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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.
WAVE Life Sciences's 5-Year ROIIC % for the quarter that ended in Dec. 2025 was 106.72%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for WAVE Life Sciences's 5-Year ROIIC % or its related term are showing as below:
WVE's 5-Year ROIIC % is ranked better than 84.07% of 1174
companies
in the Biotechnology industry
Industry Median: -11.085
vs WVE: 106.72
WAVE Life Sciences (NAS:WVE) 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.
WAVE Life Sciences 5-Year ROIIC % Related Terms
WAVE Life Sciences 5-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for WAVE Life Sciences'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.
WVE vs CGEM, LXRX, XNCR: 5-Year ROIIC % Comparison
For the Biotechnology subindustry, WAVE Life Sciences'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.
WAVE Life Sciences 5-Year ROIIC % vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, WAVE Life Sciences's 5-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where WAVE Life Sciences'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.
WAVE Life Sciences (WVE) has a 5-Year ROIIC % of 106.72 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 WAVE Life Sciences and its competitors. According to the industry distribution chart, WAVE Life Sciences ranks #187 out of 1174 companies in the Biotechnology industry, placing it in the top 15.9%.
Is WAVE Life Sciences' 5-Year ROIIC % too high?
WAVE Life Sciences' current 5-Year ROIIC % is 106.72. Based on the distribution chart, WAVE Life Sciences ranks #187 out of 1174 companies in the Biotechnology industry, which is in the top quartile — a strong position relative to peers. Overall, WAVE Life Sciences has a GF Score™ of 59/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does WAVE Life Sciences' 5-Year ROIIC % compare to CGEM and LXRX?
According to the Biotechnology industry distribution chart, WAVE Life Sciences ranks #187 out of 1174 companies for 5-Year ROIIC %. This places WAVE Life Sciences in the top 16% of its industry — outperforming the majority of peers. 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 Biotechnology company?
A good 5-Year ROIIC % depends on the Biotechnology industry context. However, 5-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. 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 WAVE Life Sciences and its competitors. WAVE Life Sciences's current 5-Year ROIIC % is 106.72. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is WAVE Life Sciences stock overvalued right now?
Based on GuruFocus' analysis, WAVE Life Sciences (WVE) is currently considered Significantly Overvalued. The stock's GF Value™ is $4.36, compared to a current price of $6.00 — trading 37.6% above its estimated fair value. The current 5-Year ROIIC % is 106.72. WAVE Life Sciences' overall GF Score™ is 59/100 with 2 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 WAVE Life Sciences (WVE), the current 5-Year ROIIC % is 106.72 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 WAVE Life Sciences (WVE) Overvalued in 2026?
Based on GuruFocus' analysis, WAVE Life Sciences stock appears to be overvalued.
The current stock price of $6.00 is trading 37.6% above its estimated GF Value™ of $4.36.
GuruFocus considers WAVE Life Sciences to be Significantly Overvalued.
Key valuation signals for WVE:
5-Year ROIIC %: 106.72
GF Value™: $4.36 vs. price of $6.00 (37.6% above fair value)
No single metric tells the full story. See the WVE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
WAVE Life Sciences Ltd is a clinical-stage biotechnology company focused on unlocking the broad potential of RNA medicines also known as oligonucleotides, targeting ribonucleic acid (RNA), to transform human health. RNA medicines platform, PRISM, combines multiple modalities, chemistry innovation, and deep insights into human genetics to deliver scientific breakthroughs that treat both rare and prevalent disorders. Its toolkit of RNA-targeting modalities includes RNA editing, antisense silencing, and RNA interference, providing capabilities for designing and sustainably delivering candidates that optimally address disease biology. Its programs are for rare and prevalent diseases, including alpha-1 antitrypsin deficiency, obesity, Duchenne muscular dystrophy, and Huntington's disease.
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