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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.
Varroc Engineering's 3-Year ROIIC % for the quarter that ended in Mar. 2026 was -26.20%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Varroc Engineering's 3-Year ROIIC % or its related term are showing as below:
NSE:VARROC's 3-Year ROIIC % is ranked worse than 87.78% of 1252
companies
in the Vehicles & Parts industry
Industry Median: 4.235
vs NSE:VARROC: -26.20
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.
Varroc Engineering 3-Year ROIIC % Related Terms
Varroc Engineering 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Varroc Engineering'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.
NSE:VARROC vs ORLY, AZO: 3-Year ROIIC % Comparison
For the Auto Parts subindustry, Varroc Engineering'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.
Varroc Engineering 3-Year ROIIC % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Varroc Engineering's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Varroc Engineering'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.
Varroc Engineering (NSE:VARROC) has a 3-Year ROIIC % of -26.20 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 Varroc Engineering and its competitors. According to the industry distribution chart, Varroc Engineering ranks #1099 out of 1252 companies in the Vehicles & Parts industry, placing it in the top 87.8%.
Is Varroc Engineering's 3-Year ROIIC % too high?
Varroc Engineering's current 3-Year ROIIC % is -26.20. Based on the distribution chart, Varroc Engineering ranks #1099 out of 1252 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Varroc Engineering has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Varroc Engineering's 3-Year ROIIC % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Varroc Engineering ranks #1099 out of 1252 companies for 3-Year ROIIC %. This places Varroc Engineering in the lower half of its industry. The industry median 3-Year ROIIC % is 4.24. 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 Vehicles & Parts company?
The median 3-Year ROIIC % among Vehicles & Parts companies is 4.24, based on 1,252 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 Varroc Engineering and its competitors. For the Vehicles & Parts industry, the median 3-Year ROIIC % is 4.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Varroc Engineering's current 3-Year ROIIC % is -26.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Varroc Engineering stock overvalued right now?
Based on GuruFocus' analysis, Varroc Engineering (NSE:VARROC) is currently considered Fairly Valued. The stock's GF Value™ is ₹641.86, compared to a current price of ₹664.55 — trading 3.5% above its estimated fair value. The current 3-Year ROIIC % is -26.20. Varroc Engineering's overall GF Score™ is 80/100 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 Varroc Engineering (NSE:VARROC), the current 3-Year ROIIC % is -26.20 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 Varroc Engineering (NSE:VARROC) Overvalued in 2026?
Based on GuruFocus' analysis, Varroc Engineering stock appears to be overvalued.
The current stock price of ₹664.55 is trading 3.5% above its estimated GF Value™ of ₹641.86.
GuruFocus considers Varroc Engineering to be Fairly Valued.
Key valuation signals for NSE:VARROC:
3-Year ROIIC %: -26.20
GF Value™: ₹641.86 vs. price of ₹664.55 (3.5% above fair value)
No single metric tells the full story. See the NSE:VARROC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Varroc Engineering Ltd is an India based company engaged in manufacturing and supplying components and subassemblies for automobile, consumer durable, and white goods industries. The company's operating segment includes Automotive and Others. It generates maximum revenue from the Automotive segment. The company also designs, manufactures, and supply exterior lighting systems, plastic and polymer components, electricals-electronics components, and precision metallic components to a passenger car, commercial vehicle, two-wheeler, three-wheeler and off-highway vehicle. Geographically, it derives a majority of revenue from India and also has a presence in the Asia Pacific; North America, Europe and Other Countries.
80GF Score
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