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.
Simpson Manufacturing Co's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was -5.85%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Simpson Manufacturing Co's 3-Year ROIIC % or its related term are showing as below:
SSD's 3-Year ROIIC % is ranked worse than 59.7% of 268
companies
in the Forest Products industry
Industry Median: -0.705
vs SSD: -5.85
Simpson Manufacturing Co (NYSE:SSD) 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.
Simpson Manufacturing Co 3-Year ROIIC % Related Terms
Simpson Manufacturing Co 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.
For the Lumber & Wood Production subindustry, Simpson Manufacturing Co'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.
Simpson Manufacturing Co 3-Year ROIIC % vs Forest Products Industry
For the Forest Products industry and Basic Materials sector, Simpson Manufacturing Co's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Simpson Manufacturing Co'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.
Simpson Manufacturing Co (SSD) has a 3-Year ROIIC % of -5.85 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 Simpson Manufacturing Co and its competitors. According to the industry distribution chart, Simpson Manufacturing Co ranks #160 out of 268 companies in the Forest Products industry, placing it in the top 59.7%.
Is Simpson Manufacturing Co's 3-Year ROIIC % too high?
Simpson Manufacturing Co's current 3-Year ROIIC % is -5.85. Based on the distribution chart, Simpson Manufacturing Co ranks #160 out of 268 companies in the Forest Products industry, which is below the industry midpoint. Overall, Simpson Manufacturing Co has a GF Score™ of 94/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Simpson Manufacturing Co's 3-Year ROIIC % compare to UFPI and BCC?
According to the Forest Products industry distribution chart, Simpson Manufacturing Co ranks #160 out of 268 companies for 3-Year ROIIC %. This places Simpson Manufacturing Co in the lower half of its industry. 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 Forest Products company?
A good 3-Year ROIIC % depends on the Forest Products 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 Simpson Manufacturing Co and its competitors. Simpson Manufacturing Co's current 3-Year ROIIC % is -5.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Simpson Manufacturing Co stock overvalued right now?
Based on GuruFocus' analysis, Simpson Manufacturing Co (SSD) is currently considered Modestly Overvalued. The stock's GF Value™ is $184.96, compared to a current price of $209.35 — trading 13.2% above its estimated fair value. The current 3-Year ROIIC % is -5.85. Simpson Manufacturing Co's overall GF Score™ is 94/100 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 Simpson Manufacturing Co (SSD), the current 3-Year ROIIC % is -5.85 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 Simpson Manufacturing Co (SSD) Overvalued in 2026?
Based on GuruFocus' analysis, Simpson Manufacturing Co stock appears to be overvalued.
The current stock price of $209.35 is trading 13.2% above its estimated GF Value™ of $184.96.
GuruFocus considers Simpson Manufacturing Co to be Modestly Overvalued.
Key valuation signals for SSD:
3-Year ROIIC %: -5.85
GF Value™: $184.96 vs. price of $209.35 (13.2% above fair value)
No single metric tells the full story. See the SSD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Simpson Manufacturing Co Inc designs, manufactures, and markets systems and products to make buildings and structures safe and secure. It produces wood construction products, including connectors, truss plates, fastening systems, fasteners, and shearwalls, as well as concrete construction products such as adhesives, specialty chemicals, mechanical anchors, powder actuated tools, and fiber reinforcing materials. The company serves residential, industrial, commercial, and infrastructure construction, remodeling, and do-it-yourself markets, operating exclusively in the building products industry. It has three regional segments: North America, Europe, and Asia/Pacific. The majority of its revenue comes from wood products.
94GF Score
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