Nippon Shinyaku CoTSE:4516 -0.46%92 Return-on-Tangible-Equity is 6.47% as of Mar. 2026, which is 51% below its 10-year median of 13.31. GuruFocus rates TSE:4516 with a GF Score™ of 92/100 and a GF Value™ of 円4,824.39 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 897 Drug Manufacturers companies, Nippon Shinyaku Co ranks better than 67.34% 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. Nippon Shinyaku Co's annualized net income for the quarter that ended in Mar. 2026 was 円15,508 Mil. Nippon Shinyaku Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was 円239,554 Mil. Therefore, Nippon Shinyaku Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 6.47%.
The historical rank and industry rank for Nippon Shinyaku Co's Return-on-Tangible-Equity or its related term are showing as below:
TSE:4516'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 10.86 Med: 13.31 Max: 16.53
Current: 13.58
During the past 13 years, Nippon Shinyaku Co's highest Return-on-Tangible-Equity was 16.53%. The lowest was 10.86%. And the median was 13.31%.
TSE:4516's Return-on-Tangible-Equity is ranked better than 67.34% of 897
companies
in the Drug Manufacturers industry
Industry Median: 7.9
vs TSE:4516: 13.58
Nippon Shinyaku Co (TSE:4516) 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.
Nippon Shinyaku Co Return-on-Tangible-Equity Related Terms
Nippon Shinyaku Co Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Nippon Shinyaku Co'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.
Nippon Shinyaku Co Return-on-Tangible-Equity Chart
TSE:4516 vs ZTS, UTHR: Return-on-Tangible-Equity Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Nippon Shinyaku Co'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.
Nippon Shinyaku Co Return-on-Tangible-Equity vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Nippon Shinyaku Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Nippon Shinyaku Co'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 6.47% mean?
Nippon Shinyaku Co (TSE:4516) has a Return-on-Tangible-Equity of 6.47% 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 Nippon Shinyaku Co and its competitors. This is 51% below median its historical median of 13.31. Over the past decade, Nippon Shinyaku Co's Return-on-Tangible-Equity has ranged from 10.86 to 16.53. According to the industry distribution chart, Nippon Shinyaku Co ranks #293 out of 897 companies in the Drug Manufacturers industry, placing it in the top 32.7%.
Is Nippon Shinyaku Co's Return-on-Tangible-Equity too high?
Nippon Shinyaku Co's current Return-on-Tangible-Equity of 6.47% is 51% below median its 10-year median of 13.31. Over the past 10 years, this metric has ranged from a low of 10.86 to a high of 16.53. The Drug Manufacturers industry median Return-on-Tangible-Equity is 7.90. Nippon Shinyaku Co's value of 6.47% is 18.1% below this industry median. Based on the distribution chart, Nippon Shinyaku Co ranks #293 out of 897 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Nippon Shinyaku Co has a GF Score™ of 92/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nippon Shinyaku Co's Return-on-Tangible-Equity compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Nippon Shinyaku Co ranks #293 out of 897 companies for Return-on-Tangible-Equity. This puts Nippon Shinyaku Co in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.90. Nippon Shinyaku Co's value of 6.47% is 18.1% below this benchmark. Historically, Nippon Shinyaku Co's own Return-on-Tangible-Equity has ranged from 10.86 to 16.53 over the past decade. While the company's 10-year median is 13.31 vs. the industry median of 7.90, Nippon Shinyaku Co 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 7.90, based on 897 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. Nippon Shinyaku Co's current Return-on-Tangible-Equity of 6.47% is 18.1% 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 Nippon Shinyaku Co and its competitors. For the Drug Manufacturers industry, the median Return-on-Tangible-Equity is 7.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Shinyaku Co's current Return-on-Tangible-Equity is 6.47%, which is 51% below median its own 10-year median of 13.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Shinyaku Co stock overvalued right now?
Based on GuruFocus' analysis, Nippon Shinyaku Co (TSE:4516) is currently considered Modestly Undervalued. The stock's GF Value™ is 円4,824.39, compared to a current price of 円4,082.00 — trading 15.4% below its estimated fair value. The current Return-on-Tangible-Equity is 6.47%, which is 51% below median its 10-year median of 13.31 and 18.1% below the Drug Manufacturers industry median of 7.90. Nippon Shinyaku Co's overall GF Score™ is 92/100 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 Nippon Shinyaku Co (TSE:4516), the current Return-on-Tangible-Equity is 6.47% 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 Nippon Shinyaku Co (TSE:4516) Overvalued in 2026?
Based on GuruFocus' analysis, Nippon Shinyaku Co stock appears to be undervalued.
The current stock price of 円4,082.00 is trading 15.4% below its estimated GF Value™ of 円4,824.39.
GuruFocus considers Nippon Shinyaku Co to be Modestly Undervalued.
Key valuation signals for TSE:4516:
Return-on-Tangible-Equity: 6.47% (51% below median its 10-year median of 13.31)
GF Value™: 円4,824.39 vs. price of 円4,082.00 (15.4% below fair value)
Industry Position: 18.1% below the Drug Manufacturers median (#293 of 897)
No single metric tells the full story. See the TSE:4516 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nippon Shinyaku Co Ltd is engaged in the pharmaceuticals and functional food businesses. The Pharmaceuticals Business develops and sells treatments for urological disorders, blood cancer, rare and intractable diseases, and gynecological conditions. The Functional Food Business produces and sells health food ingredients, quality-stabilizing preservatives, protein preparations, and supplements. It generates the majority of its revenue from the Pharmaceuticals segment.
92GF Score
Get the complete analysis for TSE:4516
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
TSE:4516 has been successfully added to your 
