Ramco Systems (NSE:RAMCOSYS) Earnings Yield %: 1.57% (As of Jun. 26, 2026)


NSE:RAMCOSYS Ramco Systems Ltd NSE:RAMCOSYS
63 GF Score
Price ₹709.80
GF Value ₹458.11
Valuation Significantly Overvalued
! 1 Warning Sign
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What is Ramco Systems Earnings Yield %?

Ramco Systems NSE:RAMCOSYS +5.34% 63 Earnings Yield % is 1.57% as of Jun. 26, 2026. GuruFocus rates NSE:RAMCOSYS with a GF Score™ of 63/100 and a GF Value™ of ₹458.11 (Significantly Overvalued). The stock has 1 warning sign investors should review.

The earnings yield is an indication of how much return shareholders' investment in the company earned over the past 12 months. The higher the earnings yield is, the better.

As of today (2026-06-26), the stock price of Ramco Systems is ₹709.80. Ramco Systems's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 was ₹11.16. Therefore, Ramco Systems's earnings yield of today is 1.57%.

The earnings yield does not consider the growth of the business. A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. Ramco Systems's Forward Rate of Return (Yacktman) % for the quarter that ended in Mar. 2026 was 0.00%. The Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Ramco Systems  (NSE:RAMCOSYS) Earnings Yield % Explanation

If the P/E ratio is an indication of how many years it takes for the company to earn back the stock price shareholders pay to buy the shares, the earnings yield is an indication of how much return shareholders' investment in the company earned over the past 12 months. The higher the earnings yield is, the better.

If a company loses money, the earnings yield is negative. This gives a more straightforward indication that the company is losing money. This is an advantage of using earnings yield instead of the P/E ratio in valuation. For valuation purposes, the P/B Ratio and the P/S Ratio should be used for companies that are losing money.

Like the P/E ratio, the earnings yield can be used to compare investments in different industries. It can even be used to compare the attractiveness of different asset classes such as bonds and cash. Of course, the earnings yield should not be the only factor in deciding which asset classes to invest.

Also similar to the P/E ratio, the earnings yield does not consider the growth of the business. A growing company with the same earnings yield should be more attractive than a company that has the same earnings yield but does not grow.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %.

Be Aware

Just like the P/E Ratio, non-recurring items such as selling part of the business, selling a previous investment, etc., can affect earnings yield dramatically. The earning yield is also a poor indication for cyclical companies. When a cyclical stock has a high earnings yield it is usually at the peak of its cycle.


Ramco Systems Earnings Yield % Related Terms

NSE:RAMCOSYS
63GF Score
Ramco Systems Ltd NSE:RAMCOSYS
Earnings Yield % is just one metric. See GF Score™, valuation, warning signs, and more.
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Ramco Systems Earnings Yield % Calculation

Earnings yield is the reciprocal of the P/E Ratio.

Ramco Systems's Earnings Yield for today is calculated as

Earnings Yield=Earnings per Share (Diluted) (TTM)/Share Price
=11.160/709.80
=1.57 %

Ramco Systems's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was ₹11.160 Mil.

* 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.

It can also be calculated from the numbers for the whole company:

Earnings Yield=Net Income /Market Cap

The earnings in the calculation is the Trailing Twelve Months earnings.

Frequently Asked Questions Learn more about Earnings Yield % →
What does a Earnings Yield % of 1.57% mean?
Ramco Systems (NSE:RAMCOSYS) has a Earnings Yield % of 1.57% as of Jun. 26, 2026. Earnings Yield equals per-share earnings divided by share price. It is the inverse of the price-earnings ratio. View historical data on Ramco Systems and its competitors.
Is Ramco Systems' Earnings Yield % too high?
Ramco Systems' current Earnings Yield % is 1.57%. Overall, Ramco Systems has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ramco Systems' