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W.W. Grainger (W.W. Grainger) 5-Year ROIIC % : 61.94% (As of Dec. 2023)


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What is W.W. Grainger 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. W.W. Grainger's 5-Year ROIIC % for the quarter that ended in Dec. 2023 was 61.94%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

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

GWW's 5-Year ROIIC % is ranked better than
89.63% of 135 companies
in the Industrial Distribution industry
Industry Median: 8.38 vs GWW: 61.94

W.W. Grainger 5-Year ROIIC % Historical Data

The historical data trend for W.W. Grainger'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.

W.W. Grainger 5-Year ROIIC % Chart

W.W. Grainger 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 33.98 6.51 63.13 76.36 61.94

W.W. Grainger Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 - - - 61.94 -

Competitive Comparison of W.W. Grainger's 5-Year ROIIC %

For the Industrial Distribution subindustry, W.W. Grainger'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.


W.W. Grainger's 5-Year ROIIC % Distribution in the Industrial Distribution Industry

For the Industrial Distribution industry and Industrials sector, W.W. Grainger's 5-Year ROIIC % distribution charts can be found below:

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



W.W. Grainger 5-Year ROIIC % Calculation

W.W. Grainger'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**
=( 1952.478 (Dec. 2023) - 881.5854 (Dec. 2018) )/( 6088 (Dec. 2023) - 4359 (Dec. 2018) )
=1070.8926/1729
=61.94%***

* 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.


W.W. Grainger  (NYSE:GWW) 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.


W.W. Grainger 5-Year ROIIC % Related Terms

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


W.W. Grainger (W.W. Grainger) Business Description

Traded in Other Exchanges
Address
100 Grainger Parkway, Lake Forest, IL, USA, 60045-5201
W.W. Grainger distributes approximately 1.5 million maintenance, repair, and operating products that are sourced from over 4,500 suppliers. The company serves about 5 million customers through its online and electronic purchasing platforms, vending machines, catalog distribution, and network of over 300 global branches. In recent years, Grainger has invested in its e-commerce capabilities and is the 11th-largest e-retailer in North America.
Executives
Laurie R Thomson officer: VP, Controller 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Donald G Macpherson director, officer: Chairman and CEO 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Matt Fortin officer: SVP & Chief HR Officer 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
George S Davis director 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Rodney C Adkins director 55 GLENLAKE PARKWAY, NE, ATLANTA GA 30328
Katherine D. Jaspon director 130 ROYALL STREET, C/O DUNKIN' BRANDS, INC., CANTON MA 02021
Susan Slavik Williams director 4450 MACARTHUR BLVD., SECOND FLOOR, NEWPORT BEACH CA 92660
Stuart L Levenick director 100 NE ADAMS STREET, PEORIA IL 61629
Neil S Novich director RYERSON LTULL INC, 2621 W 15TH PLACE, CHICAGO IL 60603
V Ann Hailey director THREE LIMITED PARKWAY, COLUMBUS OH 43230
Steven Andrew White director 1 HORMEL PLACE, AUSTIN MN 55912
Beatriz R Perez director ONE COCA-COLA PLAZA, ATLANTA GA 30313
Ernest Scott Santi director ILLINOIS TOOL WORKS INC., 155 HARLEM AVE., GLENVIEW IL 60025
Lucas E Watson director 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Paige K Robbins officer: Sr. VP (see Remarks) 100 GRAINGER PARKWAY, LAKE FOREST IL 60045

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