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Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Localiza Rent A Car's 3-Year RORE % for the quarter that ended in Mar. 2026 was 28.69%.
The industry rank for Localiza Rent A Car's 3-Year RORE % or its related term are showing as below:
BSP:RENT3's 3-Year RORE % is ranked better than 71.03% of 977
companies
in the Business Services industry
Industry Median: 7.92
vs BSP:RENT3: 28.69
Localiza Rent A Car (BSP:RENT3) 3-Year RORE % Explanation
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Localiza Rent A Car 3-Year RORE % Related Terms
Localiza Rent A Car 3-Year RORE % Historical Data
* Premium members only.
The historical data trend for Localiza Rent A Car's 3-Year RORE % 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.
BSP:RENT3 vs URI, SUNB, AER: 3-Year RORE % Comparison
For the Rental & Leasing Services subindustry, Localiza Rent A Car's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % 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.
Localiza Rent A Car 3-Year RORE % vs Business Services Industry
For the Business Services industry and Industrials sector, Localiza Rent A Car's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where Localiza Rent A Car's 3-Year RORE % 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.
In the calculation of 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 3-year before.
Localiza Rent A Car (BSP:RENT3) has a 3-Year RORE % of 28.69 as of Mar. 2026. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Localiza Rent A Car and its competitors. According to the industry distribution chart, Localiza Rent A Car ranks #283 out of 977 companies in the Business Services industry, placing it in the top 29%.
Is Localiza Rent A Car's 3-Year RORE % too high?
Localiza Rent A Car's current 3-Year RORE % is 28.69. The Business Services industry median 3-Year RORE % is 7.92. Localiza Rent A Car's value of 28.69 is 262.2% above this industry median. Based on the distribution chart, Localiza Rent A Car ranks #283 out of 977 companies in the Business Services industry, which is above the industry midpoint. Overall, Localiza Rent A Car has a GF Score™ of 94/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Localiza Rent A Car's 3-Year RORE % compare to URI and SUNB?
According to the Business Services industry distribution chart, Localiza Rent A Car ranks #283 out of 977 companies for 3-Year RORE %. This puts Localiza Rent A Car in the upper half of its industry. The industry median 3-Year RORE % is 7.92. Localiza Rent A Car's value of 28.69 is 262.2% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year RORE % for a Business Services company?
The median 3-Year RORE % among Business Services companies is 7.92, based on 977 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Localiza Rent A Car's current 3-Year RORE % of 28.69 is 262.2% above 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 3-Year RORE % mean?
A high 3-Year RORE % can signal that a stock is expensive relative to its fundamentals. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Localiza Rent A Car and its competitors. For the Business Services industry, the median 3-Year RORE % is 7.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Localiza Rent A Car's current 3-Year RORE % is 28.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Localiza Rent A Car stock overvalued right now?
Based on GuruFocus' analysis, Localiza Rent A Car (BSP:RENT3) is currently considered Possible Value Trap. The stock's GF Value™ is R$56.09, compared to a current price of R$36.55 — trading 34.8% below its estimated fair value. The current 3-Year RORE % is 28.69 and 262.2% above the Business Services industry median of 7.92. Localiza Rent A Car's overall GF Score™ is 94/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year RORE % calculated?
3-Year RORE % is calculated from a company's financial statements. For Localiza Rent A Car (BSP:RENT3), the current 3-Year RORE % is 28.69 as of Mar. 2026. 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 Localiza Rent A Car (BSP:RENT3) Overvalued in 2026?
Based on GuruFocus' analysis, Localiza Rent A Car stock appears to be undervalued.
The current stock price of R$36.55 is trading 34.8% below its estimated GF Value™ of R$56.09.
GuruFocus considers Localiza Rent A Car to be Possible Value Trap.
Key valuation signals for BSP:RENT3:
3-Year RORE %: 28.69
GF Value™: R$56.09 vs. price of R$36.55 (34.8% below fair value)
Industry Position: 262.2% above the Business Services median (#283 of 977)
No single metric tells the full story. See the BSP:RENT3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Localiza Rent A Car SA is a car rental service provider with the majority of its operations in Brazil. Through its subsidiaries, the company rents cars to individuals, manages corporate car fleets, sells its decommissioned fleet, and operates a franchise business. The company has two reportable operating segments: Car Rental and Fleet Management. Maximum revenue is generated from the Car Rental segment, which is responsible for car rentals and for stipulating insurance and managing car claims for insurance companies. This segment is also responsible for the administration and granting of franchises and the right to use the Localiza brand in geographically defined markets. Geographically, the company operates across different regions in Latin America.
94GF Score
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