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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.
Terreno Realty's 5-Year ROIIC % for the quarter that ended in Dec. 2025 was 3.51%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Terreno Realty's 5-Year ROIIC % or its related term are showing as below:
TRNO's 5-Year ROIIC % is ranked worse than 55.59% of 626
companies
in the REITs industry
Industry Median: 4.115
vs TRNO: 3.51
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.
Terreno Realty 5-Year ROIIC % Related Terms
Terreno Realty 5-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Terreno Realty'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 REIT - Industrial subindustry, Terreno Realty'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.
Terreno Realty 5-Year ROIIC % vs REITs Industry
For the REITs industry and Real Estate sector, Terreno Realty's 5-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Terreno Realty's 5-Year ROIIC % falls into.
Terreno Realty's 5-Year ROIIC % for the quarter that ended in Dec. 2025 is calculated as:
5-Year ROIIC %
=
5-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
5-Year Incremental Invested Capital**
=
( 192.434 (Dec. 2025) - 68.424 (Dec. 2020) )
/
( 5560.151 (Dec. 2025) - 2031.984 (Dec. 2020) )
=
124.01
/
3528.167
=
3.51%***
* 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.
Terreno Realty (TRNO) has a 5-Year ROIIC % of 3.51 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 Terreno Realty and its competitors. According to the industry distribution chart, Terreno Realty ranks #348 out of 626 companies in the REITs industry, placing it in the top 55.6%.
Is Terreno Realty's 5-Year ROIIC % too high?
Terreno Realty's current 5-Year ROIIC % is 3.51. The REITs industry median 5-Year ROIIC % is 4.12. Terreno Realty's value of 3.51 is 14.7% below this industry median. Based on the distribution chart, Terreno Realty ranks #348 out of 626 companies in the REITs industry, which is below the industry midpoint. Overall, Terreno Realty has a GF Score™ of 92/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Terreno Realty's 5-Year ROIIC % compare to STAG and REXR?
According to the REITs industry distribution chart, Terreno Realty ranks #348 out of 626 companies for 5-Year ROIIC %. This places Terreno Realty in the lower half of its industry. The industry median 5-Year ROIIC % is 4.12. Terreno Realty's value of 3.51 is 14.7% 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 REITs company?
The median 5-Year ROIIC % among REITs companies is 4.12, based on 626 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. Terreno Realty's current 5-Year ROIIC % of 3.51 is 14.7% 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 Terreno Realty and its competitors. For the REITs industry, the median 5-Year ROIIC % is 4.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Terreno Realty's current 5-Year ROIIC % is 3.51. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Terreno Realty stock overvalued right now?
Based on GuruFocus' analysis, Terreno Realty (TRNO) is currently considered Fairly Valued. The stock's GF Value™ is $71.46, compared to a current price of $75.19 — trading 5.2% above its estimated fair value. The current 5-Year ROIIC % is 3.51 and 14.7% below the REITs industry median of 4.12. Terreno Realty's overall GF Score™ is 92/100 with 7 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 Terreno Realty (TRNO), the current 5-Year ROIIC % is 3.51 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 Terreno Realty (TRNO) Overvalued in 2026?
Based on GuruFocus' analysis, Terreno Realty stock appears to be overvalued.
The current stock price of $75.19 is trading 5.2% above its estimated GF Value™ of $71.46.
GuruFocus considers Terreno Realty to be Fairly Valued.
Key valuation signals for TRNO:
5-Year ROIIC %: 3.51
GF Value™: $71.46 vs. price of $75.19 (5.2% above fair value)
Industry Position: 14.7% below the REITs median (#348 of 626)
No single metric tells the full story. See the TRNO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Terreno Realty Corp is a real estate investment trust engaged in acquiring, owning, and operating industrial real estate in six coastal U.S. markets: Los Angeles, Northern New Jersey/New York City, San Francisco Bay Area, Seattle, Miami, and Washington, D.C. The company invests in several types of industrial real estate, including warehouse/distribution, flex (including light industrial and research and development), transshipment, and improved land.
92GF Score
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5-Year ROIIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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