Fredun PharmaceuticalsBOM:539730 -1.66%69 ROA % is 6.72% as of Mar. 2026, which is 58% above its 10-year median of 4.24. GuruFocus rates BOM:539730 with a GF Score™ of 69/100 and a GF Value™ of ₹1,582.12 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 1,005 Drug Manufacturers companies, Fredun Pharmaceuticals ranks better than 72.14% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Fredun Pharmaceuticals's annualizedNet Income for the quarter that ended in Mar. 2026 was ₹431 Mil.
Fredun Pharmaceuticals's average Total Assets over the quarter that ended in Mar. 2026 was ₹6,421 Mil. Therefore, Fredun Pharmaceuticals's annualized ROA % for the quarter that ended in Mar. 2026 was 6.72%.
The historical rank and industry rank for Fredun Pharmaceuticals's ROA % or its related term are showing as below:
BOM:539730'
s ROA % Range Over the Past 10 Years
Min: 1.33 Med: 4.24 Max: 7.05
Current: 7.05
During the past 13 years, Fredun Pharmaceuticals's highest ROA % was 7.05%. The lowest was 1.33%. And the median was 4.24%.
BOM:539730's ROA % is ranked better than 72.14% of 1005
companies
in the Drug Manufacturers industry
Industry Median: 2.72
vs BOM:539730: 7.05
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.
* 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.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
* 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.
For the Drug Manufacturers - Specialty & Generic subindustry, Fredun Pharmaceuticals's ROA %, along with its competitors' market caps and ROA % 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.
Fredun Pharmaceuticals ROA % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Fredun Pharmaceuticals's ROA % distribution charts can be found below:
* The bar in red indicates where Fredun Pharmaceuticals's ROA % 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 ROA %, the net income of the last fiscal year and the average total assets 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.
ROA % is displayed in the 30-year financial page.
Fredun Pharmaceuticals (BOM:539730) has a ROA % of 6.72% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Fredun Pharmaceuticals and its competitors. This is 58% above median its historical median of 4.24. Over the past decade, Fredun Pharmaceuticals' ROA % has ranged from 1.33 to 7.05. According to the industry distribution chart, Fredun Pharmaceuticals ranks #280 out of 1005 companies in the Drug Manufacturers industry, placing it in the top 27.9%.
Is Fredun Pharmaceuticals' ROA % too high?
Fredun Pharmaceuticals' current ROA % of 6.72% is 58% above median its 10-year median of 4.24. Over the past 10 years, this metric has ranged from a low of 1.33 to a high of 7.05. The Drug Manufacturers industry median ROA % is 2.72. Fredun Pharmaceuticals' value of 6.72% is 147.1% above this industry median. Based on the distribution chart, Fredun Pharmaceuticals ranks #280 out of 1005 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Fredun Pharmaceuticals has a GF Score™ of 69/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Fredun Pharmaceuticals' ROA % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Fredun Pharmaceuticals ranks #280 out of 1005 companies for ROA %. This puts Fredun Pharmaceuticals in the upper half of its industry. The industry median ROA % is 2.72. Fredun Pharmaceuticals' value of 6.72% is 147.1% above this benchmark. Historically, Fredun Pharmaceuticals' own ROA % has ranged from 1.33 to 7.05 over the past decade. While the company's 10-year median is 4.24 vs. the industry median of 2.72, Fredun Pharmaceuticals 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 ROA % for a Drug Manufacturers company?
The median ROA % among Drug Manufacturers companies is 2.72, based on 1,005 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Fredun Pharmaceuticals's current ROA % of 6.72% is 147.1% 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 ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Fredun Pharmaceuticals and its competitors. For the Drug Manufacturers industry, the median ROA % is 2.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fredun Pharmaceuticals's current ROA % is 6.72%, which is 58% above median its own 10-year median of 4.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fredun Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Fredun Pharmaceuticals (BOM:539730) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹1,582.12, compared to a current price of ₹2,758.80 — trading 74.4% above its estimated fair value. The current ROA % is 6.72%, which is 58% above median its 10-year median of 4.24 and 147.1% above the Drug Manufacturers industry median of 2.72. Fredun Pharmaceuticals' overall GF Score™ is 69/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Fredun Pharmaceuticals (BOM:539730), the current ROA % is 6.72% 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 Fredun Pharmaceuticals (BOM:539730) Overvalued in 2026?
Based on GuruFocus' analysis, Fredun Pharmaceuticals stock appears to be overvalued.
The current stock price of ₹2,758.80 is trading 74.4% above its estimated GF Value™ of ₹1,582.12.
GuruFocus considers Fredun Pharmaceuticals to be Significantly Overvalued.
Key valuation signals for BOM:539730:
ROA %: 6.72% (58% above median its 10-year median of 4.24)
GF Value™: ₹1,582.12 vs. price of ₹2,758.80 (74.4% above fair value)
Industry Position: 147.1% above the Drug Manufacturers median (#280 of 1005)
No single metric tells the full story. See the BOM:539730 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Fredun Pharmaceuticals Ltd in its Endeavour to move ahead has now ventured into manufacturing of dietary /herbal supplements, nutraceuticals, and other healthcare products along with Animal Healthcare products also with products ranging from allopathic formulations to on field diagnostic kits, Company's main objective is to be a holistic healthcare provider. The group is dedicated to improving lives of people. The Company operates only in a single segment i.e. Pharmaceutical Segment. The company has presence in Domestic as well as International market. The company generates majority of revenue from Domestic market.
69GF Score
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