Jiangsu Kanion Pharmaceutical Co (SHSE:600557) ROC (Joel Greenblatt) %: 13.68% (As of Mar. 2026) — 23% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

SHSE:600557 Jiangsu Kanion Pharmaceutical Co Ltd SHSE:600557
74 GF Score
Price ¥12.88
GF Value ¥13.80
Valuation Fairly Valued
! 2 Warning Signs
View Full Analysis

What is Jiangsu Kanion Pharmaceutical Co ROC (Joel Greenblatt) %?

Jiangsu Kanion Pharmaceutical Co SHSE:600557 +2.14% 74 ROC (Joel Greenblatt) % is 13.68% as of Mar. 2026, which is 23% below its 10-year median of 17.76. GuruFocus rates SHSE:600557 with a GF Score™ of 74/100 and a GF Value™ of ¥13.80 (Fairly Valued). The stock has 2 warning signs investors should review. Among 981 Drug Manufacturers companies, Jiangsu Kanion Pharmaceutical Co ranks better than 52.91% on this metric.

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits). He defines ROC (Joel Greenblatt) % as EBIT divided by the total of Property, Plant and Equipment and net working capital. Jiangsu Kanion Pharmaceutical Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 13.68%.

The historical rank and industry rank for Jiangsu Kanion Pharmaceutical Co's ROC (Joel Greenblatt) % or its related term are showing as below:

SHSE:600557' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 11.96   Med: 17.76   Max: 23.89
Current: 12.65

During the past 13 years, Jiangsu Kanion Pharmaceutical Co's highest ROC (Joel Greenblatt) % was 23.89%. The lowest was 11.96%. And the median was 17.76%.

SHSE:600557's ROC (Joel Greenblatt) % is ranked better than
52.91% of 981 companies
in the Drug Manufacturers industry
Industry Median: 10.74 vs SHSE:600557: 12.65

Jiangsu Kanion Pharmaceutical Co's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 3.00% per year.


Jiangsu Kanion Pharmaceutical Co  (SHSE:600557) ROC (Joel Greenblatt) % Explanation

The way Joel Greenblatt defines Return on Capital is a more accurate measure of how efficiently the company generates returns onthe capital actually invested in the business. EBIT is used instead of net income because the tax and interest payment may be affected by factors other than the core business operation. Intangible assets are not included in the calculation because they don't need to be replaced.

Joel Greenblatt uses his definition of Return on Capital and Earnings Yield (Joel Greenblatt) % to rank companies.


Jiangsu Kanion Pharmaceutical Co ROC (Joel Greenblatt) % Related Terms


Jiangsu Kanion Pharmaceutical Co ROC (Joel Greenblatt) % Historical Data

* Premium members only.

The historical data trend for Jiangsu Kanion Pharmaceutical Co's ROC (Joel Greenblatt) % 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.

Jiangsu Kanion Pharmaceutical Co ROC (Joel Greenblatt) % Chart

Jiangsu Kanion Pharmaceutical Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.75 17.76 17.75 15.39 13.12

Jiangsu Kanion Pharmaceutical Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROC (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 15.40 11.36 10.53 15.01 13.68

SHSE:600557 vs ZTS: ROC (Joel Greenblatt) % Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Jiangsu Kanion Pharmaceutical Co's ROC (Joel Greenblatt) %, along with its competitors' market caps and ROC (Joel Greenblatt) % 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.


Jiangsu Kanion Pharmaceutical Co ROC (Joel Greenblatt) % vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Jiangsu Kanion Pharmaceutical Co's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Jiangsu Kanion Pharmaceutical Co's ROC (Joel Greenblatt) % falls into.


SHSE:600557
74GF Score
Jiangsu Kanion Pharmaceutical Co Ltd SHSE:600557
ROC (Joel Greenblatt) % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Jiangsu Kanion Pharmaceutical Co ROC (Joel Greenblatt) % Calculation

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits) . He defines Return on Capital as follows:

ROC (Joel Greenblatt) %=EBIT/Average of (Net fixed Assets + Net Working Capital)

EBIT stands for Earnings Before Interest and Taxes.

Fixed Assets are also known as non-current assets. They include the Property, Plant and Equipment that the firm needs in its operation.

GuruFocus calculates net working capital as: (Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Deferred Revenue + Other Current Liabilities). We're trying to account for OPERATING assets and liabilities (part of daily business) when calculating working capital. Cash and marketable securities are considered NON-OPERATING assets and are not included in calculation. We will also back out all interest bearing debt, short term debt and the portion of long term debt that is due in the current period from the current liabilities. This debt will be considered when computing cost of capital and it would be inappropriate to count it twice.

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(464.942 + 452.564 + 101.278) - (1690.216 + 0 + 30.707)
=-702.139

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(488.147 + 457.597 + 81.577) - (1622.694 + 0 + 34.371)
=-629.744

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Jiangsu Kanion Pharmaceutical Co for the quarter that ended in Mar. 2026 can be restated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=403.404/( ( (2898.975 + max(-702.139, 0)) + (3000.19 + max(-629.744, 0)) )/ 2 )
=403.404/( ( 2898.975 + 3000.19 )/ 2 )
=403.404/2949.5825
=13.68 %

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT 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.

