Neochem Bio Solutions (NSE:NEOCHEM) Return-on-Tangible-Equity: 24.70% (As of Mar. 2026) — 17% Above Median

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NSE:NEOCHEM Neochem Bio Solutions Ltd NSE:NEOCHEM
18 GF Score
Price ₹91.00
! 2 Warning Signs
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What is Neochem Bio Solutions Return-on-Tangible-Equity?

Neochem Bio Solutions NSE:NEOCHEM +2.42% 18 Return-on-Tangible-Equity is 24.70% as of Mar. 2026, which is 17% above its 10-year median of 21.20. GuruFocus rates NSE:NEOCHEM with a GF Score™ of 18/100. The stock has 2 warning signs investors should review. Among 1,570 Chemicals companies, Neochem Bio Solutions ranks better than 94.01% on this metric.

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. Neochem Bio Solutions's annualized net income for the quarter that ended in Mar. 2026 was ₹137 Mil. Neochem Bio Solutions's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹555 Mil. Therefore, Neochem Bio Solutions's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 24.70%.

The historical rank and industry rank for Neochem Bio Solutions's Return-on-Tangible-Equity or its related term are showing as below:

NSE:NEOCHEM' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 13.36   Med: 21.2   Max: 46.91
Current: 28.31

During the past 4 years, Neochem Bio Solutions's highest Return-on-Tangible-Equity was 46.91%. The lowest was 13.36%. And the median was 21.20%.

NSE:NEOCHEM's Return-on-Tangible-Equity is ranked better than
94.01% of 1570 companies
in the Chemicals industry
Industry Median: 5.88 vs NSE:NEOCHEM: 28.31

Neochem Bio Solutions  (NSE:NEOCHEM) Return-on-Tangible-Equity Explanation

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.


Neochem Bio Solutions Return-on-Tangible-Equity Related Terms


Neochem Bio Solutions Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Neochem Bio Solutions'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.

Neochem Bio Solutions Return-on-Tangible-Equity Chart

Neochem Bio Solutions Annual Data
Trend Mar23 Mar24 Mar25 Mar26
Return-on-Tangible-Equity
13.36 18.00 46.91 24.40

Neochem Bio Solutions Semi-Annual Data
Mar23 Mar24 Mar25 Sep25 Mar26
Return-on-Tangible-Equity 0.00 0.00 69.96 42.22 24.70

NSE:NEOCHEM vs LIN, SHW, ECL: Return-on-Tangible-Equity Comparison

For the Specialty Chemicals subindustry, Neochem Bio Solutions'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.


Neochem Bio Solutions Return-on-Tangible-Equity vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Neochem Bio Solutions's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Neochem Bio Solutions's Return-on-Tangible-Equity falls into.


NSE:NEOCHEM
18GF Score
Neochem Bio Solutions Ltd NSE:NEOCHEM
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
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Neochem Bio Solutions Return-on-Tangible-Equity Calculation

Neochem Bio Solutions's annualized Return-on-Tangible-Equity for the fiscal year that ended in Mar. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=120.266/( (197.377+788.314 )/ 2 )
=120.266/492.8455
=24.40 %

Neochem Bio Solutions's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2026 )  (Q: Sep. 2025 )(Q: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2026 )  (Q: Sep. 2025 )(Q: Mar. 2026 )
=137.178/( (322.225+788.314)/ 2 )
=137.178/555.2695
=24.70 %

* 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 two times the semi-annual (Mar. 2026) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 24.70% mean?
Neochem Bio Solutions (NSE:NEOCHEM) has a Return-on-Tangible-Equity of 24.70% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Neochem Bio Solutions and its competitors. This is 17% above median its historical median of 21.20. Over the past decade, Neochem Bio Solutions' Return-on-Tangible-Equity has ranged from 13.36 to 46.91. According to the industry distribution chart, Neochem Bio Solutions ranks #94 out of 1570 companies in the Chemicals industry, placing it in the top 6%.
Is Neochem Bio Solutions' Return-on-Tangible-Equity too high?
Neochem Bio Solutions' current Return-on-Tangible-Equity of 24.70% is 17% above median its 10-year median of 21.20. Over the past 10 years, this metric has ranged from a low of 13.36 to a high of 46.91. The Chemicals industry median Return-on-Tangible-Equity is 5.88. Neochem Bio Solutions' value of 24.70% is 320.1% above this industry median. Based on the distribution chart, Neochem Bio Solutions ranks #94 out of 1570 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Neochem Bio Solutions has a GF Score™ of 18/100, reflecting its overall financial health beyond just this single metric.
How does Neochem Bio Solutions' Return-on-Tangible-Equity compare to LIN and SHW?
According to the Chemicals industry distribution chart, Neochem Bio Solutions ranks #94 out of 1570 companies for Return-on-Tangible-Equity. This places Neochem Bio Solutions in the top 6% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.88. Neochem Bio Solutions' value of 24.70% is 320.1% above this benchmark. Historically, Neochem Bio Solutions' own Return-on-Tangible-Equity has ranged from 13.36 to 46.91 over the past decade. While the company's 10-year median is 21.20 vs. the industry median of 5.88, Neochem Bio Solutions 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-Equity for a Chemicals company?
The median Return-on-Tangible-Equity among Chemicals companies is 5.88, based on 1,570 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Neochem Bio Solutions's current Return-on-Tangible-Equity of 24.70% is 320.1% 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-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 Neochem Bio Solutions and its competitors. For the Chemicals industry, the median Return-on-Tangible-Equity is 5.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Neochem Bio Solutions's current Return-on-Tangible-Equity is 24.70%, which is 17% above median its own 10-year median of 21.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Neochem Bio Solutions stock overvalued right now?
Neochem Bio Solutions (NSE:NEOCHEM) has a current Return-on-Tangible-Equity of 24.70%. The current Return-on-Tangible-Equity is 24.70%, which is 17% above median its 10-year median of 21.20 and 320.1% above the Chemicals industry median of 5.88. Neochem Bio Solutions' overall GF Score™ is 18/100 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-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Neochem Bio Solutions (NSE:NEOCHEM), the current Return-on-Tangible-Equity is 24.70% 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.

Neochem Bio Solutions Business Description

Address Iscon Ambli Road, 303, W1, Opposite Vikramnagar Colony office, Daskroi, Ahmedabad, GJ, IND, 380058
Neochem Bio Solutions Ltd is a specialty performance chemical company. Its primary product segments such as Polymers, Surfactants, Silicones, and Esters & bio-based sustainable solutions. The products are essential and used in industries such as textile & garment washing, home & personal care (HPC), institutional and industrial cleaners, water treatment, paints and coatings, paper and pulp, construction, rubber and dyes and pigments.
18GF Score

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Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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