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Zalando SEZLDSF 78 3-Year ROIIC % is 11.54 as of Dec. 2025, which is 141% above its 10-year median of 4.78. GuruFocus rates ZLDSF with a GF Score™ of 78/100 and a GF Value™ of $30.80 (Modestly Undervalued). The stock has 8 warning signs investors should review. Among 1,057 Retail - Cyclical companies, Zalando SE ranks better than 61.59% 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.
Zalando SE's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 11.54%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Zalando SE's 3-Year ROIIC % or its related term are showing as below:
ZLDSF's 3-Year ROIIC % is ranked better than 61.59% of 1057
companies
in the Retail - Cyclical industry
Industry Median: 4.63
vs ZLDSF: 11.54
Zalando SE (OTCPK:ZLDSF) 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.
Zalando SE 3-Year ROIIC % Related Terms
Zalando SE 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Zalando SE'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.
ZLDSF vs AMZN, BABA, PDD: 3-Year ROIIC % Comparison
For the Internet Retail subindustry, Zalando SE'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.
Zalando SE 3-Year ROIIC % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Zalando SE's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Zalando SE'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.
Zalando SE (ZLDSF) has a 3-Year ROIIC % of 11.54 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 Zalando SE and its competitors. This is 141% above median its historical median of 4.78. According to the industry distribution chart, Zalando SE ranks #406 out of 1057 companies in the Retail - Cyclical industry, placing it in the top 38.4%.
Is Zalando SE's 3-Year ROIIC % too high?
Zalando SE's current 3-Year ROIIC % of 11.54 is 141% above median its 10-year median of 4.78. The Retail - Cyclical industry median 3-Year ROIIC % is 4.63. Zalando SE's value of 11.54 is 149.2% above this industry median. Based on the distribution chart, Zalando SE ranks #406 out of 1057 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Zalando SE has a GF Score™ of 78/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Zalando SE's 3-Year ROIIC % compare to AMZN and BABA?
According to the Retail - Cyclical industry distribution chart, Zalando SE ranks #406 out of 1057 companies for 3-Year ROIIC %. This puts Zalando SE in the upper half of its industry. The industry median 3-Year ROIIC % is 4.63. Zalando SE's value of 11.54 is 149.2% above this benchmark. While the company's 10-year median is 4.78 vs. the industry median of 4.63, Zalando SE 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 - Cyclical company?
The median 3-Year ROIIC % among Retail - Cyclical companies is 4.63, based on 1,057 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. Zalando SE's current 3-Year ROIIC % of 11.54 is 149.2% 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 Zalando SE and its competitors. For the Retail - Cyclical industry, the median 3-Year ROIIC % is 4.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zalando SE's current 3-Year ROIIC % is 11.54, which is 141% above median its own 10-year median of 4.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zalando SE stock overvalued right now?
Based on GuruFocus' analysis, Zalando SE (ZLDSF) is currently considered Modestly Undervalued. The stock's GF Value™ is $30.80, compared to a current price of $26.00 — trading 15.6% below its estimated fair value. The current 3-Year ROIIC % is 11.54, which is 141% above median its 10-year median of 4.78 and 149.2% above the Retail - Cyclical industry median of 4.63. Zalando SE's overall GF Score™ is 78/100 with 8 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 Zalando SE (ZLDSF), the current 3-Year ROIIC % is 11.54 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 Zalando SE (ZLDSF) Overvalued in 2026?
Based on GuruFocus' analysis, Zalando SE stock appears to be undervalued.
The current stock price of $26.00 is trading 15.6% below its estimated GF Value™ of $30.80.
GuruFocus considers Zalando SE to be Modestly Undervalued.
Key valuation signals for ZLDSF:
3-Year ROIIC %: 11.54 (141% above median its 10-year median of 4.78)
GF Value™: $30.80 vs. price of $26.00 (15.6% below fair value)
Industry Position: 149.2% above the Retail - Cyclical median (#406 of 1057)
No single metric tells the full story. See the ZLDSF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zalando, founded in 2008, is Europe's biggest pure-play online fashion platform. Zalando is present in 25 European countries, and its major market is the DACH region, comprising Germany, Austria, and Switzerland. After the About You acquisition, it has 17 fulfillment centers, offers over 7,000 brands, and as of September 2025, had 62 million active users (more than 10% of the population in countries where the firm has a presence).
78GF Score
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