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W.W. Grainger (W.W. Grainger) 3-Year RORE % : 19.57% (As of Mar. 2024)


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What is W.W. Grainger 3-Year RORE %?

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. W.W. Grainger's 3-Year RORE % for the quarter that ended in Mar. 2024 was 19.57%.

The industry rank for W.W. Grainger's 3-Year RORE % or its related term are showing as below:

GWW's 3-Year RORE % is ranked better than
71.53% of 137 companies
in the Industrial Distribution industry
Industry Median: 8.59 vs GWW: 19.57

W.W. Grainger 3-Year RORE % Historical Data

The historical data trend for W.W. Grainger'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.

* Premium members only.

W.W. Grainger 3-Year RORE % Chart

W.W. Grainger Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
3-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 22.94 -3.66 15.24 39.55 24.94

W.W. Grainger Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
3-Year RORE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 37.18 32.59 29.96 24.94 19.57

Competitive Comparison of W.W. Grainger's 3-Year RORE %

For the Industrial Distribution subindustry, W.W. Grainger'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.


W.W. Grainger's 3-Year RORE % Distribution in the Industrial Distribution Industry

For the Industrial Distribution industry and Industrials sector, W.W. Grainger's 3-Year RORE % distribution charts can be found below:

* The bar in red indicates where W.W. Grainger's 3-Year RORE % falls into.



W.W. Grainger 3-Year RORE % Calculation

W.W. Grainger's 3-Year RORE % for the quarter that ended in Mar. 2024 is calculated as:

3-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 3-year -Cumulative Dividends per Share for 3-year )
=( 36.22-22.43 )/( 91.26-20.8 )
=13.79/70.46
=19.57 %

* 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. 2024 and 3-year before.


W.W. Grainger  (NYSE:GWW) 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.


W.W. Grainger 3-Year RORE % Related Terms

Thank you for viewing the detailed overview of W.W. Grainger's 3-Year RORE % provided by GuruFocus.com. Please click on the following links to see related term pages.


W.W. Grainger (W.W. Grainger) Business Description

Traded in Other Exchanges
Address
100 Grainger Parkway, Lake Forest, IL, USA, 60045-5201
W.W. Grainger distributes approximately 1.5 million maintenance, repair, and operating products that are sourced from over 4,500 suppliers. The company serves about 5 million customers through its online and electronic purchasing platforms, vending machines, catalog distribution, and network of over 300 global branches. In recent years, Grainger has invested in its e-commerce capabilities and is the 11th-largest e-retailer in North America.
Executives
Laurie R Thomson officer: VP, Controller 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Donald G Macpherson director, officer: Chairman and CEO 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Matt Fortin officer: SVP & Chief HR Officer 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
George S Davis director 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Rodney C Adkins director 55 GLENLAKE PARKWAY, NE, ATLANTA GA 30328
Katherine D. Jaspon director 130 ROYALL STREET, C/O DUNKIN' BRANDS, INC., CANTON MA 02021
Susan Slavik Williams director 4450 MACARTHUR BLVD., SECOND FLOOR, NEWPORT BEACH CA 92660
Stuart L Levenick director 100 NE ADAMS STREET, PEORIA IL 61629
Neil S Novich director RYERSON LTULL INC, 2621 W 15TH PLACE, CHICAGO IL 60603
V Ann Hailey director THREE LIMITED PARKWAY, COLUMBUS OH 43230
Steven Andrew White director 1 HORMEL PLACE, AUSTIN MN 55912
Beatriz R Perez director ONE COCA-COLA PLAZA, ATLANTA GA 30313
Ernest Scott Santi director ILLINOIS TOOL WORKS INC., 155 HARLEM AVE., GLENVIEW IL 60025
Lucas E Watson director 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Paige K Robbins officer: Sr. VP (see Remarks) 100 GRAINGER PARKWAY, LAKE FOREST IL 60045

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