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.
Nippon Steel's 5-Year ROIIC % for the quarter that ended in Mar. 2026 was 0.94%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Nippon Steel's 5-Year ROIIC % or its related term are showing as below:
NISTF's 5-Year ROIIC % is ranked worse than 56% of 575
companies
in the Steel industry
Industry Median: 2.81
vs NISTF: 0.94
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.
Nippon Steel 5-Year ROIIC % Related Terms
Nippon Steel 5-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Nippon Steel'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.
For the Steel subindustry, Nippon Steel'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.
Nippon Steel 5-Year ROIIC % vs Steel Industry
For the Steel industry and Basic Materials sector, Nippon Steel's 5-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Nippon Steel's 5-Year ROIIC % falls into.
Nippon Steel's 5-Year ROIIC % for the quarter that ended in Mar. 2026 is calculated as:
5-Year ROIIC %
=
5-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
5-Year Incremental Invested Capital**
=
( 699.745221 (Mar. 2026) - 504.383 (Mar. 2021) )
/
( 74143.073 (Mar. 2026) - 53171.48 (Mar. 2021) )
=
195.362221
/
20971.593
=
0.93%***
* 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.
Nippon Steel (NISTF) has a 5-Year ROIIC % of 0.94 as of Mar. 2026. 5-Year ROIIC % measures the change in earnings as a percentage of change in investment over 5-year. View historical data on Nippon Steel and its competitors. According to the industry distribution chart, Nippon Steel ranks #322 out of 575 companies in the Steel industry, placing it in the top 56%.
Is Nippon Steel's 5-Year ROIIC % too high?
Nippon Steel's current 5-Year ROIIC % is 0.94. The Steel industry median 5-Year ROIIC % is 2.81. Nippon Steel's value of 0.94 is 66.5% below this industry median. Based on the distribution chart, Nippon Steel ranks #322 out of 575 companies in the Steel industry, which is below the industry midpoint. Overall, Nippon Steel has a GF Score™ of 68/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nippon Steel's 5-Year ROIIC % compare to NUE and STLD?
According to the Steel industry distribution chart, Nippon Steel ranks #322 out of 575 companies for 5-Year ROIIC %. This places Nippon Steel in the lower half of its industry. The industry median 5-Year ROIIC % is 2.81. Nippon Steel's value of 0.94 is 66.5% below 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 a Steel company?
The median 5-Year ROIIC % among Steel companies is 2.81, based on 575 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. Nippon Steel's current 5-Year ROIIC % of 0.94 is 66.5% below 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 Nippon Steel and its competitors. For the Steel industry, the median 5-Year ROIIC % is 2.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Steel's current 5-Year ROIIC % is 0.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Steel stock overvalued right now?
Based on GuruFocus' analysis, Nippon Steel (NISTF) is currently considered Modestly Undervalued. The stock's GF Value™ is $4.65, compared to a current price of $3.40 — trading 26.9% below its estimated fair value. The current 5-Year ROIIC % is 0.94 and 66.5% below the Steel industry median of 2.81. Nippon Steel's overall GF Score™ is 68/100 with 8 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 Nippon Steel (NISTF), the current 5-Year ROIIC % is 0.94 as of Mar. 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 Nippon Steel (NISTF) Overvalued in 2026?
Based on GuruFocus' analysis, Nippon Steel stock appears to be undervalued.
The current stock price of $3.40 is trading 26.9% below its estimated GF Value™ of $4.65.
GuruFocus considers Nippon Steel to be Modestly Undervalued.
Key valuation signals for NISTF:
5-Year ROIIC %: 0.94
GF Value™: $4.65 vs. price of $3.40 (26.9% below fair value)
Industry Position: 66.5% below the Steel median (#322 of 575)
No single metric tells the full story. See the NISTF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nippon Steel Corp is mainly engaged in the steel manufacturing business, engineering business, chemical & material business, and system solution business. The company operates through four business segments. The Chemicals & Materials segment manufactures and sells coal chemicals, petrochemicals, electronic materials, semiconductors, carbon fibers, composites, and processed metal products. The Engineering segment handles industrial machinery, steel structures, construction contracting, waste disposal, recycling, and energy supply. The Steel segment focuses on the production and sale of steel products. The System Solutions segment provides IT consulting, outsourcing, and related services. It generates the majority of its revenue from the Steel segment.
68GF Score
Get the complete analysis for NISTF
5-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
NISTF has been successfully added to your 
