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.
Avalo Therapeutics's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 323.06%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Avalo Therapeutics's 3-Year ROIIC % or its related term are showing as below:
AVTX's 3-Year ROIIC % is ranked better than 88.18% of 1320
companies
in the Biotechnology industry
Industry Median: -4.63
vs AVTX: 323.06
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.
Avalo Therapeutics 3-Year ROIIC % Related Terms
Avalo Therapeutics 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Avalo Therapeutics'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.
AVTX vs SANA, ANRO, REPL: 3-Year ROIIC % Comparison
For the Biotechnology subindustry, Avalo Therapeutics'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.
Avalo Therapeutics 3-Year ROIIC % vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Avalo Therapeutics's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Avalo Therapeutics's 3-Year ROIIC % falls into.
Avalo Therapeutics'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**
=
( -72.925 (Dec. 2025) - -37.44 (Dec. 2022) )
/
( 15.696 (Dec. 2025) - 26.68 (Dec. 2022) )
=
-35.485
/
-10.984
=
323.06%***
* 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.
Avalo Therapeutics (AVTX) has a 3-Year ROIIC % of 323.06 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 Avalo Therapeutics and its competitors. According to the industry distribution chart, Avalo Therapeutics ranks #156 out of 1320 companies in the Biotechnology industry, placing it in the top 11.8%.
Is Avalo Therapeutics' 3-Year ROIIC % too high?
Avalo Therapeutics' current 3-Year ROIIC % is 323.06. Based on the distribution chart, Avalo Therapeutics ranks #156 out of 1320 companies in the Biotechnology industry, which is in the top quartile — a strong position relative to peers. Overall, Avalo Therapeutics has a GF Score™ of 23/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Avalo Therapeutics' 3-Year ROIIC % compare to SANA and ANRO?
According to the Biotechnology industry distribution chart, Avalo Therapeutics ranks #156 out of 1320 companies for 3-Year ROIIC %. This places Avalo Therapeutics in the top 12% of its industry — outperforming the majority of peers. 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 a Biotechnology company?
A good 3-Year ROIIC % depends on the Biotechnology 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 Avalo Therapeutics and its competitors. Avalo Therapeutics's current 3-Year ROIIC % is 323.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Avalo Therapeutics stock overvalued right now?
Based on GuruFocus' analysis, Avalo Therapeutics (AVTX) is currently considered Significantly Overvalued. The stock's GF Value™ is $0.03, compared to a current price of $18.87 — trading 62783.3% above its estimated fair value. The current 3-Year ROIIC % is 323.06. Avalo Therapeutics' overall GF Score™ is 23/100 with 5 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 Avalo Therapeutics (AVTX), the current 3-Year ROIIC % is 323.06 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 Avalo Therapeutics (AVTX) Overvalued in 2026?
Based on GuruFocus' analysis, Avalo Therapeutics stock appears to be overvalued.
The current stock price of $18.87 is trading 62783.3% above its estimated GF Value™ of $0.03.
GuruFocus considers Avalo Therapeutics to be Significantly Overvalued.
Key valuation signals for AVTX:
3-Year ROIIC %: 323.06
GF Value™: $0.03 vs. price of $18.87 (62783.3% above fair value)
No single metric tells the full story. See the AVTX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Avalo Therapeutics Inc is a clinical stage biotechnology company fully dedicated to developing IL-1B-based treatments for immune-mediated inflammatory diseases. The company's asset is Abdakibart (AVTX-009) an anti-IL-1B monoclonal antibody ("mAb"), targeting inflammatory diseases. Avalos pipeline also includes quisovalimab (anti-LIGHT mAb) and AVTX-008 (BTLA agonist fusion protein), AVTX-006 and AVTX-913.
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