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.
Array Digital Infrastructure's 5-Year RORE % for the quarter that ended in Mar. 2026 was 17.94%.
AD's 5-Year RORE % is ranked better than 63.08% of 325
companies
in the Telecommunication Services industry
Industry Median: 5.37
vs AD: 17.94
Array Digital Infrastructure (NYSE:AD) 5-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, 5-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.
Array Digital Infrastructure 5-Year RORE % Related Terms
Array Digital Infrastructure 5-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 Telecom Services subindustry, Array Digital Infrastructure's 5-Year RORE %, along with its competitors' market caps and 5-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.
Array Digital Infrastructure 5-Year RORE % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Array Digital Infrastructure's 5-Year RORE % distribution charts can be found below:
* The bar in red indicates where Array Digital Infrastructure's 5-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 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 5-year before.
Array Digital Infrastructure (AD) has a 5-Year RORE % of 17.94 as of Mar. 2026. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Array Digital Infrastructure and its competitors. According to the industry distribution chart, Array Digital Infrastructure ranks #120 out of 325 companies in the Telecommunication Services industry, placing it in the top 36.9%.
Is Array Digital Infrastructure's 5-Year RORE % too high?
Array Digital Infrastructure's current 5-Year RORE % is 17.94. The Telecommunication Services industry median 5-Year RORE % is 5.37. Array Digital Infrastructure's value of 17.94 is 234.1% above this industry median. Based on the distribution chart, Array Digital Infrastructure ranks #120 out of 325 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Array Digital Infrastructure has a GF Score™ of 66/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Array Digital Infrastructure's 5-Year RORE % compare to KYIV and LBTYA?
According to the Telecommunication Services industry distribution chart, Array Digital Infrastructure ranks #120 out of 325 companies for 5-Year RORE %. This puts Array Digital Infrastructure in the upper half of its industry. The industry median 5-Year RORE % is 5.37. Array Digital Infrastructure's value of 17.94 is 234.1% 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 5-Year RORE % for a Telecommunication Services company?
The median 5-Year RORE % among Telecommunication Services companies is 5.37, based on 325 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Array Digital Infrastructure's current 5-Year RORE % of 17.94 is 234.1% 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 5-Year RORE % mean?
A high 5-Year RORE % can signal that a stock is expensive relative to its fundamentals. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Array Digital Infrastructure and its competitors. For the Telecommunication Services industry, the median 5-Year RORE % is 5.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Array Digital Infrastructure's current 5-Year RORE % is 17.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Array Digital Infrastructure stock overvalued right now?
Based on GuruFocus' analysis, Array Digital Infrastructure (AD) is currently considered Possible Value Trap. The stock's GF Value™ is $64.11, compared to a current price of $35.97 — trading 43.9% below its estimated fair value. The current 5-Year RORE % is 17.94 and 234.1% above the Telecommunication Services industry median of 5.37. Array Digital Infrastructure's overall GF Score™ is 66/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year RORE % calculated?
5-Year RORE % is calculated from a company's financial statements. For Array Digital Infrastructure (AD), the current 5-Year RORE % is 17.94 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 Array Digital Infrastructure (AD) Overvalued in 2026?
Based on GuruFocus' analysis, Array Digital Infrastructure stock appears to be undervalued.
The current stock price of $35.97 is trading 43.9% below its estimated GF Value™ of $64.11.
GuruFocus considers Array Digital Infrastructure to be Possible Value Trap.
Key valuation signals for AD:
5-Year RORE %: 17.94
GF Value™: $64.11 vs. price of $35.97 (43.9% below fair value)
Industry Position: 234.1% above the Telecommunication Services median (#120 of 325)
No single metric tells the full story. See the AD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Array Digital Infrastructure, formerly US Cellular, sold its regional wireless operations serving about 4.4 million customers to T-Mobile in August 2025. The firm has agreed to sell most of its remaining spectrum licenses; however, it will still retain rights to C-band spectrum in several locations after these deals are closed. Array also owns a 5.5% stake in Verizon Wireless' Los Angeles operations, as well as other smaller wireless partnership interests in Oklahoma and upstate New York. The firm still operates a portfolio of about 4,400 wireless towers. Parent TDS has proposed to acquire the portion of Array that it doesn't already own in an all-stock transaction.
66GF Score
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