GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Vertiv Holdings Co (NYSE:VRT) » Definitions » 5-Year ROIIC %

VRT (Vertiv Holdings Co) 5-Year ROIIC % : 16.08% (As of Dec. 2023)


View and export this data going back to 2018. Start your Free Trial

What is Vertiv Holdings Co 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. Vertiv Holdings Co's 5-Year ROIIC % for the quarter that ended in Dec. 2023 was 16.08%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

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

VRT's 5-Year ROIIC % is ranked better than
72.92% of 2770 companies
in the Industrial Products industry
Industry Median: 5.06 vs VRT: 16.08

Vertiv Holdings Co 5-Year ROIIC % Historical Data

The historical data trend for Vertiv Holdings Co'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.

Vertiv Holdings Co 5-Year ROIIC % Chart

Vertiv Holdings Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
5-Year ROIIC %
Get a 7-Day Free Trial - - - 1.95 16.08

Vertiv Holdings Co 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 - 16.08 - - -

Competitive Comparison of Vertiv Holdings Co's 5-Year ROIIC %

For the Electrical Equipment & Parts subindustry, Vertiv Holdings Co'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.


Vertiv Holdings Co's 5-Year ROIIC % Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Vertiv Holdings Co's 5-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Vertiv Holdings Co's 5-Year ROIIC % falls into.



Vertiv Holdings Co 5-Year ROIIC % Calculation

Vertiv Holdings Co'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**
=( 790.55664 (Dec. 2023) - -0.8190226 (Dec. 2018) )/( 5616.3 (Dec. 2023) - 696.162 (Dec. 2018) )
=791.3756626/4920.138
=16.08%***

* 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.


Vertiv Holdings Co  (NYSE:VRT) 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.


Vertiv Holdings Co 5-Year ROIIC % Related Terms

Thank you for viewing the detailed overview of Vertiv Holdings Co's 5-Year ROIIC % provided by GuruFocus.com. Please click on the following links to see related term pages.


Vertiv Holdings Co Business Description

Traded in Other Exchanges
Address
505 North, Cleveland Avenue, Westerville, OH, USA, 43082
Vertiv Holdings Co brings together hardware, software, analytics and ongoing services to ensure its customers vital applications run continuously, perform optimally and grow with their business needs. The company solves the important challenges faced by data centers, communication networks and commercial and industrial facilities with a portfolio of power, cooling and IT infrastructure solutions and services that extends from the cloud to the edge of the network. Its services include critical power, thermal management, racks and enclosures, monitoring and management, and other services. Its three business segments include the Americas, Asia Pacific; and Europe, Middle East & Africa.
Executives
Anders Karlborg officer: EVP, Man., Logistics and Op Ex 505 N. CLEVELAND AVE., WESTERVILLE OH 43082
Stephen Liang officer: President of Asia Pacific C/O VERTIV HOLDINGS CO, 1050 DEARBORN DRIVE, COLUMBUS OH 43085
Jan Van Dokkum director ONE FINANCIAL PLAZA, UNITED TECHNOLOGIES CORP, HATTFORD CT 06101
Doherty Philip O' officer: Managing Director, E+I 1050 DEARBORN DRIVE, COLUMBUS OH 43085
Anand Sanghi officer: Pres. AU, NZ, SE Asia & India C/O VERTIV HOLDINGS CO, 1050 DEARBORN DRIVE, COLUMBUS OH 43085
Steven Reinemund director 700 ANDERSON HILL RD, PURCHASE NY 10577
Jakki L. Haussler director 221 EAST FOURTH STREET, CINCINNATI OH 45202
Robin L Washington director 333 LAKESIDE DRIVE, FOSTER CITY CA 94404
Karsten Winther officer: President, EMEA 1050 DEARBORN DRIVE, COLUMBUS OH 43085
Roger Fradin director C/O MSC INDUSTRIAL DIRECT CO., INC., 75 MAXESS ROAD, MELVILLE NY 11747
Yibin Edward Cui officer: President, North Asia 1050 DEARBORN DRIVE, COLUMBUS OH 43085
Scott Cripps officer: Chief Accounting Officer C/O VERTIV HOLDINGS CO, 1050 DEARBORN DRIVE, COLUMBUS OH 43085
Vpe Holdings, Llc director, 10 percent owner 360 NORTH CRESCENT DRIVE, SOUTH BUILDING, BEVERLY HILLS CA 90210
Platinum Equity Partners Iii, Llc director C/O PLATINUM EQUITY ADVISORS, LLC, 360 NORTH CRESCENT DRIVE, SOUTH BUILDING, BEVERLY HILLS CA 90210
Paul Ryan officer: Chief Procurement Officer 505 N. CLEVELAND AVE., WESTERVILLE OH 43082