Newron Pharmaceuticals SpA (FRA:NP5) Effective Interest Rate on Debt %: 9.58% (As of Dec. 2025)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:NP5 Newron Pharmaceuticals SpA FRA:NP5
61 GF Score
Price €12.10
GF Value €13.65
Valuation Modestly Undervalued
! 5 Warning Signs
View Full Analysis

What is Newron Pharmaceuticals SpA Effective Interest Rate on Debt %?

Newron Pharmaceuticals SpA FRA:NP5 -1.63% 61 Effective Interest Rate on Debt % is 9.58% as of Dec. 2025. GuruFocus rates FRA:NP5 with a GF Score™ of 61/100 and a GF Value™ of €13.65 (Modestly Undervalued). The stock has 5 warning signs investors should review.

Effective Interest Rate on Debt % is the usage rate that a borrower actually pays on a debt. It is calculated as the positive value of Interest Expense divided by its average total debt. Total debt equals to Long-Term Debt & Capital Lease Obligation plus Short-Term Debt & Capital Lease Obligation. Newron Pharmaceuticals SpA's annualized positive value of Interest Expense for the quarter that ended in Dec. 2025 was €4.35 Mil. Newron Pharmaceuticals SpA's average total debt for the quarter that ended in Dec. 2025 was €45.36 Mil. Therefore, Newron Pharmaceuticals SpA's annualized Effective Interest Rate on Debt % for the quarter that ended in Dec. 2025 was 9.58%.


Newron Pharmaceuticals SpA  (FRA:NP5) Effective Interest Rate on Debt % Explanation

Effective Interest Rate on Debt % measures the usage rate that a borrower actually pays on a debt.


Newron Pharmaceuticals SpA Effective Interest Rate on Debt % Related Terms


Newron Pharmaceuticals SpA Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Newron Pharmaceuticals SpA's Effective Interest Rate on Debt % 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.

Newron Pharmaceuticals SpA Effective Interest Rate on Debt % Chart

Newron Pharmaceuticals SpA Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.41 8.90 8.86 8.80 9.92

Newron Pharmaceuticals SpA Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Effective Interest Rate on Debt % 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 8.97 8.97 8.75 8.64 9.58

FRA:NP5 vs VRTX, REGN, ALNY: Effective Interest Rate on Debt % Comparison

For the Biotechnology subindustry, Newron Pharmaceuticals SpA's Effective Interest Rate on Debt %, along with its competitors' market caps and Effective Interest Rate on Debt % 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.


Newron Pharmaceuticals SpA Effective Interest Rate on Debt % vs Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Newron Pharmaceuticals SpA's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where Newron Pharmaceuticals SpA's Effective Interest Rate on Debt % falls into.


FRA:NP5
61GF Score
Newron Pharmaceuticals SpA FRA:NP5
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Newron Pharmaceuticals SpA Effective Interest Rate on Debt % Calculation

Newron Pharmaceuticals SpA's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Dec. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Dec. 2024 )+Total Debt  (A: Dec. 2025 ))/ count )
=-1  *  -4.398/( (50.469+38.163)/ 2 )
=-1  *  -4.398/44.316
=9.92 %

where

Total Debt  (A: Dec. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=36.916 + 13.553
=50.469

Total Debt  (A: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0.583 + 37.58
=38.163

Newron Pharmaceuticals SpA's annualized Effective Interest Rate on Debt % for the quarter that ended in Dec. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Jun. 2025 )+Total Debt  (Q: Dec. 2025 ))/ count )
=-1  *  -4.346/( (52.566+38.163)/ 2 )
=-1  *  -4.346/45.3645
=9.58 %

where

Total Debt  (Q: Jun. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=18.669 + 33.897
=52.566

Total Debt  (Q: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0.583 + 37.58
=38.163

* 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 annual Effective Interest Rate on Debt %, the Interest Expense of the last fiscal year and the average total debt over the fiscal year are used. In calculating the quarterly data, the Interest Expense data used here is two times the semi-annual (Dec. 2025) interest expense data. Effective Interest Rate on Debt % is displayed in the 30-year financial page.

What does a Effective Interest Rate on Debt % of 9.58% mean?
Newron Pharmaceuticals SpA (FRA:NP5) has a Effective Interest Rate on Debt % of 9.58% as of Dec. 2025. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Newron Pharmaceuticals SpA and its competitors.
Is Newron Pharmaceuticals SpA's Effective Interest Rate on Debt % too high?
Newron Pharmaceuticals SpA's current Effective Interest Rate on Debt % is 9.58%. Overall, Newron Pharmaceuticals SpA has a GF Score™ of 61/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Newron Pharmaceuticals SpA's Effective Interest Rate on Debt % compare to VRTX and REGN?
Newron Pharmaceuticals SpA's Effective Interest Rate on Debt % of 9.58% can be compared against companies in the Biotechnology industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Effective Interest Rate on Debt % for a Biotechnology company?
A good Effective Interest Rate on Debt % depends on the Biotechnology industry context. However, Effective Interest Rate on Debt % 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 Effective Interest Rate on Debt % mean?
A high Effective Interest Rate on Debt % can signal that a stock is expensive relative to its fundamentals. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Newron Pharmaceuticals SpA and its competitors. Newron Pharmaceuticals SpA's current Effective Interest Rate on Debt % is 9.58%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Newron Pharmaceuticals SpA stock overvalued right now?
Based on GuruFocus' analysis, Newron Pharmaceuticals SpA (FRA:NP5) is currently considered Modestly Undervalued. The stock's GF Value™ is €13.65, compared to a current price of €12.10 — trading 11.4% below its estimated fair value. The current Effective Interest Rate on Debt % is 9.58%. Newron Pharmaceuticals SpA's overall GF Score™ is 61/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Effective Interest Rate on Debt % calculated?
Effective Interest Rate on Debt % is calculated from a company's financial statements. For Newron Pharmaceuticals SpA (FRA:NP5), the current Effective Interest Rate on Debt % is 9.58% as of Dec. 2025. 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 Newron Pharmaceuticals SpA (FRA:NP5) Overvalued in 2026?

Based on GuruFocus' analysis, Newron Pharmaceuticals SpA stock appears to be undervalued. The current stock price of €12.10 is trading 11.4% below its estimated GF Value™ of €13.65. GuruFocus considers Newron Pharmaceuticals SpA to be Modestly Undervalued.

Key valuation signals for FRA:NP5:

  • Effective Interest Rate on Debt %: 9.58%
  • GF Value™: €13.65 vs. price of €12.10 (11.4% below fair value)
  • GF Score™: 61/100 with 5 warning signs

No single metric tells the full story. See the FRA:NP5 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Newron Pharmaceuticals SpA Business Description

Address Via Antonio Meucci 3, Bresso, Milan, ITA, 20091
Newron Pharmaceuticals SpA is a Italy-based clinical-stage biopharmaceutical company. It focuses on the discovery and development of pharmaceutical products. The Company is engaged in discovering and developing new therapies for diseases of the Central Nervous System (CNS) and pain. The Company undertakes phase III trials with safinamide molecule for the treatment of patients with Parkinson's disease. Newron Pharmaceuticals SpA develops ralfinamide, a molecule for the treatment of neuropathic pain. Geographically the research and development activities are performed in Italy and the United States.
61GF Score

Get the complete analysis for FRA:NP5

Effective Interest Rate on Debt % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€12.10
Price
€13.65
GF Value