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.
Pernod Ricard's 3-Year ROIIC % for the quarter that ended in Jun. 2025 was -2.78%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Pernod Ricard's 3-Year ROIIC % or its related term are showing as below:
FRA:PER's 3-Year ROIIC % is ranked worse than 55.78% of 199
companies
in the Beverages - Alcoholic industry
Industry Median: 1.29
vs FRA:PER: -2.78
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.
Pernod Ricard 3-Year ROIIC % Related Terms
Pernod Ricard 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Pernod Ricard'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 Beverages - Wineries & Distilleries subindustry, Pernod Ricard'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.
Pernod Ricard 3-Year ROIIC % vs Beverages - Alcoholic Industry
For the Beverages - Alcoholic industry and Consumer Defensive sector, Pernod Ricard's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Pernod Ricard's 3-Year ROIIC % falls into.
Pernod Ricard's 3-Year ROIIC % for the quarter that ended in Jun. 2025 is calculated as:
3-Year ROIIC %
=
3-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
3-Year Incremental Invested Capital**
=
( 2191.045 (Jun. 2025) - 2263.9481 (Jun. 2022) )
/
( 31516 (Jun. 2025) - 28891 (Jun. 2022) )
=
-72.9031
/
2625
=
-2.78%***
* 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.
Pernod Ricard (FRA:PER) has a 3-Year ROIIC % of -2.78 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 Pernod Ricard and its competitors. According to the industry distribution chart, Pernod Ricard ranks #111 out of 199 companies in the Beverages - Alcoholic industry, placing it in the top 55.8%.
Is Pernod Ricard's 3-Year ROIIC % too high?
Pernod Ricard's current 3-Year ROIIC % is -2.78. Based on the distribution chart, Pernod Ricard ranks #111 out of 199 companies in the Beverages - Alcoholic industry, which is below the industry midpoint. Overall, Pernod Ricard has a GF Score™ of 81/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Pernod Ricard's 3-Year ROIIC % compare to BF.B?
According to the Beverages - Alcoholic industry distribution chart, Pernod Ricard ranks #111 out of 199 companies for 3-Year ROIIC %. This places Pernod Ricard in the lower half of its industry. The industry median 3-Year ROIIC % is 1.29. 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 Beverages - Alcoholic company?
The median 3-Year ROIIC % among Beverages - Alcoholic companies is 1.29, based on 199 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. 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 Pernod Ricard and its competitors. For the Beverages - Alcoholic industry, the median 3-Year ROIIC % is 1.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pernod Ricard's current 3-Year ROIIC % is -2.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Pernod Ricard stock overvalued right now?
Based on GuruFocus' analysis, Pernod Ricard (FRA:PER) is currently considered Possible Value Trap. The stock's GF Value™ is €104.24, compared to a current price of €64.78 — trading 37.9% below its estimated fair value. The current 3-Year ROIIC % is -2.78. Pernod Ricard's overall GF Score™ is 81/100 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 Pernod Ricard (FRA:PER), the current 3-Year ROIIC % is -2.78 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 Pernod Ricard (FRA:PER) Overvalued in 2026?
Based on GuruFocus' analysis, Pernod Ricard stock appears to be undervalued.
The current stock price of €64.78 is trading 37.9% below its estimated GF Value™ of €104.24.
GuruFocus considers Pernod Ricard to be Possible Value Trap.
Key valuation signals for FRA:PER:
3-Year ROIIC %: -2.78
GF Value™: €104.24 vs. price of €64.78 (37.9% below fair value)
No single metric tells the full story. See the FRA:PER stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Pernod Ricard was formed in 1975 through the merger of Pernod, founded in 1805, and Ricard, created in 1932. Through acquisitions, the firm has grown to become the world's second-largest distiller by volume, behind Diageo. Pernod Ricard possesses the most comprehensive spirits portfolio globally, distributing over 240 brands across 160 countries. Flagship spirits brands include Absolut vodka, Beefeater gin, Chivas Regal and The Glenlivet scotch whisky, Jameson Irish whiskey, Malibu rum, and Martell cognac. The firm has also shed noncore assets over the years, including several wine brands in 2025.
81GF Score
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