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.
Fletcher Building's 3-Year RORE % for the quarter that ended in Dec. 2025 was 33.71%.
The industry rank for Fletcher Building's 3-Year RORE % or its related term are showing as below:
FRCEF's 3-Year RORE % is ranked better than 73.08% of 390
companies
in the Building Materials industry
Industry Median: 5.71
vs FRCEF: 33.71
Fletcher Building (OTCPK:FRCEF) 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.
Fletcher Building 3-Year RORE % Related Terms
Fletcher Building 3-Year RORE % Historical Data
* Premium members only.
The historical data trend for Fletcher Building'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 Building Materials subindustry, Fletcher Building'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.
Fletcher Building 3-Year RORE % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Fletcher Building's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where Fletcher Building'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 Dec. 2025 and 3-year before.
Fletcher Building (FRCEF) has a 3-Year RORE % of 33.71 as of Dec. 2025. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Fletcher Building and its competitors. According to the industry distribution chart, Fletcher Building ranks #105 out of 390 companies in the Building Materials industry, placing it in the top 26.9%.
Is Fletcher Building's 3-Year RORE % too high?
Fletcher Building's current 3-Year RORE % is 33.71. The Building Materials industry median 3-Year RORE % is 5.71. Fletcher Building's value of 33.71 is 490.4% above this industry median. Based on the distribution chart, Fletcher Building ranks #105 out of 390 companies in the Building Materials industry, which is above the industry midpoint. Overall, Fletcher Building has a GF Score™ of 51/100, reflecting its overall financial health beyond just this single metric.
How does Fletcher Building's 3-Year RORE % compare to CRH and VMC?
According to the Building Materials industry distribution chart, Fletcher Building ranks #105 out of 390 companies for 3-Year RORE %. This puts Fletcher Building in the upper half of its industry. The industry median 3-Year RORE % is 5.71. Fletcher Building's value of 33.71 is 490.4% 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 Building Materials company?
The median 3-Year RORE % among Building Materials companies is 5.71, based on 390 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. Fletcher Building's current 3-Year RORE % of 33.71 is 490.4% 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 Fletcher Building and its competitors. For the Building Materials industry, the median 3-Year RORE % is 5.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fletcher Building's current 3-Year RORE % is 33.71. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fletcher Building stock overvalued right now?
Fletcher Building (FRCEF) has a current 3-Year RORE % of 33.71. The stock's GF Value™ is $1.17, compared to a current price of $1.63 — trading 39.3% above its estimated fair value. The current 3-Year RORE % is 33.71 and 490.4% above the Building Materials industry median of 5.71. Fletcher Building's overall GF Score™ is 51/100 with 7 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 Fletcher Building (FRCEF), the current 3-Year RORE % is 33.71 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 Fletcher Building (FRCEF) Overvalued in 2026?
Based on GuruFocus' analysis, Fletcher Building stock appears to be overvalued.
The current stock price of $1.63 is trading 39.3% above its estimated GF Value™ of $1.17.
Key valuation signals for FRCEF:
3-Year RORE %: 33.71
GF Value™: $1.17 vs. price of $1.63 (39.3% above fair value)
Industry Position: 490.4% above the Building Materials median (#105 of 390)
No single metric tells the full story. See the FRCEF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Fletcher Building is a New Zealand-based building materials company with operations focused in New Zealand, but also extending to Australia. It has a conglomerate structure with diverse operations across concrete, building products, steel, retail distribution, and development. Most revenue is derived from new house construction, with smaller earnings contributions from commercial and infrastructure construction.
51GF Score
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3-Year RORE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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