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AvalonBay Communities (STU:WV8) 5-Year ROIIC % : 2.49% (As of Dec. 2023)


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What is AvalonBay Communities 5-Year ROIIC %?

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. AvalonBay Communities's 5-Year ROIIC % for the quarter that ended in Dec. 2023 was 2.49%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for AvalonBay Communities's 5-Year ROIIC % or its related term are showing as below:

STU:WV8's 5-Year ROIIC % is ranked worse than
61.28% of 643 companies
in the REITs industry
Industry Median: 3.66 vs STU:WV8: 2.49

AvalonBay Communities 5-Year ROIIC % Historical Data

The historical data trend for AvalonBay Communities'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.

* Premium members only.

AvalonBay Communities 5-Year ROIIC % Chart

AvalonBay Communities Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
5-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.38 0.88 -9.64 -1.49 2.49

AvalonBay Communities Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
5-Year ROIIC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - 2.49 - - -

Competitive Comparison of AvalonBay Communities's 5-Year ROIIC %

For the REIT - Residential subindustry, AvalonBay Communities'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.


AvalonBay Communities's 5-Year ROIIC % Distribution in the REITs Industry

For the REITs industry and Real Estate sector, AvalonBay Communities's 5-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where AvalonBay Communities's 5-Year ROIIC % falls into.



AvalonBay Communities 5-Year ROIIC % Calculation

AvalonBay Communities's 5-Year ROIIC % for the quarter that ended in Dec. 2023 is calculated as:

5-Year ROIIC %=5-Year Incremental Net Operating Profit After Taxes (NOPAT)**/5-Year Incremental Invested Capital**
=( 803.9396564 (Dec. 2023) - 726.5632836 (Dec. 2018) )/( 18475.032 (Dec. 2023) - 15936.859 (Dec. 2018) )
=77.3763728/2538.173
=3.05%***

* 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.


AvalonBay Communities  (STU:WV8) 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.


AvalonBay Communities 5-Year ROIIC % Related Terms

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AvalonBay Communities Business Description

Address
4040 Wilson Boulevard, Suite 1000, Arlington, VA, USA, 22203
AvalonBay Communities owns a portfolio of 281 apartment communities with over 87,000 units and is developing 18 additional properties with over 6,200 units. The company focuses on owning large, high-quality properties in major metropolitan areas of New England, New York/New Jersey, Washington D.C., California, and the Pacific Northwest.

AvalonBay Communities Headlines

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