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Chugai Pharmaceutical Co Ltd
OTC:CHGCY

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Chugai Pharmaceutical Co Ltd
OTC:CHGCY
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Price: 28.9 USD -1.3% Market Closed
Market Cap: $95.1B

ROCE

30.5%
Current
Declining
by 3.7%
vs 3-y average of 34.1%

Return on Capital Employed (ROCE) measures how efficiently a company uses its capital to generate profit. It shows how much net income is earned for each dollar of capital employed.

ROCE
30.5%
=
EBIT
¥598.8B
/
Avg Capital Employed
¥2T

Return on Capital Employed (ROCE) measures how efficiently a company uses its capital to generate profit. It shows how much net income is earned for each dollar of capital employed.

ROCE
30.5%
=
EBIT
$598.8B
/
Avg Capital Employed
¥2T

Peer Comparison

Country Company Market Cap ROCE
JP
Chugai Pharmaceutical Co Ltd
TSE:4519
14.4T JPY
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US
Eli Lilly and Co
NYSE:LLY
883.9B USD
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US
Johnson & Johnson
NYSE:JNJ
585.2B USD
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UK
AstraZeneca PLC
LSE:AZN
237.5B GBP
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CH
Roche Holding AG
SIX:ROG
248.4B CHF
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US
Merck & Co Inc
NYSE:MRK
299.1B USD
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CH
Novartis AG
SIX:NOVN
236.4B CHF
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IE
Endo International PLC
LSE:0Y5F
237.1B USD
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DK
Novo Nordisk A/S
CSE:NOVO B
1.1T DKK
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US
Pfizer Inc
NYSE:PFE
161B USD
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US
Bristol-Myers Squibb Co
NYSE:BMY
120B USD
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Market Distribution

Higher than 95% of companies in Japan
Percentile
95th
Based on 6 741 companies
95th percentile
30.5%
Low
-21 367.5% — 4.9%
Typical Range
4.9% — 11.9%
High
11.9% — 11 899.6%
Distribution Statistics
Japan
Min -21 367.5%
30th Percentile 4.9%
Median 7.8%
70th Percentile 11.9%
Max 11 899.6%

Chugai Pharmaceutical Co Ltd
Glance View

Chugai Pharmaceutical Co., Ltd., a pivotal player in the pharmaceutical industry, finds its roots deeply intertwined with innovations in biotechnology. Established in Tokyo, Chugai has carved out a niche by focusing on the development and distribution of prescription pharmaceuticals tailored to address some of the most challenging medical conditions. The company's collaboration with Roche, a global healthcare leader, has strategically positioned it within the Roche Group, allowing access to an expansive trove of research and development resources. This partnership amplifies Chugai's innovative efforts, particularly in biologics and oncology, where they develop antibodies and therapies that have been instrumental in advancing clinical treatments worldwide. The synergy of Chugai's science-driven approach, coupled with Roche's global reach, has fostered a dynamic research environment that continues to push the boundaries of medical treatment possibilities. Revenue streams for Chugai are primarily anchored in the research, development, and subsequent commercialization of novel pharmaceuticals. The company gains its financial strength through successful product launches, sustained sales of flagship products, and collaborative research agreements. Chugai's extensive pipeline, particularly in the fields of oncology, immunology, and renal diseases, reflects a strategic emphasis on addressing unmet medical needs, with a considerable portion of their earnings reinvested into further research. Additionally, strategically negotiated licensing agreements allow Chugai to bolster its financial health by sharing its innovations with other industry players, maximizing distribution channels while ensuring a steady cash influx. Through this intricate balance of innovation, strategic partnerships, and a robust commercial network, Chugai not only thrives within the competitive pharmaceutical landscape but also contributes significantly to the global healthcare ecosystem.

CHGCY Intrinsic Value
14.01 USD
Overvaluation 52%
Intrinsic Value
Price $28.9
What is Return on Capital Employed?
Return on Capital Employed (ROCE) measures how efficiently a company uses its capital to generate profit. It shows how much net income is earned for each dollar of capital employed.
How is ROCE calculated?

ROCE is calculated by dividing the EBIT by the Avg Capital Employed.

ROCE
30.5%
=
EBIT
¥598.8B
/
Avg Capital Employed
¥2T
What is Chugai Pharmaceutical Co Ltd's current ROCE?

The current ROCE for Chugai Pharmaceutical Co Ltd is 30.5%, which is below its 3-year median of 34.1%.

How has ROCE changed over time?

Over the last 3 years, Chugai Pharmaceutical Co Ltd’s ROCE has decreased from 40.2% to 30.5%. During this period, it reached a low of 28.3% on Mar 31, 2024 and a high of 54.2% on Mar 31, 2023.

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