What does a ROC (Joel Greenblatt) % of 13.68% mean?
Jiangsu Kanion Pharmaceutical Co (SHSE:600557) has a ROC (Joel Greenblatt) % of 13.68% as of Mar. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Jiangsu Kanion Pharmaceutical Co and its competitors. This is 23% below median its historical median of 17.76. Over the past decade, Jiangsu Kanion Pharmaceutical Co's ROC (Joel Greenblatt) % has ranged from 11.96 to 23.89. According to the industry distribution chart, Jiangsu Kanion Pharmaceutical Co ranks #462 out of 981 companies in the Drug Manufacturers industry, placing it in the top 47.1%.
Is Jiangsu Kanion Pharmaceutical Co's ROC (Joel Greenblatt) % too high?
Jiangsu Kanion Pharmaceutical Co's current ROC (Joel Greenblatt) % of 13.68% is 23% below median its 10-year median of 17.76. Over the past 10 years, this metric has ranged from a low of 11.96 to a high of 23.89. The Drug Manufacturers industry median ROC (Joel Greenblatt) % is 10.74. Jiangsu Kanion Pharmaceutical Co's value of 13.68% is 27.4% above this industry median. Based on the distribution chart, Jiangsu Kanion Pharmaceutical Co ranks #462 out of 981 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Jiangsu Kanion Pharmaceutical Co has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Jiangsu Kanion Pharmaceutical Co's ROC (Joel Greenblatt) % compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Jiangsu Kanion Pharmaceutical Co ranks #462 out of 981 companies for ROC (Joel Greenblatt) %. This puts Jiangsu Kanion Pharmaceutical Co in the upper half of its industry. The industry median ROC (Joel Greenblatt) % is 10.74. Jiangsu Kanion Pharmaceutical Co's value of 13.68% is 27.4% above this benchmark. Historically, Jiangsu Kanion Pharmaceutical Co's own ROC (Joel Greenblatt) % has ranged from 11.96 to 23.89 over the past decade. While the company's 10-year median is 17.76 vs. the industry median of 10.74, Jiangsu Kanion 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 ROC (Joel Greenblatt) % for a Drug Manufacturers company?
The median ROC (Joel Greenblatt) % among Drug Manufacturers companies is 10.74, based on 981 companies in the industry. Companies in the top quartile (top 25%) have a ROC (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, ROC (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Jiangsu Kanion Pharmaceutical Co's current ROC (Joel Greenblatt) % of 13.68% is 27.4% 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 ROC (Joel Greenblatt) % mean?
A high ROC (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Jiangsu Kanion Pharmaceutical Co and its competitors. For the Drug Manufacturers industry, the median ROC (Joel Greenblatt) % is 10.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Jiangsu Kanion Pharmaceutical Co's current ROC (Joel Greenblatt) % is 13.68%, which is 23% below median its own 10-year median of 17.76. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Jiangsu Kanion Pharmaceutical Co stock overvalued right now?
Based on GuruFocus' analysis, Jiangsu Kanion Pharmaceutical Co (SHSE:600557) is currently considered Fairly Valued. The stock's GF Value™ is ¥13.80, compared to a current price of ¥12.88 — trading 6.7% below its estimated fair value. The current ROC (Joel Greenblatt) % is 13.68%, which is 23% below median its 10-year median of 17.76 and 27.4% above the Drug Manufacturers industry median of 10.74. Jiangsu Kanion Pharmaceutical Co's overall GF Score™ is 74/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROC (Joel Greenblatt) % calculated?
ROC (Joel Greenblatt) % is calculated from a company's financial statements. For Jiangsu Kanion Pharmaceutical Co (SHSE:600557), the current ROC (Joel Greenblatt) % is 13.68% 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 Jiangsu Kanion Pharmaceutical Co (SHSE:600557) Overvalued in 2026?

Based on GuruFocus' analysis, Jiangsu Kanion Pharmaceutical Co stock appears to be undervalued. The current stock price of ¥12.88 is trading 6.7% below its estimated GF Value™ of ¥13.80. GuruFocus considers Jiangsu Kanion Pharmaceutical Co to be Fairly Valued.

Key valuation signals for SHSE:600557:

  • ROC (Joel Greenblatt) %: 13.68% (23% below median its 10-year median of 17.76)
  • GF Value™: ¥13.80 vs. price of ¥12.88 (6.7% below fair value)
  • GF Score™: 74/100 with 2 warning signs
  • Industry Position: 27.4% above the Drug Manufacturers median (#462 of 981)

No single metric tells the full story. See the SHSE:600557 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Jiangsu Kanion Pharmaceutical Co Business Description

Address No. 58 Haichang South Road, Xinpu District, Jiangsu, Lianyungang, CHN, 222001
Jiangsu Kanion Pharmaceutical Co Ltd focuses on R&D, production and trade of traditional Chinese medicine. The company also makes orthopedics, cardiovascular, anti-infective and anti-tumor products.
74GF Score

Get the complete analysis for SHSE:600557

ROC (Joel Greenblatt) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

¥12.88
Price
¥13.80
GF Value