Unichem LaboratoriesNSE:UNICHEMLAB +1.58%65 Return-on-Tangible-Equity is 1.61% as of Mar. 2026, which is 22% above its 10-year median of 1.32. GuruFocus rates NSE:UNICHEMLAB with a GF Score™ of 65/100 and a GF Value™ of ₹689.54 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 898 Drug Manufacturers companies, Unichem Laboratories ranks better than 57.13% 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. Unichem Laboratories's annualized net income for the quarter that ended in Mar. 2026 was ₹436 Mil. Unichem Laboratories's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹27,086 Mil. Therefore, Unichem Laboratories's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 1.61%.
The historical rank and industry rank for Unichem Laboratories's Return-on-Tangible-Equity or its related term are showing as below:
NSE:UNICHEMLAB'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -8.01 Med: 1.32 Max: 136.15
Current: 10.04
During the past 13 years, Unichem Laboratories's highest Return-on-Tangible-Equity was 136.15%. The lowest was -8.01%. And the median was 1.32%.
NSE:UNICHEMLAB's Return-on-Tangible-Equity is ranked better than 57.13% of 898
companies
in the Drug Manufacturers industry
Industry Median: 7.88
vs NSE:UNICHEMLAB: 10.04
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.
Unichem Laboratories Return-on-Tangible-Equity Related Terms
Unichem Laboratories Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Unichem Laboratories'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:UNICHEMLAB vs ZTS, UTHR: Return-on-Tangible-Equity Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Unichem Laboratories'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.
Unichem Laboratories Return-on-Tangible-Equity vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Unichem Laboratories's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Unichem Laboratories'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 1.61% mean?
Unichem Laboratories (NSE:UNICHEMLAB) has a Return-on-Tangible-Equity of 1.61% 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 Unichem Laboratories and its competitors. This is 22% above median its historical median of 1.32. According to the industry distribution chart, Unichem Laboratories ranks #385 out of 898 companies in the Drug Manufacturers industry, placing it in the top 42.9%.
Is Unichem Laboratories' Return-on-Tangible-Equity too high?
Unichem Laboratories' current Return-on-Tangible-Equity of 1.61% is 22% above median its 10-year median of 1.32. The Drug Manufacturers industry median Return-on-Tangible-Equity is 7.88. Unichem Laboratories' value of 1.61% is 79.6% below this industry median. Based on the distribution chart, Unichem Laboratories ranks #385 out of 898 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Unichem Laboratories has a GF Score™ of 65/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Unichem Laboratories' Return-on-Tangible-Equity compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Unichem Laboratories ranks #385 out of 898 companies for Return-on-Tangible-Equity. This puts Unichem Laboratories in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.88. Unichem Laboratories' value of 1.61% is 79.6% below this benchmark. While the company's 10-year median is 1.32 vs. the industry median of 7.88, Unichem Laboratories has consistently been below 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 Drug Manufacturers company?
The median Return-on-Tangible-Equity among Drug Manufacturers companies is 7.88, based on 898 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. Unichem Laboratories's current Return-on-Tangible-Equity of 1.61% is 79.6% below 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 Unichem Laboratories and its competitors. For the Drug Manufacturers industry, the median Return-on-Tangible-Equity is 7.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Unichem Laboratories's current Return-on-Tangible-Equity is 1.61%, which is 22% above median its own 10-year median of 1.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Unichem Laboratories stock overvalued right now?
Based on GuruFocus' analysis, Unichem Laboratories (NSE:UNICHEMLAB) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹689.54, compared to a current price of ₹473.00 — trading 31.4% below its estimated fair value. The current Return-on-Tangible-Equity is 1.61%, which is 22% above median its 10-year median of 1.32 and 79.6% below the Drug Manufacturers industry median of 7.88. Unichem Laboratories' overall GF Score™ is 65/100 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-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Unichem Laboratories (NSE:UNICHEMLAB), the current Return-on-Tangible-Equity is 1.61% 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 Unichem Laboratories (NSE:UNICHEMLAB) Overvalued in 2026?
Based on GuruFocus' analysis, Unichem Laboratories stock appears to be undervalued.
The current stock price of ₹473.00 is trading 31.4% below its estimated GF Value™ of ₹689.54.
GuruFocus considers Unichem Laboratories to be Significantly Undervalued.
Key valuation signals for NSE:UNICHEMLAB:
Return-on-Tangible-Equity: 1.61% (22% above median its 10-year median of 1.32)
GF Value™: ₹689.54 vs. price of ₹473.00 (31.4% below fair value)
Industry Position: 79.6% below the Drug Manufacturers median (#385 of 898)
No single metric tells the full story. See the NSE:UNICHEMLAB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Unichem Laboratories Ltd is an India based pharmaceutical company. It manufactures a range of Active Pharmaceutical Ingredients (APIs). The company's products are offered in the areas of gastroenterology, cardiology, diabetology, psychiatry, neurology, anti-bacterial, anti-infectives and pain management. Some of its products include Apixaban, Brimonidine Tartrate, Finofibrate, Glipizide, Piroxicam and others. The company has a market presence with sales in India and outside India, and the majority of the revenue derived from India. Its product categories comprises Formulations and Bulk Drugs and Chemicals.
65GF Score
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