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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.
Lexicon Pharmaceuticals's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 156.22%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Lexicon Pharmaceuticals's 3-Year ROIIC % or its related term are showing as below:
LXRX's 3-Year ROIIC % is ranked better than 82.38% of 1322
companies
in the Biotechnology industry
Industry Median: -4.9
vs LXRX: 156.22
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.
Lexicon Pharmaceuticals 3-Year ROIIC % Related Terms
Lexicon Pharmaceuticals 3-Year ROIIC % 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.
LXRX vs CGEM, WVE, CRVS: 3-Year ROIIC % Comparison
For the Biotechnology subindustry, Lexicon Pharmaceuticals'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.
Lexicon Pharmaceuticals 3-Year ROIIC % vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Lexicon Pharmaceuticals's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Lexicon Pharmaceuticals's 3-Year ROIIC % falls into.
Lexicon Pharmaceuticals'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**
=
( -48.911 (Dec. 2025) - -100.76 (Dec. 2022) )
/
( 95.744 (Dec. 2025) - 62.554 (Dec. 2022) )
=
51.849
/
33.19
=
156.22%***
* 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.
Lexicon Pharmaceuticals (LXRX) has a 3-Year ROIIC % of 156.22 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 Lexicon Pharmaceuticals and its competitors. According to the industry distribution chart, Lexicon Pharmaceuticals ranks #233 out of 1322 companies in the Biotechnology industry, placing it in the top 17.6%.
Is Lexicon Pharmaceuticals' 3-Year ROIIC % too high?
Lexicon Pharmaceuticals' current 3-Year ROIIC % is 156.22. Based on the distribution chart, Lexicon Pharmaceuticals ranks #233 out of 1322 companies in the Biotechnology industry, which is in the top quartile — a strong position relative to peers. Overall, Lexicon Pharmaceuticals has a GF Score™ of 59/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Lexicon Pharmaceuticals' 3-Year ROIIC % compare to CGEM and WVE?
According to the Biotechnology industry distribution chart, Lexicon Pharmaceuticals ranks #233 out of 1322 companies for 3-Year ROIIC %. This places Lexicon Pharmaceuticals in the top 18% of its industry — outperforming the majority of peers. 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 Biotechnology company?
A good 3-Year ROIIC % depends on the Biotechnology industry context. However, 3-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. 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 Lexicon Pharmaceuticals and its competitors. Lexicon Pharmaceuticals's current 3-Year ROIIC % is 156.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lexicon Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Lexicon Pharmaceuticals (LXRX) is currently considered Possible Value Trap. The stock's GF Value™ is $8.43, compared to a current price of $2.25 — trading 73.3% below its estimated fair value. The current 3-Year ROIIC % is 156.22. Lexicon Pharmaceuticals' overall GF Score™ is 59/100 with 5 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 Lexicon Pharmaceuticals (LXRX), the current 3-Year ROIIC % is 156.22 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 Lexicon Pharmaceuticals (LXRX) Overvalued in 2026?
Based on GuruFocus' analysis, Lexicon Pharmaceuticals stock appears to be undervalued.
The current stock price of $2.25 is trading 73.3% below its estimated GF Value™ of $8.43.
GuruFocus considers Lexicon Pharmaceuticals to be Possible Value Trap.
Key valuation signals for LXRX:
3-Year ROIIC %: 156.22
GF Value™: $8.43 vs. price of $2.25 (73.3% below fair value)
No single metric tells the full story. See the LXRX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lexicon Pharmaceuticals Inc is a biopharmaceutical company. It is engaged in the discovery, development, and commercialization of pharmaceutical products for the treatment of human diseases. Some of its drug candidates are LX9211, an orally-delivered small molecule drug candidate, and LX9851, an orally-delivered small molecule drug candidate, as a treatment for obesity and associated cardiometabolic.
59GF Score
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