WalmartWMT +1.51%86 3-Year ROIIC % is 23.20 as of Jan. 2026, which is 20% above its 10-year median of 19.26. GuruFocus rates WMT with a GF Score™ of 86/100 and a GF Value™ of $94.31 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 295 Retail - Defensive companies, Walmart ranks better than 77.97% 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.
Walmart's 3-Year ROIIC % for the quarter that ended in Jan. 2026 was 23.20%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Walmart's 3-Year ROIIC % or its related term are showing as below:
WMT's 3-Year ROIIC % is ranked better than 77.97% of 295
companies
in the Retail - Defensive industry
Industry Median: 6.07
vs WMT: 23.20
Walmart (NAS:WMT) 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.
Walmart 3-Year ROIIC % Related Terms
Walmart 3-Year ROIIC % Historical Data
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The historical data trend for Walmart'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 Discount Stores subindustry, Walmart'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.
Walmart 3-Year ROIIC % vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Walmart's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Walmart'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.
Walmart (WMT) has a 3-Year ROIIC % of 23.20 as of Jan. 2026. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Walmart and its competitors. This is 20% above median its historical median of 19.26. According to the industry distribution chart, Walmart ranks #65 out of 295 companies in the Retail - Defensive industry, placing it in the top 22%.
Is Walmart's 3-Year ROIIC % too high?
Walmart's current 3-Year ROIIC % of 23.20 is 20% above median its 10-year median of 19.26. The Retail - Defensive industry median 3-Year ROIIC % is 6.07. Walmart's value of 23.20 is 282.2% above this industry median. Based on the distribution chart, Walmart ranks #65 out of 295 companies in the Retail - Defensive industry, which is in the top quartile — a strong position relative to peers. Overall, Walmart has a GF Score™ of 86/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Walmart's 3-Year ROIIC % compare to COST and TGT?
According to the Retail - Defensive industry distribution chart, Walmart ranks #65 out of 295 companies for 3-Year ROIIC %. This places Walmart in the top 22% of its industry — outperforming the majority of peers. The industry median 3-Year ROIIC % is 6.07. Walmart's value of 23.20 is 282.2% above this benchmark. While the company's 10-year median is 19.26 vs. the industry median of 6.07, Walmart 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 Retail - Defensive company?
The median 3-Year ROIIC % among Retail - Defensive companies is 6.07, based on 295 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. Walmart's current 3-Year ROIIC % of 23.20 is 282.2% 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 Walmart and its competitors. For the Retail - Defensive industry, the median 3-Year ROIIC % is 6.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Walmart's current 3-Year ROIIC % is 23.20, which is 20% above median its own 10-year median of 19.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Walmart stock overvalued right now?
Based on GuruFocus' analysis, Walmart (WMT) is currently considered Modestly Overvalued. The stock's GF Value™ is $94.31, compared to a current price of $113.90 — trading 20.8% above its estimated fair value. The current 3-Year ROIIC % is 23.20, which is 20% above median its 10-year median of 19.26 and 282.2% above the Retail - Defensive industry median of 6.07. Walmart's overall GF Score™ is 86/100 with 2 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 Walmart (WMT), the current 3-Year ROIIC % is 23.20 as of Jan. 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 Walmart (WMT) Overvalued in 2026?
Based on GuruFocus' analysis, Walmart stock appears to be overvalued.
The current stock price of $113.90 is trading 20.8% above its estimated GF Value™ of $94.31.
GuruFocus considers Walmart to be Modestly Overvalued.
Key valuation signals for WMT:
3-Year ROIIC %: 23.20 (20% above median its 10-year median of 19.26)
GF Value™: $94.31 vs. price of $113.90 (20.8% above fair value)
Industry Position: 282.2% above the Retail - Defensive median (#65 of 295)
No single metric tells the full story. See the WMT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Since its founding in 1962, Walmart has become the world's largest retailer, operating over 10,700 stores globally (including 4,600 namesake locations on its home turf and another 600 Sam's Club outlets) and growing its e-commerce presence, attracting 270 million customers weekly. In aggregate, the firm posted more than $713 billion in fiscal 2026 sales. Its core operations span three reporting segments: Walmart US (68% of fiscal 2026 sales), Walmart International (19%), and Sam's Club (13%).Within the US, nearly 60% of its $486 billion in fiscal 2026 revenue came from its grocery offerings, with another quarter from general merchandise. Internationally, Walmart's operations are concentrated in Mexico, though it also has budding exposure to India.
86GF Score
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