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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. Torrent Pharmaceuticals's annualized net income for the quarter that ended in Mar. 2026 was ₹15,560 Mil. Torrent Pharmaceuticals's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹-200,648 Mil. Therefore, Torrent Pharmaceuticals's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was Negative Tangible Equity%.
The historical rank and industry rank for Torrent Pharmaceuticals's Return-on-Tangible-Equity or its related term are showing as below:
NSE:TORNTPHARM'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 42.49 Med: 85.33 Max: 154.7
Current: Negative Tangible Equity
During the past 13 years, Torrent Pharmaceuticals's highest Return-on-Tangible-Equity was 154.70%. The lowest was 42.49%. And the median was 85.33%.
NSE:TORNTPHARM's Return-on-Tangible-Equity is ranked better than 99.89% of 899
companies
in the Drug Manufacturers industry
Industry Median: 7.95
vs NSE:TORNTPHARM: Negative Tangible Equity
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.
Torrent Pharmaceuticals Return-on-Tangible-Equity Related Terms
Torrent Pharmaceuticals Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Torrent 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.
NSE:TORNTPHARM vs ZTS, UTHR: Return-on-Tangible-Equity Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Torrent 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.
Torrent Pharmaceuticals Return-on-Tangible-Equity vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Torrent Pharmaceuticals's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Torrent 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 (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 Negative Tangible Equity% mean?
Torrent Pharmaceuticals (NSE:TORNTPHARM) has a Return-on-Tangible-Equity of Negative Tangible Equity% 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 Torrent Pharmaceuticals and its competitors. Over the past decade, Torrent Pharmaceuticals' Return-on-Tangible-Equity has ranged from 42.49 to 154.70. According to the industry distribution chart, Torrent Pharmaceuticals ranks #1 out of 899 companies in the Drug Manufacturers industry, placing it in the top 0.099999999999994%.
Is Torrent Pharmaceuticals' Return-on-Tangible-Equity too high?
Torrent Pharmaceuticals' current Return-on-Tangible-Equity is Negative Tangible Equity%. Over the past 10 years, this metric has ranged from a low of 42.49 to a high of 154.70. Based on the distribution chart, Torrent Pharmaceuticals ranks #1 out of 899 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Torrent Pharmaceuticals has a GF Score™ of 86/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Torrent Pharmaceuticals' Return-on-Tangible-Equity compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Torrent Pharmaceuticals ranks #1 out of 899 companies for Return-on-Tangible-Equity. This places Torrent Pharmaceuticals in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 7.95. Historically, Torrent Pharmaceuticals' own Return-on-Tangible-Equity has ranged from 42.49 to 154.70 over the past decade. 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 Drug Manufacturers company?
The median Return-on-Tangible-Equity among Drug Manufacturers companies is 7.95, based on 899 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. 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 Torrent Pharmaceuticals and its competitors. For the Drug Manufacturers industry, the median Return-on-Tangible-Equity is 7.95 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Torrent Pharmaceuticals's current Return-on-Tangible-Equity is Negative Tangible Equity%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Torrent Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Torrent Pharmaceuticals (NSE:TORNTPHARM) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹4,396.15, compared to a current price of ₹5,005.40 — trading 13.9% above its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. Torrent Pharmaceuticals' overall GF Score™ is 86/100 with 6 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 Torrent Pharmaceuticals (NSE:TORNTPHARM), the current Return-on-Tangible-Equity is Negative Tangible Equity% 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 Torrent Pharmaceuticals (NSE:TORNTPHARM) Overvalued in 2026?
Based on GuruFocus' analysis, Torrent Pharmaceuticals stock appears to be overvalued.
The current stock price of ₹5,005.40 is trading 13.9% above its estimated GF Value™ of ₹4,396.15.
GuruFocus considers Torrent Pharmaceuticals to be Modestly Overvalued.
No single metric tells the full story. See the NSE:TORNTPHARM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Torrent Pharmaceuticals Ltd is a drug manufacturing company with a focus on the cardiovascular, central nervous system, Vitamins Minerals Nutrients (VMN), and gastrointestinal therapeutic areas. It operates through the Generic Formulation Business segment. Geographically, the business activities are carried out across Indian and International markets. Maximum revenue for the company is generated from its operations in India.
86GF Score
Get the complete analysis for NSE:TORNTPHARM
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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