marketed in liquid, powder, and granular forms.
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