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.
Stanley Black & Decker's 3-Year RORE % for the quarter that ended in Mar. 2026 was -55.40%.
The industry rank for Stanley Black & Decker's 3-Year RORE % or its related term are showing as below:
SWK's 3-Year RORE % is ranked worse than 84.5% of 2903
companies
in the Industrial Products industry
Industry Median: 5.18
vs SWK: -55.40
Stanley Black & Decker (NYSE:SWK) 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.
Stanley Black & Decker 3-Year RORE % Related Terms
Stanley Black & Decker 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 Tools & Accessories subindustry, Stanley Black & Decker'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.
Stanley Black & Decker 3-Year RORE % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Stanley Black & Decker's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where Stanley Black & Decker'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.
Stanley Black & Decker (SWK) has a 3-Year RORE % of -55.40 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 Stanley Black & Decker and its competitors. According to the industry distribution chart, Stanley Black & Decker ranks #2453 out of 2903 companies in the Industrial Products industry, placing it in the top 84.5%.
Is Stanley Black & Decker's 3-Year RORE % too high?
Stanley Black & Decker's current 3-Year RORE % is -55.40. Based on the distribution chart, Stanley Black & Decker ranks #2453 out of 2903 companies in the Industrial Products industry, which is in the bottom quartile relative to peers. Overall, Stanley Black & Decker has a GF Score™ of 72/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Stanley Black & Decker's 3-Year RORE % compare to LECO and TKR?
According to the Industrial Products industry distribution chart, Stanley Black & Decker ranks #2453 out of 2903 companies for 3-Year RORE %. This places Stanley Black & Decker in the lower half of its industry. The industry median 3-Year RORE % is 5.18. 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 5.18, based on 2,903 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. 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 Stanley Black & Decker and its competitors. For the Industrial Products industry, the median 3-Year RORE % is 5.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Stanley Black & Decker's current 3-Year RORE % is -55.40. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Stanley Black & Decker stock overvalued right now?
Based on GuruFocus' analysis, Stanley Black & Decker (SWK) is currently considered Modestly Overvalued. The stock's GF Value™ is $82.16, compared to a current price of $91.98 — trading 12% above its estimated fair value. The current 3-Year RORE % is -55.40. Stanley Black & Decker's overall GF Score™ is 72/100 with 11 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 Stanley Black & Decker (SWK), the current 3-Year RORE % is -55.40 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 Stanley Black & Decker (SWK) Overvalued in 2026?
Based on GuruFocus' analysis, Stanley Black & Decker stock appears to be overvalued.
The current stock price of $91.98 is trading 12% above its estimated GF Value™ of $82.16.
GuruFocus considers Stanley Black & Decker to be Modestly Overvalued.
Key valuation signals for SWK:
3-Year RORE %: -55.40
GF Value™: $82.16 vs. price of $91.98 (12% above fair value)
No single metric tells the full story. See the SWK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Stanley Black & Decker Inc offers hand tools, power tools, outdoor products, engineered fastening solutions, and related accessories. The company operates in two reportable business segments: Tools & Outdoor and Engineered Fastening. The majority of its revenue is generated from the Tools & Outdoor segment, which is comprised of the Power Tools Group (PTG), Hand Tools, Accessories and Storage (HTAS), and Outdoor Power Equipment (Outdoor) product lines. This segment's product offerings include drills, impact wrenches and drivers, grinders, saws, hammers, demolition tools, clamps, vises, knives, edge trimmers, lawn mowers, etc., which are offered through brands like Hustler, Dewalt, Craftsman, Stanley, and others. Geographically, the firm derives maximum revenue from the United States.
72GF Score
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