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.
CECO Environmental's 3-Year RORE % for the quarter that ended in Mar. 2026 was 1.00%.
The industry rank for CECO Environmental's 3-Year RORE % or its related term are showing as below:
CECO's 3-Year RORE % is ranked worse than 54.89% of 2895
companies
in the Industrial Products industry
Industry Median: 5.19
vs CECO: 1.00
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.
CECO Environmental 3-Year RORE % Related Terms
CECO Environmental 3-Year RORE % Historical Data
* Premium members only.
The historical data trend for CECO Environmental'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.
For the Pollution & Treatment Controls subindustry, CECO Environmental'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.
CECO Environmental 3-Year RORE % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, CECO Environmental's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where CECO Environmental'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.
CECO Environmental (CECO) has a 3-Year RORE % of 1.00 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 CECO Environmental and its competitors. According to the industry distribution chart, CECO Environmental ranks #1589 out of 2895 companies in the Industrial Products industry, placing it in the top 54.9%.
Is CECO Environmental's 3-Year RORE % too high?
CECO Environmental's current 3-Year RORE % is 1.00. The Industrial Products industry median 3-Year RORE % is 5.19. CECO Environmental's value of 1.00 is 80.7% below this industry median. Based on the distribution chart, CECO Environmental ranks #1589 out of 2895 companies in the Industrial Products industry, which is below the industry midpoint. Overall, CECO Environmental has a GF Score™ of 77/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does CECO Environmental's 3-Year RORE % compare to ZWS and PCT?
According to the Industrial Products industry distribution chart, CECO Environmental ranks #1589 out of 2895 companies for 3-Year RORE %. This places CECO Environmental in the lower half of its industry. The industry median 3-Year RORE % is 5.19. CECO Environmental's value of 1.00 is 80.7% 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 3-Year RORE % for an Industrial Products company?
The median 3-Year RORE % among Industrial Products companies is 5.19, based on 2,895 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. CECO Environmental's current 3-Year RORE % of 1.00 is 80.7% 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 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 CECO Environmental and its competitors. For the Industrial Products industry, the median 3-Year RORE % is 5.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CECO Environmental's current 3-Year RORE % is 1.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CECO Environmental stock overvalued right now?
Based on GuruFocus' analysis, CECO Environmental (CECO) is currently considered Significantly Overvalued. The stock's GF Value™ is $43.69, compared to a current price of $79.53 — trading 82% above its estimated fair value. The current 3-Year RORE % is 1.00 and 80.7% below the Industrial Products industry median of 5.19. CECO Environmental's overall GF Score™ is 77/100 with 1 warning sign 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 CECO Environmental (CECO), the current 3-Year RORE % is 1.00 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 CECO Environmental (CECO) Overvalued in 2026?
Based on GuruFocus' analysis, CECO Environmental stock appears to be overvalued.
The current stock price of $79.53 is trading 82% above its estimated GF Value™ of $43.69.
GuruFocus considers CECO Environmental to be Significantly Overvalued.
Key valuation signals for CECO:
3-Year RORE %: 1.00
GF Value™: $43.69 vs. price of $79.53 (82% above fair value)
Industry Position: 80.7% below the Industrial Products median (#1589 of 2895)
No single metric tells the full story. See the CECO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
CECO Environmental Corp is an industrial company, serving industrial air, industrial water, and energy transition markets. It offers various engineered and configured products and solutions, including dampers and diverters, selective catalytic reduction systems, severe-service and industrial cyclones, dust collectors, thermal oxidizers, filtration systems, wet and dry scrubbers, water treatment packages, industrial silencers, etc. These products are offered through brands like Western Airducts, WK, Wakefield Acoustics, Transcend, Verantis, and others. The company's reportable segments are: Engineered Systems, which derive maximum revenue, and Industrial Process Solutions. Geographically, it derives key revenue from the U.S., followed by the Netherlands, the UK, China, and other markets.
77GF Score
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