Fortrea HoldingsFTRE -0.38%64 3-Year ROIIC % is 14.13 as of Dec. 2025, which is 28% below its 10-year median of 19.67. GuruFocus rates FTRE with a GF Score™ of 64/100 and a GF Value™ of $18.22 (Fairly Valued). The stock has 7 warning signs investors should review. Among 1,320 Biotechnology companies, Fortrea Holdings ranks better than 62.88% 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.
Fortrea Holdings's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 14.13%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Fortrea Holdings's 3-Year ROIIC % or its related term are showing as below:
FTRE's 3-Year ROIIC % is ranked better than 62.88% of 1320
companies
in the Biotechnology industry
Industry Median: -4.42
vs FTRE: 14.13
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.
Fortrea Holdings 3-Year ROIIC % Related Terms
Fortrea Holdings 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Fortrea Holdings'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.
FTRE vs SEPN, MLTX, URGN: 3-Year ROIIC % Comparison
For the Biotechnology subindustry, Fortrea Holdings'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.
Fortrea Holdings 3-Year ROIIC % vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Fortrea Holdings's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Fortrea Holdings's 3-Year ROIIC % falls into.
Fortrea Holdings'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**
=
( -30.6 (Dec. 2025) - 173.82856 (Dec. 2022) )
/
( 2475.2 (Dec. 2025) - 3921.8 (Dec. 2022) )
=
-204.42856
/
-1446.6
=
14.13%***
* 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.
Fortrea Holdings (FTRE) has a 3-Year ROIIC % of 14.13 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 Fortrea Holdings and its competitors. This is 28% below median its historical median of 19.67. Over the past decade, Fortrea Holdings' 3-Year ROIIC % has ranged from 14.13 to 25.21. According to the industry distribution chart, Fortrea Holdings ranks #490 out of 1320 companies in the Biotechnology industry, placing it in the top 37.1%.
Is Fortrea Holdings' 3-Year ROIIC % too high?
Fortrea Holdings' current 3-Year ROIIC % of 14.13 is 28% below median its 10-year median of 19.67. Over the past 10 years, this metric has ranged from a low of 14.13 to a high of 25.21. Based on the distribution chart, Fortrea Holdings ranks #490 out of 1320 companies in the Biotechnology industry, which is above the industry midpoint. Overall, Fortrea Holdings has a GF Score™ of 64/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Fortrea Holdings' 3-Year ROIIC % compare to SEPN and MLTX?
According to the Biotechnology industry distribution chart, Fortrea Holdings ranks #490 out of 1320 companies for 3-Year ROIIC %. This puts Fortrea Holdings in the upper half of its industry. Historically, Fortrea Holdings' own 3-Year ROIIC % has ranged from 14.13 to 25.21 over the past decade. 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 Fortrea Holdings and its competitors. Fortrea Holdings's current 3-Year ROIIC % is 14.13, which is 28% below median its own 10-year median of 19.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fortrea Holdings stock overvalued right now?
Based on GuruFocus' analysis, Fortrea Holdings (FTRE) is currently considered Fairly Valued. The stock's GF Value™ is $18.22, compared to a current price of $16.96 — trading 6.9% below its estimated fair value. The current 3-Year ROIIC % is 14.13, which is 28% below median its 10-year median of 19.67. Fortrea Holdings' overall GF Score™ is 64/100 with 7 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 Fortrea Holdings (FTRE), the current 3-Year ROIIC % is 14.13 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 Fortrea Holdings (FTRE) Overvalued in 2026?
Based on GuruFocus' analysis, Fortrea Holdings stock appears to be undervalued.
The current stock price of $16.96 is trading 6.9% below its estimated GF Value™ of $18.22.
GuruFocus considers Fortrea Holdings to be Fairly Valued.
Key valuation signals for FTRE:
3-Year ROIIC %: 14.13 (28% below median its 10-year median of 19.67)
GF Value™: $18.22 vs. price of $16.96 (6.9% below fair value)
No single metric tells the full story. See the FTRE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Fortrea is a global, late-stage contract research organization that provides comprehensive phase 1 through phase 4 clinical trial management, clinical pharmacology, and patient access solutions. The company works with emerging and large biopharma, medical device, and diagnostic companies to run their clinical trials as a functional-service provider, full-service provider, and offers hybrid trials. In 2023, Fortrea was formed as an independent, publicly traded company after Labcorp spun off its clinical development business, which it acquired via its purchase of Covance in 2015 for $6.1 billion.
64GF Score
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