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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.
Hangzhou TianMuShan Pharmaceutical Enterprise Co's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 47.66%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
SHSE:600671's 3-Year ROIIC % is ranked better than 83.3% of 946
companies
in the Drug Manufacturers industry
Industry Median: 3.61
vs SHSE:600671: 47.66
Hangzhou TianMuShan Pharmaceutical Enterprise Co (SHSE:600671) 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.
Hangzhou TianMuShan Pharmaceutical Enterprise Co 3-Year ROIIC % Related Terms
Hangzhou TianMuShan Pharmaceutical Enterprise Co 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.
Hangzhou TianMuShan Pharmaceutical Enterprise Co 3-Year ROIIC % Chart
Hangzhou TianMuShan Pharmaceutical Enterprise Co Annual Data
SHSE:600671 vs LLY, JNJ, ABBV: 3-Year ROIIC % Comparison
For the Drug Manufacturers - General subindustry, Hangzhou TianMuShan Pharmaceutical Enterprise 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.
Hangzhou TianMuShan Pharmaceutical Enterprise Co 3-Year ROIIC % vs Drug Manufacturers Industry
3-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
3-Year Incremental Invested Capital**
=
( 12.0941515 (Dec. 2025) - -28.433 (Dec. 2022) )
/
( 376.085 (Dec. 2025) - 291.047 (Dec. 2022) )
=
40.5271515
/
85.038
=
47.66%***
* 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.
Hangzhou TianMuShan Pharmaceutical Enterprise Co (SHSE:600671) has a 3-Year ROIIC % of 47.66 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 Hangzhou TianMuShan Pharmaceutical Enterprise Co and its competitors. This is 58% above median its historical median of 30.16. According to the industry distribution chart, Hangzhou TianMuShan Pharmaceutical Enterprise Co ranks #158 out of 946 companies in the Drug Manufacturers industry, placing it in the top 16.7%.
Is Hangzhou TianMuShan Pharmaceutical Enterprise Co's 3-Year ROIIC % too high?
Hangzhou TianMuShan Pharmaceutical Enterprise Co's current 3-Year ROIIC % of 47.66 is 58% above median its 10-year median of 30.16. The Drug Manufacturers industry median 3-Year ROIIC % is 3.61. Hangzhou TianMuShan Pharmaceutical Enterprise Co's value of 47.66 is 1220.2% above this industry median. Based on the distribution chart, Hangzhou TianMuShan Pharmaceutical Enterprise Co ranks #158 out of 946 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Hangzhou TianMuShan Pharmaceutical Enterprise Co has a GF Score™ of 53/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hangzhou TianMuShan Pharmaceutical Enterprise Co's 3-Year ROIIC % compare to LLY and JNJ?
According to the Drug Manufacturers industry distribution chart, Hangzhou TianMuShan Pharmaceutical Enterprise Co ranks #158 out of 946 companies for 3-Year ROIIC %. This places Hangzhou TianMuShan Pharmaceutical Enterprise Co in the top 17% of its industry — outperforming the majority of peers. The industry median 3-Year ROIIC % is 3.61. Hangzhou TianMuShan Pharmaceutical Enterprise Co's value of 47.66 is 1220.2% above this benchmark. While the company's 10-year median is 30.16 vs. the industry median of 3.61, Hangzhou TianMuShan Pharmaceutical Enterprise 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 3.61, based on 946 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. Hangzhou TianMuShan Pharmaceutical Enterprise Co's current 3-Year ROIIC % of 47.66 is 1220.2% 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 Hangzhou TianMuShan Pharmaceutical Enterprise Co and its competitors. For the Drug Manufacturers industry, the median 3-Year ROIIC % is 3.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hangzhou TianMuShan Pharmaceutical Enterprise Co's current 3-Year ROIIC % is 47.66, which is 58% above median its own 10-year median of 30.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hangzhou TianMuShan Pharmaceutical Enterprise Co stock overvalued right now?
Based on GuruFocus' analysis, Hangzhou TianMuShan Pharmaceutical Enterprise Co (SHSE:600671) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥15.09, compared to a current price of ¥20.30 — trading 34.5% above its estimated fair value. The current 3-Year ROIIC % is 47.66, which is 58% above median its 10-year median of 30.16 and 1220.2% above the Drug Manufacturers industry median of 3.61. Hangzhou TianMuShan Pharmaceutical Enterprise Co's overall GF Score™ is 53/100 with 8 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 Hangzhou TianMuShan Pharmaceutical Enterprise Co (SHSE:600671), the current 3-Year ROIIC % is 47.66 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 Hangzhou TianMuShan Pharmaceutical Enterprise Co (SHSE:600671) Overvalued in 2026?
Based on GuruFocus' analysis, Hangzhou TianMuShan Pharmaceutical Enterprise Co stock appears to be overvalued.
The current stock price of ¥20.30 is trading 34.5% above its estimated GF Value™ of ¥15.09.
GuruFocus considers Hangzhou TianMuShan Pharmaceutical Enterprise Co to be Significantly Overvalued.
Key valuation signals for SHSE:600671:
3-Year ROIIC %: 47.66 (58% above median its 10-year median of 30.16)
GF Value™: ¥15.09 vs. price of ¥20.30 (34.5% above fair value)
Industry Position: 1220.2% above the Drug Manufacturers median (#158 of 946)
No single metric tells the full story. See the SHSE:600671 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hangzhou TianMuShan Pharmaceutical Enterprise Co Ltd is engaged in producing proprietary Chinese medicines, biopharmaceuticals, healthy foods, medical equipment, and other medicines in China.
53GF Score
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