Lotus Pharmaceutical CoTPE:1795 -3.17%76 ROA % is 6.16% as of Dec. 2025, which is 4% above its 10-year median of 5.93. GuruFocus rates TPE:1795 with a GF Score™ of 76/100 and a GF Value™ of NT$441.58 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 1,003 Drug Manufacturers companies, Lotus Pharmaceutical Co ranks better than 79.46% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Lotus Pharmaceutical Co's annualizedNet Income for the quarter that ended in Dec. 2025 was NT$4,487 Mil.
Lotus Pharmaceutical Co's average Total Assets over the quarter that ended in Dec. 2025 was NT$72,877 Mil. Therefore, Lotus Pharmaceutical Co's annualized ROA % for the quarter that ended in Dec. 2025 was 6.16%.
The historical rank and industry rank for Lotus Pharmaceutical Co's ROA % or its related term are showing as below:
TPE:1795'
s ROA % Range Over the Past 10 Years
Min: -0.87 Med: 5.93 Max: 13.86
Current: 8.92
During the past 13 years, Lotus Pharmaceutical Co's highest ROA % was 13.86%. The lowest was -0.87%. And the median was 5.93%.
TPE:1795's ROA % is ranked better than 79.46% of 1003
companies
in the Drug Manufacturers industry
Industry Median: 2.69
vs TPE:1795: 8.92
Lotus Pharmaceutical Co (TPE:1795) 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 (Dec. 2025) net income data. The Revenue data used here is four times the quarterly (Dec. 2025) 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, Lotus Pharmaceutical Co'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.
Lotus Pharmaceutical Co ROA % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Lotus Pharmaceutical Co's ROA % distribution charts can be found below:
* The bar in red indicates where Lotus Pharmaceutical Co'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 (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Lotus Pharmaceutical Co (TPE:1795) has a ROA % of 6.16% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Lotus Pharmaceutical Co and its competitors. This is near median its historical median of 5.93. According to the industry distribution chart, Lotus Pharmaceutical Co ranks #206 out of 1003 companies in the Drug Manufacturers industry, placing it in the top 20.5%.
Is Lotus Pharmaceutical Co's ROA % too high?
Lotus Pharmaceutical Co's current ROA % of 6.16% is near median its 10-year median of 5.93. The Drug Manufacturers industry median ROA % is 2.69. Lotus Pharmaceutical Co's value of 6.16% is 129% above this industry median. Based on the distribution chart, Lotus Pharmaceutical Co ranks #206 out of 1003 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Lotus Pharmaceutical Co has a GF Score™ of 76/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Lotus Pharmaceutical Co's ROA % compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Lotus Pharmaceutical Co ranks #206 out of 1003 companies for ROA %. This places Lotus Pharmaceutical Co in the top 21% of its industry — outperforming the majority of peers. The industry median ROA % is 2.69. Lotus Pharmaceutical Co's value of 6.16% is 129% above this benchmark. While the company's 10-year median is 5.93 vs. the industry median of 2.69, Lotus Pharmaceutical Co 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 1,003 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. Lotus Pharmaceutical Co's current ROA % of 6.16% is 129% 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 Lotus Pharmaceutical Co 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. Lotus Pharmaceutical Co's current ROA % is 6.16%, which is near median its own 10-year median of 5.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lotus Pharmaceutical Co stock overvalued right now?
Based on GuruFocus' analysis, Lotus Pharmaceutical Co (TPE:1795) is currently considered Possible Value Trap. The stock's GF Value™ is NT$441.58, compared to a current price of NT$183.00 — trading 58.6% below its estimated fair value. The current ROA % is 6.16%, which is near median its 10-year median of 5.93 and 129% above the Drug Manufacturers industry median of 2.69. Lotus Pharmaceutical Co's overall GF Score™ is 76/100 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 Lotus Pharmaceutical Co (TPE:1795), the current ROA % is 6.16% as of Dec. 2025. 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 Lotus Pharmaceutical Co (TPE:1795) Overvalued in 2026?
Based on GuruFocus' analysis, Lotus Pharmaceutical Co stock appears to be undervalued.
The current stock price of NT$183.00 is trading 58.6% below its estimated GF Value™ of NT$441.58.
GuruFocus considers Lotus Pharmaceutical Co to be Possible Value Trap.
Key valuation signals for TPE:1795:
ROA %: 6.16% (near median its 10-year median of 5.93)
GF Value™: NT$441.58 vs. price of NT$183.00 (58.6% below fair value)
Industry Position: 129% above the Drug Manufacturers median (#206 of 1003)
No single metric tells the full story. See the TPE:1795 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lotus Pharmaceutical Co Ltd is engaged in the healthcare sector. Along with its subsidiaries, it is engaged in the research and development, manufacturing, and sales of generic and branded pharmaceutical products, as well as consulting services. Its product portfolio comprises biosimilars, generic medicines, branded medicines, and various therapies in its research and development pipeline. The Group offers a differentiated portfolio of pharmaceuticals spanning several therapeutic areas, including oncology and immunology, CNS, women's health, primary care and lifestyle, and nephrology, among others. Geographically, it generates maximum revenue from the United States, and the rest from Taiwan, South Korea, Singapore, and other countries.
76GF Score
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