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.
L.B. Foster Co's 3-Year RORE % for the quarter that ended in Mar. 2026 was 5.92%.
The industry rank for L.B. Foster Co's 3-Year RORE % or its related term are showing as below:
FSTR's 3-Year RORE % is ranked better than 52.3% of 933
companies
in the Transportation industry
Industry Median: 4.38
vs FSTR: 5.92
L.B. Foster Co (NAS:FSTR) 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.
L.B. Foster Co 3-Year RORE % Related Terms
L.B. Foster Co 3-Year RORE % Historical Data
* Premium members only.
The historical data trend for L.B. Foster Co'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.
FSTR vs RAIL, SWVL, RVSN: 3-Year RORE % Comparison
For the Railroads subindustry, L.B. Foster Co'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.
L.B. Foster Co 3-Year RORE % vs Transportation Industry
For the Transportation industry and Industrials sector, L.B. Foster Co's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where L.B. Foster Co'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.
L.B. Foster Co (FSTR) has a 3-Year RORE % of 5.92 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 L.B. Foster Co and its competitors. According to the industry distribution chart, L.B. Foster Co ranks #445 out of 933 companies in the Transportation industry, placing it in the top 47.7%.
Is L.B. Foster Co's 3-Year RORE % too high?
L.B. Foster Co's current 3-Year RORE % is 5.92. The Transportation industry median 3-Year RORE % is 4.38. L.B. Foster Co's value of 5.92 is 35.2% above this industry median. Based on the distribution chart, L.B. Foster Co ranks #445 out of 933 companies in the Transportation industry, which is above the industry midpoint. Overall, L.B. Foster Co has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does L.B. Foster Co's 3-Year RORE % compare to RAIL and SWVL?
According to the Transportation industry distribution chart, L.B. Foster Co ranks #445 out of 933 companies for 3-Year RORE %. This puts L.B. Foster Co in the upper half of its industry. The industry median 3-Year RORE % is 4.38. L.B. Foster Co's value of 5.92 is 35.2% 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 Transportation company?
The median 3-Year RORE % among Transportation companies is 4.38, based on 933 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. L.B. Foster Co's current 3-Year RORE % of 5.92 is 35.2% 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 L.B. Foster Co and its competitors. For the Transportation industry, the median 3-Year RORE % is 4.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. L.B. Foster Co's current 3-Year RORE % is 5.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is L.B. Foster Co stock overvalued right now?
Based on GuruFocus' analysis, L.B. Foster Co (FSTR) is currently considered Significantly Overvalued. The stock's GF Value™ is $25.01, compared to a current price of $44.76 — trading 79% above its estimated fair value. The current 3-Year RORE % is 5.92 and 35.2% above the Transportation industry median of 4.38. L.B. Foster Co's overall GF Score™ is 66/100 with 5 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 L.B. Foster Co (FSTR), the current 3-Year RORE % is 5.92 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 L.B. Foster Co (FSTR) Overvalued in 2026?
Based on GuruFocus' analysis, L.B. Foster Co stock appears to be overvalued.
The current stock price of $44.76 is trading 79% above its estimated GF Value™ of $25.01.
GuruFocus considers L.B. Foster Co to be Significantly Overvalued.
Key valuation signals for FSTR:
3-Year RORE %: 5.92
GF Value™: $25.01 vs. price of $44.76 (79% above fair value)
Industry Position: 35.2% above the Transportation median (#445 of 933)
No single metric tells the full story. See the FSTR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
L.B. Foster Co is a technology solutions provider of products and services for the rail and infrastructure markets. The company has two reporting segments: Rail, Technologies, and Services (Rail); and Infrastructure Solutions (Infrastructure). Maximum revenue is generated from the Rail segment, which is comprised of several manufacturing and distribution businesses that provide products and services for freight and passenger railroads and industrial companies throughout the world. The Infrastructure segment offers engineered precast concrete solutions, as well as fabricated bridge, protective pipe coating, and pipe threading offerings across North America. Geographically, the company generates maximum revenue from the United States, followed by Canada, the UK, and other markets.
66GF Score
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