Elite PharmaceuticalsELTP +1.50%55 Return-on-Tangible-Asset is 58.08% as of Mar. 2026, which is 353% above its 10-year median of 12.82. GuruFocus rates ELTP with a GF Score™ of 55/100 and a GF Value™ of $0.56 (Possible Value Trap). The stock has 2 warning signs investors should review. Among 1,005 Drug Manufacturers companies, Elite Pharmaceuticals ranks better than 98.71% on this metric.
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Elite Pharmaceuticals's annualizedNet Income for the quarter that ended in Mar. 2026 was $73.8 Mil. Elite Pharmaceuticals's average total tangible assets for the quarter that ended in Mar. 2026 was $127.1 Mil. Therefore, Elite Pharmaceuticals's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 58.08%.
The historical rank and industry rank for Elite Pharmaceuticals's Return-on-Tangible-Asset or its related term are showing as below:
ELTP'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -45.33 Med: 12.82 Max: 40.02
Current: 39.9
During the past 13 years, Elite Pharmaceuticals's highest Return-on-Tangible-Asset was 40.02%. The lowest was -45.33%. And the median was 12.82%.
ELTP's Return-on-Tangible-Asset is ranked better than 98.71% of 1005
companies
in the Drug Manufacturers industry
Industry Median: 3.16
vs ELTP: 39.90
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
Elite Pharmaceuticals Return-on-Tangible-Asset Related Terms
Elite Pharmaceuticals Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Elite Pharmaceuticals's Return-on-Tangible-Asset 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.
ELTP vs EBS, NIKA, EOLS: Return-on-Tangible-Asset Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Elite Pharmaceuticals's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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.
Elite Pharmaceuticals Return-on-Tangible-Asset vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Elite Pharmaceuticals's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Elite Pharmaceuticals's Return-on-Tangible-Asset 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 annual Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 58.08% mean?
Elite Pharmaceuticals (ELTP) has a Return-on-Tangible-Asset of 58.08% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Elite Pharmaceuticals and its competitors. This is 353% above median its historical median of 12.82. According to the industry distribution chart, Elite Pharmaceuticals ranks #13 out of 1005 companies in the Drug Manufacturers industry, placing it in the top 1.3%.
Is Elite Pharmaceuticals' Return-on-Tangible-Asset too high?
Elite Pharmaceuticals' current Return-on-Tangible-Asset of 58.08% is 353% above median its 10-year median of 12.82. The Drug Manufacturers industry median Return-on-Tangible-Asset is 3.16. Elite Pharmaceuticals' value of 58.08% is 1738% above this industry median. Based on the distribution chart, Elite Pharmaceuticals ranks #13 out of 1005 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Elite Pharmaceuticals has a GF Score™ of 55/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Elite Pharmaceuticals' Return-on-Tangible-Asset compare to EBS and NIKA?
According to the Drug Manufacturers industry distribution chart, Elite Pharmaceuticals ranks #13 out of 1005 companies for Return-on-Tangible-Asset. This places Elite Pharmaceuticals in the top 1% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.16. Elite Pharmaceuticals' value of 58.08% is 1738% above this benchmark. While the company's 10-year median is 12.82 vs. the industry median of 3.16, Elite Pharmaceuticals has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Asset for a Drug Manufacturers company?
The median Return-on-Tangible-Asset among Drug Manufacturers companies is 3.16, based on 1,005 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Elite Pharmaceuticals's current Return-on-Tangible-Asset of 58.08% is 1738% 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 Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Elite Pharmaceuticals and its competitors. For the Drug Manufacturers industry, the median Return-on-Tangible-Asset is 3.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elite Pharmaceuticals's current Return-on-Tangible-Asset is 58.08%, which is 353% above median its own 10-year median of 12.82. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Elite Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Elite Pharmaceuticals (ELTP) is currently considered Possible Value Trap. The stock's GF Value™ is $0.56, compared to a current price of $0.37 — trading 34.1% below its estimated fair value. The current Return-on-Tangible-Asset is 58.08%, which is 353% above median its 10-year median of 12.82 and 1738% above the Drug Manufacturers industry median of 3.16. Elite Pharmaceuticals' overall GF Score™ is 55/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For Elite Pharmaceuticals (ELTP), the current Return-on-Tangible-Asset is 58.08% 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 Elite Pharmaceuticals (ELTP) Overvalued in 2026?
Based on GuruFocus' analysis, Elite Pharmaceuticals stock appears to be undervalued.
The current stock price of $0.37 is trading 34.1% below its estimated GF Value™ of $0.56.
GuruFocus considers Elite Pharmaceuticals to be Possible Value Trap.
Key valuation signals for ELTP:
Return-on-Tangible-Asset: 58.08% (353% above median its 10-year median of 12.82)
GF Value™: $0.56 vs. price of $0.37 (34.1% below fair value)
Industry Position: 1738% above the Drug Manufacturers median (#13 of 1005)
No single metric tells the full story. See the ELTP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Elite Pharmaceuticals Inc is a pharmaceutical company. It is principally engaged in the development and manufacture of oral, controlled-release products, using proprietary know-how and technology. The company's operating segment includes Abbreviated New Drug Applications (ANDA) and New Drug Applications (NDA). It generates maximum revenue from the ANDA segment. The company focuses on developing pain management products; manufacturing a line of generic pharmaceutical products with approved Abbreviated New Drug Applications; developing additional generic pharmaceutical products; development of other products in its pipeline including the products with its partners; and commercialization of new products.
55GF Score
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