Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Lipella Pharmaceuticals's annualized net income for the quarter that ended in Sep. 2025 was $-5.02 Mil. Lipella Pharmaceuticals's average shareholder tangible equity for the quarter that ended in Sep. 2025 was $2.12 Mil. Therefore, Lipella Pharmaceuticals's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2025 was -237.16%.
The historical rank and industry rank for Lipella Pharmaceuticals's Return-on-Tangible-Equity or its related term are showing as below:
LIPO'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -228.03 Med: -118.13 Max: -13.39
Current: -228.03
During the past 5 years, Lipella Pharmaceuticals's highest Return-on-Tangible-Equity was -13.39%. The lowest was -228.03%. And the median was -118.13%.
LIPO's Return-on-Tangible-Equity is ranked worse than 88.17% of 1200
companies
in the Biotechnology industry
Industry Median: -42.435
vs LIPO: -228.03
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Lipella Pharmaceuticals Return-on-Tangible-Equity Related Terms
Lipella Pharmaceuticals Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Lipella Pharmaceuticals's Return-on-Tangible-Equity 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.
LIPO vs IOBTQ, WINT, CYTOF: Return-on-Tangible-Equity Comparison
For the Biotechnology subindustry, Lipella Pharmaceuticals's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.
Lipella Pharmaceuticals Return-on-Tangible-Equity vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Lipella Pharmaceuticals's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Lipella Pharmaceuticals's Return-on-Tangible-Equity 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-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Sep. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of -237.16% mean?
Lipella Pharmaceuticals (LIPO) has a Return-on-Tangible-Equity of -237.16% as of Sep. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Lipella Pharmaceuticals and its competitors. According to the industry distribution chart, Lipella Pharmaceuticals ranks #1058 out of 1200 companies in the Biotechnology industry, placing it in the top 88.2%.
Is Lipella Pharmaceuticals' Return-on-Tangible-Equity too high?
Lipella Pharmaceuticals' current Return-on-Tangible-Equity is -237.16%. Based on the distribution chart, Lipella Pharmaceuticals ranks #1058 out of 1200 companies in the Biotechnology industry, which is in the bottom quartile relative to peers. Overall, Lipella Pharmaceuticals has a GF Score™ of 35/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Lipella Pharmaceuticals' Return-on-Tangible-Equity compare to IOBTQ and WINT?
According to the Biotechnology industry distribution chart, Lipella Pharmaceuticals ranks #1058 out of 1200 companies for Return-on-Tangible-Equity. This places Lipella Pharmaceuticals in the lower half of its industry. 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-Equity for a Biotechnology company?
A good Return-on-Tangible-Equity depends on the Biotechnology industry context. However, Return-on-Tangible-Equity 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 Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Lipella Pharmaceuticals and its competitors. Lipella Pharmaceuticals's current Return-on-Tangible-Equity is -237.16%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lipella Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Lipella Pharmaceuticals (LIPO) is currently considered Possible Value Trap. The stock's GF Value™ is $8.68, compared to a current price of $0.13 — trading 98.5% below its estimated fair value. The current Return-on-Tangible-Equity is -237.16%. Lipella Pharmaceuticals' overall GF Score™ is 35/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Lipella Pharmaceuticals (LIPO), the current Return-on-Tangible-Equity is -237.16% as of Sep. 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 Lipella Pharmaceuticals (LIPO) Overvalued in 2026?
Based on GuruFocus' analysis, Lipella Pharmaceuticals stock appears to be undervalued.
The current stock price of $0.13 is trading 98.5% below its estimated GF Value™ of $8.68.
GuruFocus considers Lipella Pharmaceuticals to be Possible Value Trap.
Key valuation signals for LIPO:
Return-on-Tangible-Equity: -237.16%
GF Value™: $8.68 vs. price of $0.13 (98.5% below fair value)
No single metric tells the full story. See the LIPO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lipella Pharmaceuticals Inc is a clinical-stage biotechnology company. The company is focused on developing new drugs by reformulating the active agents in existing generic drugs and optimizing these reformulations for new applications. The company's product candidates include LP-10, LP-310 and LP-410, which can be helpful in the treatment of Hemorrahagic Cystitis, Oral Licen Planus and Oral Graft.
35GF Score
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