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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.
Fonterra Co-operative Group's 3-Year ROIIC % for the quarter that ended in Jul. 2025 was -24.00%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Fonterra Co-operative Group's 3-Year ROIIC % or its related term are showing as below:
NZSE:FCG's 3-Year ROIIC % is ranked worse than 79.89% of 1830
companies
in the Consumer Packaged Goods industry
Industry Median: 2.705
vs NZSE:FCG: -24.00
Fonterra Co-operative Group (NZSE:FCG) 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.
Fonterra Co-operative Group 3-Year ROIIC % Related Terms
Fonterra Co-operative Group 3-Year ROIIC % Historical Data
* 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.
NZSE:FCG vs KHC, GIS, HRL: 3-Year ROIIC % Comparison
For the Packaged Foods subindustry, Fonterra Co-operative Group'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.
Fonterra Co-operative Group 3-Year ROIIC % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Fonterra Co-operative Group's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Fonterra Co-operative Group's 3-Year ROIIC % falls into.
3-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
3-Year Incremental Invested Capital**
=
( 1131.7647 (Jul. 2025) - 817.542 (Jul. 2022) )
/
( 12923 (Jul. 2025) - 14232 (Jul. 2022) )
=
314.2227
/
-1309
=
-24.00%***
* 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.
Fonterra Co-operative Group (NZSE:FCG) has a 3-Year ROIIC % of -24.00 as of Jul. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Fonterra Co-operative Group and its competitors. According to the industry distribution chart, Fonterra Co-operative Group ranks #1462 out of 1830 companies in the Consumer Packaged Goods industry, placing it in the top 79.9%.
Is Fonterra Co-operative Group's 3-Year ROIIC % too high?
Fonterra Co-operative Group's current 3-Year ROIIC % is -24.00. Based on the distribution chart, Fonterra Co-operative Group ranks #1462 out of 1830 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers. Overall, Fonterra Co-operative Group has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Fonterra Co-operative Group's 3-Year ROIIC % compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Fonterra Co-operative Group ranks #1462 out of 1830 companies for 3-Year ROIIC %. This places Fonterra Co-operative Group in the lower half of its industry. The industry median 3-Year ROIIC % is 2.71. 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 Consumer Packaged Goods company?
The median 3-Year ROIIC % among Consumer Packaged Goods companies is 2.71, based on 1,830 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 Fonterra Co-operative Group and its competitors. For the Consumer Packaged Goods industry, the median 3-Year ROIIC % is 2.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fonterra Co-operative Group's current 3-Year ROIIC % is -24.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fonterra Co-operative Group stock overvalued right now?
Based on GuruFocus' analysis, Fonterra Co-operative Group (NZSE:FCG) is currently considered Significantly Overvalued. The stock's GF Value™ is NZ$2.97, compared to a current price of NZ$4.25 — trading 43.1% above its estimated fair value. The current 3-Year ROIIC % is -24.00. Fonterra Co-operative Group's overall GF Score™ is 66/100 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 Fonterra Co-operative Group (NZSE:FCG), the current 3-Year ROIIC % is -24.00 as of Jul. 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 Fonterra Co-operative Group (NZSE:FCG) Overvalued in 2026?
Based on GuruFocus' analysis, Fonterra Co-operative Group stock appears to be overvalued.
The current stock price of NZ$4.25 is trading 43.1% above its estimated GF Value™ of NZ$2.97.
GuruFocus considers Fonterra Co-operative Group to be Significantly Overvalued.
Key valuation signals for NZSE:FCG:
3-Year ROIIC %: -24.00
GF Value™: NZ$2.97 vs. price of NZ$4.25 (43.1% above fair value)
No single metric tells the full story. See the NZSE:FCG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Fonterra Co-operative Group Ltd operates predominantly in the international dairy industry. The company is involved in the collection, manufacture, and sale of milk and milk-derived products through its ingredients, Consumer and Foodservice channels. The company's reportable segments are Global Markets, Greater China, and Core Operations and the majority of the revenue is generated from its core operations segment. Its primary geographic markets is Asia, China, Australia, New Zealand, the United States, and the Rest of the world.
66GF Score
Get the complete analysis for NZSE:FCG
3-Year ROIIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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