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.
Nippon Paint Holdings Co's 3-Year RORE % for the quarter that ended in Mar. 2026 was 4.04%.
The industry rank for Nippon Paint Holdings Co's 3-Year RORE % or its related term are showing as below:
NPCPF's 3-Year RORE % is ranked worse than 51.98% of 1518
companies
in the Chemicals industry
Industry Median: 6.23
vs NPCPF: 4.04
Nippon Paint Holdings Co (OTCPK:NPCPF) 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.
Nippon Paint Holdings Co 3-Year RORE % Related Terms
Nippon Paint Holdings Co 3-Year RORE % Historical Data
* 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 Specialty Chemicals subindustry, Nippon Paint Holdings 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.
Nippon Paint Holdings Co 3-Year RORE % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Nippon Paint Holdings Co's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where Nippon Paint Holdings 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.
Nippon Paint Holdings Co (NPCPF) has a 3-Year RORE % of 4.04 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 Nippon Paint Holdings Co and its competitors. According to the industry distribution chart, Nippon Paint Holdings Co ranks #789 out of 1518 companies in the Chemicals industry, placing it in the top 52%.
Is Nippon Paint Holdings Co's 3-Year RORE % too high?
Nippon Paint Holdings Co's current 3-Year RORE % is 4.04. The Chemicals industry median 3-Year RORE % is 6.23. Nippon Paint Holdings Co's value of 4.04 is 35.2% below this industry median. Based on the distribution chart, Nippon Paint Holdings Co ranks #789 out of 1518 companies in the Chemicals industry, which is below the industry midpoint. Overall, Nippon Paint Holdings Co has a GF Score™ of 85/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nippon Paint Holdings Co's 3-Year RORE % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Nippon Paint Holdings Co ranks #789 out of 1518 companies for 3-Year RORE %. This places Nippon Paint Holdings Co in the lower half of its industry. The industry median 3-Year RORE % is 6.23. Nippon Paint Holdings Co's value of 4.04 is 35.2% 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 a Chemicals company?
The median 3-Year RORE % among Chemicals companies is 6.23, based on 1,518 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. Nippon Paint Holdings Co's current 3-Year RORE % of 4.04 is 35.2% 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 Nippon Paint Holdings Co and its competitors. For the Chemicals industry, the median 3-Year RORE % is 6.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Paint Holdings Co's current 3-Year RORE % is 4.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Paint Holdings Co stock overvalued right now?
Based on GuruFocus' analysis, Nippon Paint Holdings Co (NPCPF) is currently considered Modestly Undervalued. The stock's GF Value™ is $8.04, compared to a current price of $6.99 — trading 13.1% below its estimated fair value. The current 3-Year RORE % is 4.04 and 35.2% below the Chemicals industry median of 6.23. Nippon Paint Holdings Co's overall GF Score™ is 85/100 with 3 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 Nippon Paint Holdings Co (NPCPF), the current 3-Year RORE % is 4.04 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 Nippon Paint Holdings Co (NPCPF) Overvalued in 2026?
Based on GuruFocus' analysis, Nippon Paint Holdings Co stock appears to be undervalued.
The current stock price of $6.99 is trading 13.1% below its estimated GF Value™ of $8.04.
GuruFocus considers Nippon Paint Holdings Co to be Modestly Undervalued.
Key valuation signals for NPCPF:
3-Year RORE %: 4.04
GF Value™: $8.04 vs. price of $6.99 (13.1% below fair value)
Industry Position: 35.2% below the Chemicals median (#789 of 1518)
No single metric tells the full story. See the NPCPF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nippon Paint is a global paint company with operations in over 50 countries. About two-thirds of sales are in decorative paint, serving mostly residential and some commercial customers. It has the dominant share of the paint markets in China and some smaller Asian countries, as well as Australia. In other regions, it's often one of the three largest players. Its products are distributed via paint and home improvement retailers, some 300,000 distributors globally. Household brands include Nipsea, Nippon Paint, Dulux (in Asia, the Pacific, and Europe), British Paints, Betek Boya, and Alina, among others. About one-fourth of sales are in industrial coatings and paints. Here, customer groups include manufacturers of automotive and industrial products.
85GF Score
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