ITCLUX:ITC 81 3-Year ROIIC % is 25.09 as of Mar. 2026, which is 39% below its 10-year median of 41.29. GuruFocus rates LUX:ITC with a GF Score™ of 81/100 and a GF Value™ of $8.81. The stock has 1 warning sign investors should review. Among 46 Tobacco Products companies, ITC ranks better than 65.22% 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.
ITC's 3-Year ROIIC % for the quarter that ended in Mar. 2026 was 25.09%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for ITC's 3-Year ROIIC % or its related term are showing as below:
LUX:ITC's 3-Year ROIIC % is ranked better than 65.22% of 46
companies
in the Tobacco Products industry
Industry Median: 3.585
vs LUX:ITC: 25.09
ITC (LUX:ITC) 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.
ITC 3-Year ROIIC % Related Terms
ITC 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for ITC'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 Tobacco subindustry, ITC'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.
ITC 3-Year ROIIC % vs Tobacco Products Industry
For the Tobacco Products industry and Consumer Defensive sector, ITC's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where ITC's 3-Year ROIIC % falls into.
* 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.
ITC (LUX:ITC) has a 3-Year ROIIC % of 25.09 as of Mar. 2026. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on ITC and its competitors. This is 39% below median its historical median of 41.29. Over the past decade, ITC's 3-Year ROIIC % has ranged from 6.71 to 59.45. According to the industry distribution chart, ITC ranks #16 out of 46 companies in the Tobacco Products industry, placing it in the top 34.8%.
Is ITC's 3-Year ROIIC % too high?
ITC's current 3-Year ROIIC % of 25.09 is 39% below median its 10-year median of 41.29. Over the past 10 years, this metric has ranged from a low of 6.71 to a high of 59.45. The Tobacco Products industry median 3-Year ROIIC % is 3.59. ITC's value of 25.09 is 599.9% above this industry median. Based on the distribution chart, ITC ranks #16 out of 46 companies in the Tobacco Products industry, which is above the industry midpoint. Overall, ITC has a GF Score™ of 81/100, reflecting its overall financial health beyond just this single metric.
How does ITC's 3-Year ROIIC % compare to PM and MO?
According to the Tobacco Products industry distribution chart, ITC ranks #16 out of 46 companies for 3-Year ROIIC %. This puts ITC in the upper half of its industry. The industry median 3-Year ROIIC % is 3.59. ITC's value of 25.09 is 599.9% above this benchmark. Historically, ITC's own 3-Year ROIIC % has ranged from 6.71 to 59.45 over the past decade. While the company's 10-year median is 41.29 vs. the industry median of 3.59, ITC 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 Tobacco Products company?
The median 3-Year ROIIC % among Tobacco Products companies is 3.59, based on 46 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. ITC's current 3-Year ROIIC % of 25.09 is 599.9% 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 ITC and its competitors. For the Tobacco Products industry, the median 3-Year ROIIC % is 3.59 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ITC's current 3-Year ROIIC % is 25.09, which is 39% below median its own 10-year median of 41.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ITC stock overvalued right now?
ITC (LUX:ITC) has a current 3-Year ROIIC % of 25.09. The stock's GF Value™ is $8.81, compared to a current price of $5.50 — trading 37.6% below its estimated fair value. The current 3-Year ROIIC % is 25.09, which is 39% below median its 10-year median of 41.29 and 599.9% above the Tobacco Products industry median of 3.59. ITC's overall GF Score™ is 81/100 with 1 warning sign 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 ITC (LUX:ITC), the current 3-Year ROIIC % is 25.09 as of Mar. 2026. 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 ITC (LUX:ITC) Overvalued in 2026?
Based on GuruFocus' analysis, ITC stock appears to be undervalued.
The current stock price of $5.50 is trading 37.6% below its estimated GF Value™ of $8.81.
Key valuation signals for LUX:ITC:
3-Year ROIIC %: 25.09 (39% below median its 10-year median of 41.29)
GF Value™: $8.81 vs. price of $5.50 (37.6% below fair value)
Industry Position: 599.9% above the Tobacco Products median (#16 of 46)
No single metric tells the full story. See the LUX:ITC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
ITC Ltd is an Indian conglomerate that predominantly operates in the consumer goods space, particularly cigarettes. The company operates in three main business segments: Fast Moving Consumer Goods; Paperboards, Paper, and Packaging; and Agri-Business. The company's total revenue comes from the Fast Moving Consumer Goods Business, which is dominated by cigarettes but also includes branded packaged foods, personal care products, and other categories. The company generates the vast majority of its revenue in India.
81GF Score
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