ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. IOL Chemicals And Pharmaceuticals's annualizedNet Income for the quarter that ended in Mar. 2026 was ₹2,126 Mil.
IOL Chemicals And Pharmaceuticals's average Total Assets over the quarter that ended in Mar. 2026 was ₹25,870 Mil. Therefore, IOL Chemicals And Pharmaceuticals's annualized ROA % for the quarter that ended in Mar. 2026 was 8.22%.
NSE:IOLCP'
s ROA % Range Over the Past 10 Years
Min: 0.59 Med: 6.64 Max: 34.22
Current: 5.59
During the past 13 years, IOL Chemicals And Pharmaceuticals's highest ROA % was 34.22%. The lowest was 0.59%. And the median was 6.64%.
NSE:IOLCP's ROA % is ranked better than 65.51% of 1006
companies
in the Drug Manufacturers industry
Industry Median: 2.685
vs NSE:IOLCP: 5.59
IOL Chemicals And Pharmaceuticals (NSE:IOLCP) ROA % Explanation
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.
IOL Chemicals And Pharmaceuticals ROA % Related Terms
IOL Chemicals And Pharmaceuticals ROA % Historical 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.
For the Drug Manufacturers - Specialty & Generic subindustry, IOL Chemicals And 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.
IOL Chemicals And Pharmaceuticals ROA % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, IOL Chemicals And Pharmaceuticals's ROA % distribution charts can be found below:
* The bar in red indicates where IOL Chemicals And 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.
IOL Chemicals And Pharmaceuticals (NSE:IOLCP) has a ROA % of 8.22% 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 IOL Chemicals And Pharmaceuticals and its competitors. This is 24% above median its historical median of 6.64. Over the past decade, IOL Chemicals And Pharmaceuticals' ROA % has ranged from 0.59 to 34.22. According to the industry distribution chart, IOL Chemicals And Pharmaceuticals ranks #347 out of 1006 companies in the Drug Manufacturers industry, placing it in the top 34.5%.
Is IOL Chemicals And Pharmaceuticals' ROA % too high?
IOL Chemicals And Pharmaceuticals' current ROA % of 8.22% is 24% above median its 10-year median of 6.64. Over the past 10 years, this metric has ranged from a low of 0.59 to a high of 34.22. The Drug Manufacturers industry median ROA % is 2.69. IOL Chemicals And Pharmaceuticals' value of 8.22% is 206.1% above this industry median. Based on the distribution chart, IOL Chemicals And Pharmaceuticals ranks #347 out of 1006 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, IOL Chemicals And Pharmaceuticals has a GF Score™ of 68/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does IOL Chemicals And Pharmaceuticals' ROA % compare to ZTS?
According to the Drug Manufacturers industry distribution chart, IOL Chemicals And Pharmaceuticals ranks #347 out of 1006 companies for ROA %. This puts IOL Chemicals And Pharmaceuticals in the upper half of its industry. The industry median ROA % is 2.69. IOL Chemicals And Pharmaceuticals' value of 8.22% is 206.1% above this benchmark. Historically, IOL Chemicals And Pharmaceuticals' own ROA % has ranged from 0.59 to 34.22 over the past decade. While the company's 10-year median is 6.64 vs. the industry median of 2.69, IOL Chemicals And 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 2.69, based on 1,006 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. IOL Chemicals And Pharmaceuticals's current ROA % of 8.22% is 206.1% 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 IOL Chemicals And Pharmaceuticals and its competitors. For the Drug Manufacturers industry, the median ROA % is 2.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. IOL Chemicals And Pharmaceuticals's current ROA % is 8.22%, which is 24% above median its own 10-year median of 6.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is IOL Chemicals And Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, IOL Chemicals And Pharmaceuticals (NSE:IOLCP) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹93.62, compared to a current price of ₹133.66 — trading 42.8% above its estimated fair value. The current ROA % is 8.22%, which is 24% above median its 10-year median of 6.64 and 206.1% above the Drug Manufacturers industry median of 2.69. IOL Chemicals And Pharmaceuticals' overall GF Score™ is 68/100 with 5 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 IOL Chemicals And Pharmaceuticals (NSE:IOLCP), the current ROA % is 8.22% 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 IOL Chemicals And Pharmaceuticals (NSE:IOLCP) Overvalued in 2026?
Based on GuruFocus' analysis, IOL Chemicals And Pharmaceuticals stock appears to be overvalued.
The current stock price of ₹133.66 is trading 42.8% above its estimated GF Value™ of ₹93.62.
GuruFocus considers IOL Chemicals And Pharmaceuticals to be Significantly Overvalued.
Key valuation signals for NSE:IOLCP:
ROA %: 8.22% (24% above median its 10-year median of 6.64)
GF Value™: ₹93.62 vs. price of ₹133.66 (42.8% above fair value)
Industry Position: 206.1% above the Drug Manufacturers median (#347 of 1006)
No single metric tells the full story. See the NSE:IOLCP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
IOL Chemicals And Pharmaceuticals Business Description
IOL Chemicals And Pharmaceuticals Ltd is an India-based pharmaceutical company. The primary activity of the group is the manufacturing and sale of drugs and organic chemicals. The business activity is functioned through the Chemicals and Pharmaceutical segments. The Chemicals segment produces and sells chemicals such as Ethyl Acetate, Acetic Anhydride, Acetyl Chloride, Mono Chloro Acetic Acid, and Iso Butyl benzene, whereas the Pharmaceutical segment produces and sells various active pharmaceutical ingredients such as Ibuprofen, Metformin, Fenofibrate, Lamotrigine, and others. It derives prime revenue from the Pharmaceutical segment. Geographically, the group's products are sold in both the Indian and international markets.
68GF Score
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