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.
International Consolidated Airlines Group's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 41.69%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
XMAD:IAG's 3-Year ROIIC % is ranked better than 86.23% of 937
companies
in the Transportation industry
Industry Median: 2.04
vs XMAD:IAG: 41.69
International Consolidated Airlines Group (XMAD:IAG) 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.
International Consolidated Airlines Group 3-Year ROIIC % Related Terms
International Consolidated Airlines 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.
International Consolidated Airlines Group 3-Year ROIIC % Chart
International Consolidated Airlines Group Annual Data
XMAD:IAG vs DAL, UAL, LUV: 3-Year ROIIC % Comparison
For the Airlines subindustry, International Consolidated Airlines 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.
International Consolidated Airlines Group 3-Year ROIIC % vs Transportation Industry
3-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
3-Year Incremental Invested Capital**
=
( 3720.127 (Dec. 2025) - 1397 (Dec. 2022) )
/
( 43644 (Dec. 2025) - 38271 (Dec. 2022) )
=
2323.127
/
5373
=
43.24%***
* 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.
International Consolidated Airlines Group (XMAD:IAG) has a 3-Year ROIIC % of 41.69 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 International Consolidated Airlines Group and its competitors. This is 13% above median its historical median of 36.92. According to the industry distribution chart, International Consolidated Airlines Group ranks #129 out of 937 companies in the Transportation industry, placing it in the top 13.8%.
Is International Consolidated Airlines Group's 3-Year ROIIC % too high?
International Consolidated Airlines Group's current 3-Year ROIIC % of 41.69 is 13% above median its 10-year median of 36.92. The Transportation industry median 3-Year ROIIC % is 2.04. International Consolidated Airlines Group's value of 41.69 is 1943.6% above this industry median. Based on the distribution chart, International Consolidated Airlines Group ranks #129 out of 937 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. Overall, International Consolidated Airlines Group has a GF Score™ of 64/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does International Consolidated Airlines Group's 3-Year ROIIC % compare to DAL and UAL?
According to the Transportation industry distribution chart, International Consolidated Airlines Group ranks #129 out of 937 companies for 3-Year ROIIC %. This places International Consolidated Airlines Group in the top 14% of its industry — outperforming the majority of peers. The industry median 3-Year ROIIC % is 2.04. International Consolidated Airlines Group's value of 41.69 is 1943.6% above this benchmark. While the company's 10-year median is 36.92 vs. the industry median of 2.04, International Consolidated Airlines Group 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 Transportation company?
The median 3-Year ROIIC % among Transportation companies is 2.04, based on 937 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. International Consolidated Airlines Group's current 3-Year ROIIC % of 41.69 is 1943.6% 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 International Consolidated Airlines Group and its competitors. For the Transportation industry, the median 3-Year ROIIC % is 2.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. International Consolidated Airlines Group's current 3-Year ROIIC % is 41.69, which is 13% above median its own 10-year median of 36.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is International Consolidated Airlines Group stock overvalued right now?
Based on GuruFocus' analysis, International Consolidated Airlines Group (XMAD:IAG) is currently considered Significantly Overvalued. The stock's GF Value™ is €2.70, compared to a current price of €5.52 — trading 104.5% above its estimated fair value. The current 3-Year ROIIC % is 41.69, which is 13% above median its 10-year median of 36.92 and 1943.6% above the Transportation industry median of 2.04. International Consolidated Airlines Group's overall GF Score™ is 64/100 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 International Consolidated Airlines Group (XMAD:IAG), the current 3-Year ROIIC % is 41.69 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 International Consolidated Airlines Group (XMAD:IAG) Overvalued in 2026?
Based on GuruFocus' analysis, International Consolidated Airlines Group stock appears to be overvalued.
The current stock price of €5.52 is trading 104.5% above its estimated GF Value™ of €2.70.
GuruFocus considers International Consolidated Airlines Group to be Significantly Overvalued.
Key valuation signals for XMAD:IAG:
3-Year ROIIC %: 41.69 (13% above median its 10-year median of 36.92)
GF Value™: €2.70 vs. price of €5.52 (104.5% above fair value)
Industry Position: 1943.6% above the Transportation median (#129 of 937)
No single metric tells the full story. See the XMAD:IAG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
International Consolidated Airlines Group Business Description
International Airlines Group is a European airline group flying under the British Airways, Iberia, Aer Lingus, and Vueling brands. The group's main airport hubs are London Heathrow, London Gatwick, Madrid, Barcelona, and Dublin. Geographically, it derives a majority of its revenue from the United Kingdom.
64GF Score
Get the complete analysis for XMAD:IAG
3-Year ROIIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
XMAD:IAG has been successfully added to your 
