Axalta Coating SystemsAXTA -0.12%79 3-Year ROIIC % is 34.43 as of Dec. 2025, which is 274% above its 10-year median of 9.20. GuruFocus rates AXTA with a GF Score™ of 79/100 and a GF Value™ of $33.31 (Fairly Valued). The stock has 6 warning signs investors should review. Among 1,524 Chemicals companies, Axalta Coating Systems ranks better than 84.25% 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.
Axalta Coating Systems's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 34.43%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Axalta Coating Systems's 3-Year ROIIC % or its related term are showing as below:
AXTA's 3-Year ROIIC % is ranked better than 84.25% of 1524
companies
in the Chemicals industry
Industry Median: -0.085
vs AXTA: 34.43
Axalta Coating Systems (NYSE:AXTA) 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.
Axalta Coating Systems 3-Year ROIIC % Related Terms
Axalta Coating Systems 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Axalta Coating Systems'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.
For the Specialty Chemicals subindustry, Axalta Coating Systems'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.
Axalta Coating Systems 3-Year ROIIC % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Axalta Coating Systems's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Axalta Coating Systems's 3-Year ROIIC % falls into.
Axalta Coating Systems'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**
=
( 510.1635 (Dec. 2025) - 316.0233 (Dec. 2022) )
/
( 5834 (Dec. 2025) - 5270.1 (Dec. 2022) )
=
194.1402
/
563.9
=
34.43%***
* 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.
Axalta Coating Systems (AXTA) has a 3-Year ROIIC % of 34.43 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 Axalta Coating Systems and its competitors. This is 274% above median its historical median of 9.20. According to the industry distribution chart, Axalta Coating Systems ranks #240 out of 1524 companies in the Chemicals industry, placing it in the top 15.7%.
Is Axalta Coating Systems' 3-Year ROIIC % too high?
Axalta Coating Systems' current 3-Year ROIIC % of 34.43 is 274% above median its 10-year median of 9.20. Based on the distribution chart, Axalta Coating Systems ranks #240 out of 1524 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Axalta Coating Systems has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Axalta Coating Systems' 3-Year ROIIC % compare to NEU and EMN?
According to the Chemicals industry distribution chart, Axalta Coating Systems ranks #240 out of 1524 companies for 3-Year ROIIC %. This places Axalta Coating Systems in the top 16% 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 Chemicals company?
A good 3-Year ROIIC % depends on the Chemicals 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 Axalta Coating Systems and its competitors. Axalta Coating Systems's current 3-Year ROIIC % is 34.43, which is 274% above median its own 10-year median of 9.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Axalta Coating Systems stock overvalued right now?
Based on GuruFocus' analysis, Axalta Coating Systems (AXTA) is currently considered Fairly Valued. The stock's GF Value™ is $33.31, compared to a current price of $34.18 — trading 2.6% above its estimated fair value. The current 3-Year ROIIC % is 34.43, which is 274% above median its 10-year median of 9.20. Axalta Coating Systems' overall GF Score™ is 79/100 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 Axalta Coating Systems (AXTA), the current 3-Year ROIIC % is 34.43 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 Axalta Coating Systems (AXTA) Overvalued in 2026?
Based on GuruFocus' analysis, Axalta Coating Systems stock appears to be overvalued.
The current stock price of $34.18 is trading 2.6% above its estimated GF Value™ of $33.31.
GuruFocus considers Axalta Coating Systems to be Fairly Valued.
Key valuation signals for AXTA:
3-Year ROIIC %: 34.43 (274% above median its 10-year median of 9.20)
GF Value™: $33.31 vs. price of $34.18 (2.6% above fair value)
No single metric tells the full story. See the AXTA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Axalta Coating Systems Ltd is a manufacturer, marketer, and distributor of high-performance coatings systems. It operates in two segments: Performance Coatings and Mobility Coatings. The Performance Coatings segment provides liquid and powder coatings solutions to a fragmented and local customer base. Its end markets include refinish and industrial, and the Mobility Coatings segment relates to the provision of coating technologies to original equipment manufacturers of light and commercial vehicles. The majority of its revenue is generated from the Mobility Coatings segment. Geographically, the company generates maximum revenue from the Europe, Middle East and Africa (EMEA) region, followed by North America, Asia Pacific, and Latin America.
79GF Score
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