Shandong Xinhua Pharmaceutical Co (FRA:XIN) 3-Year ROIIC % : 58.02% (As of Dec. 2025) — 401% 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.

FRA:XIN Shandong Xinhua Pharmaceutical Co Ltd FRA:XIN
57 GF Score
Price €0.67
GF Value €0.90
Valuation Modestly Undervalued
! 4 Warning Signs
View Full Analysis

What is Shandong Xinhua Pharmaceutical Co 3-Year ROIIC %?

Shandong Xinhua Pharmaceutical Co FRA:XIN 57 3-Year ROIIC % is 58.02 as of Dec. 2025, which is 401% above its 10-year median of 11.57. GuruFocus rates FRA:XIN with a GF Score™ of 57/100 and a GF Value™ of €0.90 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 947 Drug Manufacturers companies, Shandong Xinhua Pharmaceutical Co ranks better than 85.01% 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. Shandong Xinhua Pharmaceutical Co's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 58.02%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Shandong Xinhua Pharmaceutical Co's 3-Year ROIIC % or its related term are showing as below:

FRA:XIN's 3-Year ROIIC % is ranked better than
85.01% of 947 companies
in the Drug Manufacturers industry
Industry Median: 3.7 vs FRA:XIN: 58.02

Shandong Xinhua Pharmaceutical Co  (FRA:XIN) 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.


Shandong Xinhua Pharmaceutical Co 3-Year ROIIC % Related Terms


Shandong Xinhua Pharmaceutical Co 3-Year ROIIC % Historical Data

* Premium members only.

The historical data trend for Shandong Xinhua Pharmaceutical Co'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.

Shandong Xinhua Pharmaceutical Co 3-Year ROIIC % Chart

Shandong Xinhua Pharmaceutical Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
3-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.43 5.55 47.29 12.66 58.02

Shandong Xinhua Pharmaceutical Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 58.02 0.00

FRA:XIN vs ZTS, UTHR: 3-Year ROIIC % Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Shandong Xinhua Pharmaceutical Co'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.


Shandong Xinhua Pharmaceutical Co 3-Year ROIIC % vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Shandong Xinhua Pharmaceutical Co's 3-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Shandong Xinhua Pharmaceutical Co's 3-Year ROIIC % falls into.


FRA:XIN
57GF Score
Shandong Xinhua Pharmaceutical Co Ltd FRA:XIN
3-Year ROIIC % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Shandong Xinhua Pharmaceutical Co 3-Year ROIIC % Calculation

Shandong Xinhua Pharmaceutical Co's 3-Year ROIIC % for the quarter that ended in Dec. 2025 is calculated as:

3-Year ROIIC %=3-Year Incremental Net Operating Profit After Taxes (NOPAT)**/3-Year Incremental Invested Capital**
=( 45.6893292 (Dec. 2025) - 66.4592624 (Dec. 2022) )/( 742.777 (Dec. 2025) - 856.079 (Dec. 2022) )
=-20.7699332/-113.302
=18.33%***

* 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 58.02 mean?
Shandong Xinhua Pharmaceutical Co (FRA:XIN) has a 3-Year ROIIC % of 58.02 as of Dec. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Shandong Xinhua Pharmaceutical Co and its competitors. This is 401% above median its historical median of 11.57. According to the industry distribution chart, Shandong Xinhua Pharmaceutical Co ranks #142 out of 947 companies in the Drug Manufacturers industry, placing it in the top 15%.
Is Shandong Xinhua Pharmaceutical Co's 3-Year ROIIC % too high?
Shandong Xinhua Pharmaceutical Co's current 3-Year ROIIC % of 58.02 is 401% above median its 10-year median of 11.57. The Drug Manufacturers industry median 3-Year ROIIC % is 3.70. Shandong Xinhua Pharmaceutical Co's value of 58.02 is 1468.1% above this industry median. Based on the distribution chart, Shandong Xinhua Pharmaceutical Co ranks #142 out of 947 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Shandong Xinhua Pharmaceutical Co has a GF Score™ of 57/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shandong Xinhua Pharmaceutical Co's 3-Year ROIIC % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Shandong Xinhua Pharmaceutical Co ranks #142 out of 947 companies for 3-Year ROIIC %. This places Shandong Xinhua Pharmaceutical Co in the top 15% of its industry — outperforming the majority of peers. The industry median 3-Year ROIIC % is 3.70. Shandong Xinhua Pharmaceutical Co's value of 58.02 is 1468.1% above this benchmark. While the company's 10-year median is 11.57 vs. the industry median of 3.70, Shandong Xinhua 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 3-Year ROIIC % for a Drug Manufacturers company?
The median 3-Year ROIIC % among Drug Manufacturers companies is 3.70, based on 947 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. Shandong Xinhua Pharmaceutical Co's current 3-Year ROIIC % of 58.02 is 1468.1% 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 Shandong Xinhua Pharmaceutical Co and its competitors. For the Drug Manufacturers industry, the median 3-Year ROIIC % is 3.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shandong Xinhua Pharmaceutical Co's current 3-Year ROIIC % is 58.02, which is 401% above median its own 10-year median of 11.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shandong Xinhua Pharmaceutical Co stock overvalued right now?
Based on GuruFocus' analysis, Shandong Xinhua Pharmaceutical Co (FRA:XIN) is currently considered Modestly Undervalued. The stock's GF Value™ is €0.90, compared to a current price of €0.67 — trading 26.1% below its estimated fair value. The current 3-Year ROIIC % is 58.02, which is 401% above median its 10-year median of 11.57 and 1468.1% above the Drug Manufacturers industry median of 3.70. Shandong Xinhua Pharmaceutical Co's overall GF Score™ is 57/100 with 4 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 Shandong Xinhua Pharmaceutical Co (FRA:XIN), the current 3-Year ROIIC % is 58.02 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 Shandong Xinhua Pharmaceutical Co (FRA:XIN) Overvalued in 2026?

Based on GuruFocus' analysis, Shandong Xinhua Pharmaceutical Co stock appears to be undervalued. The current stock price of €0.67 is trading 26.1% below its estimated GF Value™ of €0.90. GuruFocus considers Shandong Xinhua Pharmaceutical Co to be Modestly Undervalued.

Key valuation signals for FRA:XIN:

  • 3-Year ROIIC %: 58.02 (401% above median its 10-year median of 11.57)
  • GF Value™: €0.90 vs. price of €0.67 (26.1% below fair value)
  • GF Score™: 57/100 with 4 warning signs
  • Industry Position: 1468.1% above the Drug Manufacturers median (#142 of 947)

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


Shandong Xinhua Pharmaceutical Co Business Description

Other Exchanges 00719:Hong Kong000756:China
Address No. 1 Lutai Avenue, Hi-tech Industry Development Zone, Zibo, Shandong, CHN, 255086
Shandong Xinhua Pharmaceutical Co Ltd is a pharmaceutical products manufacturer based in China. It operates various segments namely Chemical raw materials, Preparations, Pharmaceutical intermediates and other products. The company is mainly engaged in the business of development, manufacture and sale of bulk pharmaceuticals, preparations and chemical products.
57GF Score

Get the complete analysis for FRA:XIN

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

€0.67
Price
€0.90
GF Value