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5-Year Return on Invested Incremental Capital (5-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 5-year.
CPFL Energia's 5-Year ROIIC % for the quarter that ended in Dec. 2025 was 14.32%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for CPFL Energia's 5-Year ROIIC % or its related term are showing as below:
BSP:CPFE3's 5-Year ROIIC % is ranked better than 82.09% of 469
companies
in the Utilities - Regulated industry
Industry Median: 4.05
vs BSP:CPFE3: 14.32
CPFL Energia (BSP:CPFE3) 5-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.
CPFL Energia 5-Year ROIIC % Related Terms
CPFL Energia 5-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for CPFL Energia's 5-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.
BSP:CPFE3 vs NEE, SO, DUK: 5-Year ROIIC % Comparison
For the Utilities - Regulated Electric subindustry, CPFL Energia's 5-Year ROIIC %, along with its competitors' market caps and 5-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.
CPFL Energia 5-Year ROIIC % vs Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, CPFL Energia's 5-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where CPFL Energia's 5-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 5-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.
CPFL Energia (BSP:CPFE3) has a 5-Year ROIIC % of 14.32 as of Dec. 2025. 5-Year ROIIC % measures the change in earnings as a percentage of change in investment over 5-year. View historical data on CPFL Energia and its competitors. According to the industry distribution chart, CPFL Energia ranks #84 out of 469 companies in the Utilities - Regulated industry, placing it in the top 17.9%.
Is CPFL Energia's 5-Year ROIIC % too high?
CPFL Energia's current 5-Year ROIIC % is 14.32. The Utilities - Regulated industry median 5-Year ROIIC % is 4.05. CPFL Energia's value of 14.32 is 253.6% above this industry median. Based on the distribution chart, CPFL Energia ranks #84 out of 469 companies in the Utilities - Regulated industry, which is in the top quartile — a strong position relative to peers. Overall, CPFL Energia has a GF Score™ of 76/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does CPFL Energia's 5-Year ROIIC % compare to NEE and SO?
According to the Utilities - Regulated industry distribution chart, CPFL Energia ranks #84 out of 469 companies for 5-Year ROIIC %. This places CPFL Energia in the top 18% of its industry — outperforming the majority of peers. The industry median 5-Year ROIIC % is 4.05. CPFL Energia's value of 14.32 is 253.6% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year ROIIC % for an Utilities - Regulated company?
The median 5-Year ROIIC % among Utilities - Regulated companies is 4.05, based on 469 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. CPFL Energia's current 5-Year ROIIC % of 14.32 is 253.6% 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 5-Year ROIIC % mean?
A high 5-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 5-Year ROIIC % measures the change in earnings as a percentage of change in investment over 5-year. View historical data on CPFL Energia and its competitors. For the Utilities - Regulated industry, the median 5-Year ROIIC % is 4.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CPFL Energia's current 5-Year ROIIC % is 14.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CPFL Energia stock overvalued right now?
Based on GuruFocus' analysis, CPFL Energia (BSP:CPFE3) is currently considered Modestly Overvalued. The stock's GF Value™ is R$38.13, compared to a current price of R$46.83 — trading 22.8% above its estimated fair value. The current 5-Year ROIIC % is 14.32 and 253.6% above the Utilities - Regulated industry median of 4.05. CPFL Energia's overall GF Score™ is 76/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year ROIIC % calculated?
5-Year ROIIC % is calculated from a company's financial statements. For CPFL Energia (BSP:CPFE3), the current 5-Year ROIIC % is 14.32 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 CPFL Energia (BSP:CPFE3) Overvalued in 2026?
Based on GuruFocus' analysis, CPFL Energia stock appears to be overvalued.
The current stock price of R$46.83 is trading 22.8% above its estimated GF Value™ of R$38.13.
GuruFocus considers CPFL Energia to be Modestly Overvalued.
Key valuation signals for BSP:CPFE3:
5-Year ROIIC %: 14.32
GF Value™: R$38.13 vs. price of R$46.83 (22.8% above fair value)
Industry Position: 253.6% above the Utilities - Regulated median (#84 of 469)
No single metric tells the full story. See the BSP:CPFE3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
CPFL Energia SA operates as a holding company. Along with its subsidiaries, the company is engaged in distribution, generation, transmission and commercialization activities of electric energy in Brazil. It also provides energy-related services through its solutions division, including energy management and trading, energy efficiency services, distributed generation, energy infrastructure development, and consulting services. The company's operating segments are (i) electric energy distribution activities, (ii) electric energy generation, (iii) electric energy transmission, (iv) energy commercialization, (v) service activities, and (vi) other activities not listed in the previous items. The majority of the company's revenue is derived from the electric energy distribution segment.
76GF Score
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