Aurobindo Pharma (BOM:524804) 3-Year ROIIC % : 13.96% (As of Mar. 2026) — 83% Above 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.

BOM:524804 Aurobindo Pharma Ltd BOM:524804
86 GF Score
Price ₹1,606.40
GF Value ₹1,397.57
Valuation Modestly Overvalued
! 7 Warning Signs
View Full Analysis

What is Aurobindo Pharma 3-Year ROIIC %?

Aurobindo Pharma BOM:524804 -0.54% 86 3-Year ROIIC % is 13.96 as of Mar. 2026, which is 83% above its 10-year median of 7.62. GuruFocus rates BOM:524804 with a GF Score™ of 86/100 and a GF Value™ of ₹1,397.57 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 943 Drug Manufacturers companies, Aurobindo Pharma ranks better than 65.11% on this metric.

3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year. Aurobindo Pharma's 3-Year ROIIC % for the quarter that ended in Mar. 2026 was 13.96%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Aurobindo Pharma's 3-Year ROIIC % or its related term are showing as below:

BOM:524804's 3-Year ROIIC % is ranked better than
65.11% of 943 companies
in the Drug Manufacturers industry
Industry Median: 3.56 vs BOM:524804: 13.96

Aurobindo Pharma  (BOM:524804) 3-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


Aurobindo Pharma 3-Year ROIIC % Related Terms


Aurobindo Pharma 3-Year ROIIC % Historical Data

* Premium members only.

The historical data trend for Aurobindo Pharma's 3-Year ROIIC % 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.

Aurobindo Pharma 3-Year ROIIC % Chart

Aurobindo Pharma Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
3-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.31 -18.49 -0.49 8.30 13.96

Aurobindo Pharma Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
3-Year ROIIC % 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 0.00 0.00 0.00 13.96 0.00

BOM:524804 vs ZTS: 3-Year ROIIC % Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Aurobindo Pharma's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % 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.


Aurobindo Pharma 3-Year ROIIC % vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Aurobindo Pharma's 3-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Aurobindo Pharma's 3-Year ROIIC % falls into.


BOM:524804
86GF Score
Aurobindo Pharma Ltd BOM:524804
3-Year ROIIC % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Aurobindo Pharma 3-Year ROIIC % Calculation

Aurobindo Pharma's 3-Year ROIIC % for the quarter that ended in Mar. 2026 is calculated as:

3-Year ROIIC %=3-Year Incremental Net Operating Profit After Taxes (NOPAT)**/3-Year Incremental Invested Capital**
=( 35586.73811 (Mar. 2026) - 18724.9504 (Mar. 2023) )/( 409914.5 (Mar. 2026) - 289109 (Mar. 2023) )
=16861.78771/120805.5
=13.96%***

* 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.

** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.

Frequently Asked Questions Learn more about 3-Year ROIIC % →
What does a 3-Year ROIIC % of 13.96 mean?
Aurobindo Pharma (BOM:524804) has a 3-Year ROIIC % of 13.96 as of Mar. 2026. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Aurobindo Pharma and its competitors. This is 83% above median its historical median of 7.62. According to the industry distribution chart, Aurobindo Pharma ranks #329 out of 943 companies in the Drug Manufacturers industry, placing it in the top 34.9%.
Is Aurobindo Pharma's 3-Year ROIIC % too high?
Aurobindo Pharma's current 3-Year ROIIC % of 13.96 is 83% above median its 10-year median of 7.62. The Drug Manufacturers industry median 3-Year ROIIC % is 3.56. Aurobindo Pharma's value of 13.96 is 292.1% above this industry median. Based on the distribution chart, Aurobindo Pharma ranks #329 out of 943 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Aurobindo Pharma has a GF Score™ of 86/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Aurobindo Pharma's 3-Year ROIIC % compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Aurobindo Pharma ranks #329 out of 943 companies for 3-Year ROIIC %. This puts Aurobindo Pharma in the upper half of its industry. The industry median 3-Year ROIIC % is 3.56. Aurobindo Pharma's value of 13.96 is 292.1% above this benchmark. While the company's 10-year median is 7.62 vs. the industry median of 3.56, Aurobindo Pharma 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 3-Year ROIIC % for a Drug Manufacturers company?
The median 3-Year ROIIC % among Drug Manufacturers companies is 3.56, based on 943 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Aurobindo Pharma's current 3-Year ROIIC % of 13.96 is 292.1% 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 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Aurobindo Pharma and its competitors. For the Drug Manufacturers industry, the median 3-Year ROIIC % is 3.56 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Aurobindo Pharma's current 3-Year ROIIC % is 13.96, which is 83% above median its own 10-year median of 7.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aurobindo Pharma stock overvalued right now?
Based on GuruFocus' analysis, Aurobindo Pharma (BOM:524804) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹1,397.57, compared to a current price of ₹1,606.40 — trading 14.9% above its estimated fair value. The current 3-Year ROIIC % is 13.96, which is 83% above median its 10-year median of 7.62 and 292.1% above the Drug Manufacturers industry median of 3.56. Aurobindo Pharma's overall GF Score™ is 86/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For Aurobindo Pharma (BOM:524804), the current 3-Year ROIIC % is 13.96 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 Aurobindo Pharma (BOM:524804) Overvalued in 2026?

Based on GuruFocus' analysis, Aurobindo Pharma stock appears to be overvalued. The current stock price of ₹1,606.40 is trading 14.9% above its estimated GF Value™ of ₹1,397.57. GuruFocus considers Aurobindo Pharma to be Modestly Overvalued.

Key valuation signals for BOM:524804:

  • 3-Year ROIIC %: 13.96 (83% above median its 10-year median of 7.62)
  • GF Value™: ₹1,397.57 vs. price of ₹1,606.40 (14.9% above fair value)
  • GF Score™: 86/100 with 7 warning signs
  • Industry Position: 292.1% above the Drug Manufacturers median (#329 of 943)

No single metric tells the full story. See the BOM:524804 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Aurobindo Pharma Business Description

Other Exchanges AUROPHARMA:India
Address Plot No. 1, Survey No. 83/1, Galaxy, Floors 22-24, Hyderabad Knowledge City, Raidurg Panmaktha, Ranga Reddy District, Hyderabad, TG, IND, 500032
Aurobindo Pharma Ltd is a specialty and generic drug manufacturing company. It is principally engaged in the manufacturing and marketing of active pharmaceutical ingredients, generic pharmaceuticals, and related services. Its formulations target key therapeutic areas, including Central Nervous System (CNS), Antibiotics, Anti-diabetics, Cardiovascular, Anti-retroviral, Gastroenterology, Oncology, and Dermatology. The operating and reportable segments of the company are; India, the United States of America, Europe, and the Rest of the World. The company generates a majority of its revenue from its business in the United States of America.
86GF Score

Get the complete analysis for BOM:524804

3-Year ROIIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹1,606.40
Price
₹1,397.57
GF Value