Recordati SpAMIL:REC 95 Return-on-Tangible-Asset is 29.24% as of Mar. 2026, which is 10% below its 10-year median of 32.45. GuruFocus rates MIL:REC with a GF Score™ of 95/100 and a GF Value™ of €60.81 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,005 Drug Manufacturers companies, Recordati SpA ranks better than 96.22% 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. Recordati SpA's annualizedNet Income for the quarter that ended in Mar. 2026 was €612 Mil. Recordati SpA's average total tangible assets for the quarter that ended in Mar. 2026 was €2,094 Mil. Therefore, Recordati SpA's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 29.24%.
The historical rank and industry rank for Recordati SpA's Return-on-Tangible-Asset or its related term are showing as below:
MIL:REC'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 22.82 Med: 32.45 Max: 37.24
Current: 23.33
During the past 13 years, Recordati SpA's highest Return-on-Tangible-Asset was 37.24%. The lowest was 22.82%. And the median was 32.45%.
MIL:REC's Return-on-Tangible-Asset is ranked better than 96.22% of 1005
companies
in the Drug Manufacturers industry
Industry Median: 3.17
vs MIL:REC: 23.33
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.
Recordati SpA Return-on-Tangible-Asset Related Terms
Recordati SpA Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Recordati SpA'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.
MIL:REC vs LLY, JNJ, ABBV: Return-on-Tangible-Asset Comparison
For the Drug Manufacturers - General subindustry, Recordati SpA'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.
Recordati SpA Return-on-Tangible-Asset vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Recordati SpA's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Recordati SpA'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 29.24% mean?
Recordati SpA (MIL:REC) has a Return-on-Tangible-Asset of 29.24% 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 Recordati SpA and its competitors. This is 10% below median its historical median of 32.45. Over the past decade, Recordati SpA's Return-on-Tangible-Asset has ranged from 22.82 to 37.24. According to the industry distribution chart, Recordati SpA ranks #38 out of 1005 companies in the Drug Manufacturers industry, placing it in the top 3.8%.
Is Recordati SpA's Return-on-Tangible-Asset too high?
Recordati SpA's current Return-on-Tangible-Asset of 29.24% is 10% below median its 10-year median of 32.45. Over the past 10 years, this metric has ranged from a low of 22.82 to a high of 37.24. The Drug Manufacturers industry median Return-on-Tangible-Asset is 3.17. Recordati SpA's value of 29.24% is 822.4% above this industry median. Based on the distribution chart, Recordati SpA ranks #38 out of 1005 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Recordati SpA has a GF Score™ of 95/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Recordati SpA's Return-on-Tangible-Asset compare to LLY and JNJ?
According to the Drug Manufacturers industry distribution chart, Recordati SpA ranks #38 out of 1005 companies for Return-on-Tangible-Asset. This places Recordati SpA in the top 4% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 3.17. Recordati SpA's value of 29.24% is 822.4% above this benchmark. Historically, Recordati SpA's own Return-on-Tangible-Asset has ranged from 22.82 to 37.24 over the past decade. While the company's 10-year median is 32.45 vs. the industry median of 3.17, Recordati SpA 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 3.17, 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. Recordati SpA's current Return-on-Tangible-Asset of 29.24% is 822.4% 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 Recordati SpA and its competitors. For the Drug Manufacturers industry, the median Return-on-Tangible-Asset is 3.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Recordati SpA's current Return-on-Tangible-Asset is 29.24%, which is 10% below median its own 10-year median of 32.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Recordati SpA stock overvalued right now?
Based on GuruFocus' analysis, Recordati SpA (MIL:REC) is currently considered Modestly Undervalued. The stock's GF Value™ is €60.81, compared to a current price of €51.30 — trading 15.6% below its estimated fair value. The current Return-on-Tangible-Asset is 29.24%, which is 10% below median its 10-year median of 32.45 and 822.4% above the Drug Manufacturers industry median of 3.17. Recordati SpA's overall GF Score™ is 95/100 with 3 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 Recordati SpA (MIL:REC), the current Return-on-Tangible-Asset is 29.24% 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 Recordati SpA (MIL:REC) Overvalued in 2026?
Based on GuruFocus' analysis, Recordati SpA stock appears to be undervalued.
The current stock price of €51.30 is trading 15.6% below its estimated GF Value™ of €60.81.
GuruFocus considers Recordati SpA to be Modestly Undervalued.
Key valuation signals for MIL:REC:
Return-on-Tangible-Asset: 29.24% (10% below median its 10-year median of 32.45)
GF Value™: €60.81 vs. price of €51.30 (15.6% below fair value)
Industry Position: 822.4% above the Drug Manufacturers median (#38 of 1005)
No single metric tells the full story. See the MIL:REC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Recordati SpA is engaged in the development, production, and marketing of pharmaceutical products or of pharmaceutical chemicals. The Company operates in a broad and diverse context, which includes general medicine, specialist medicine, self-medication, and rare diseases. In addition, it is also active in the field of urology, with treatments for benign prostatic hyperplasia and male functional disorders, and in psychiatry. The Company's only operating segment is the Specialty & Primary Care segment. Its geographic areas are Europe, Australasia, America, and Africa.
95GF Score
Get the complete analysis for MIL:REC
Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
MIL:REC has been successfully added to your 
