Gamma CommunicationsCHIX:GAMAL +0.48%63 3-Year ROIIC % is 9.23 as of Dec. 2025, which is 50% below its 10-year median of 18.43. GuruFocus rates CHIX:GAMAL with a GF Score™ of 63/100 and a GF Value™ of £15.89 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 352 Telecommunication Services companies, Gamma Communications ranks better than 66.19% 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.
Gamma Communications's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 9.23%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Gamma Communications's 3-Year ROIIC % or its related term are showing as below:
CHIX:GAMAl's 3-Year ROIIC % is ranked better than 66.19% of 352
companies
in the Telecommunication Services industry
Industry Median: 1.71
vs CHIX:GAMAl: 9.23
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.
Gamma Communications 3-Year ROIIC % Related Terms
Gamma Communications 3-Year ROIIC % Historical Data
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The historical data trend for Gamma Communications'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.
CHIX:GAMAL vs TMUS, VZ, T: 3-Year ROIIC % Comparison
For the Telecom Services subindustry, Gamma Communications'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.
Gamma Communications 3-Year ROIIC % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Gamma Communications's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Gamma Communications's 3-Year ROIIC % falls into.
Gamma Communications'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**
=
( 75.2318 (Dec. 2025) - 49.88058 (Dec. 2022) )
/
( 569.5 (Dec. 2025) - 294.9 (Dec. 2022) )
=
25.35122
/
274.6
=
9.23%***
* 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.
Gamma Communications (CHIX:GAMAL) has a 3-Year ROIIC % of 9.23 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 Gamma Communications and its competitors. This is 50% below median its historical median of 18.43. According to the industry distribution chart, Gamma Communications ranks #119 out of 352 companies in the Telecommunication Services industry, placing it in the top 33.8%.
Is Gamma Communications' 3-Year ROIIC % too high?
Gamma Communications' current 3-Year ROIIC % of 9.23 is 50% below median its 10-year median of 18.43. The Telecommunication Services industry median 3-Year ROIIC % is 1.71. Gamma Communications' value of 9.23 is 439.8% above this industry median. Based on the distribution chart, Gamma Communications ranks #119 out of 352 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Gamma Communications has a GF Score™ of 63/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Gamma Communications' 3-Year ROIIC % compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Gamma Communications ranks #119 out of 352 companies for 3-Year ROIIC %. This puts Gamma Communications in the upper half of its industry. The industry median 3-Year ROIIC % is 1.71. Gamma Communications' value of 9.23 is 439.8% above this benchmark. While the company's 10-year median is 18.43 vs. the industry median of 1.71, Gamma Communications 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 a Telecommunication Services company?
The median 3-Year ROIIC % among Telecommunication Services companies is 1.71, based on 352 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. Gamma Communications's current 3-Year ROIIC % of 9.23 is 439.8% 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 Gamma Communications and its competitors. For the Telecommunication Services industry, the median 3-Year ROIIC % is 1.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gamma Communications's current 3-Year ROIIC % is 9.23, which is 50% below median its own 10-year median of 18.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gamma Communications stock overvalued right now?
Based on GuruFocus' analysis, Gamma Communications (CHIX:GAMAL) is currently considered Significantly Undervalued. The stock's GF Value™ is £15.89, compared to a current price of £8.33 — trading 47.6% below its estimated fair value. The current 3-Year ROIIC % is 9.23, which is 50% below median its 10-year median of 18.43 and 439.8% above the Telecommunication Services industry median of 1.71. Gamma Communications' overall GF Score™ is 63/100 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 Gamma Communications (CHIX:GAMAL), the current 3-Year ROIIC % is 9.23 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 Gamma Communications (CHIX:GAMAL) Overvalued in 2026?
Based on GuruFocus' analysis, Gamma Communications stock appears to be undervalued.
The current stock price of £8.33 is trading 47.6% below its estimated GF Value™ of £15.89.
GuruFocus considers Gamma Communications to be Significantly Undervalued.
Key valuation signals for CHIX:GAMAL:
3-Year ROIIC %: 9.23 (50% below median its 10-year median of 18.43)
GF Value™: £15.89 vs. price of £8.33 (47.6% below fair value)
Industry Position: 439.8% above the Telecommunication Services median (#119 of 352)
No single metric tells the full story. See the CHIX:GAMAL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Gamma Communications PLC is a supplier of Unified Communications as a Service (UCaaS) in the United Kingdom and other markets, supplying communication solutions directly and via its network of trusted channel partners. The company offers various products across categories including Unified Communications, Voice Enablement, and Connectivity. The company also offers cybersecurity and managed enterprise solutions. Its operating segments are Gamma Business, Gamma Enterprise, Europe, and Central Functions. The majority of the company's revenue is generated from the Gamma Business segment which sells its products to smaller businesses in the UK. Geographically, the company generates a majority of its revenue from the United Kingdom and the rest from Europe.
63GF Score
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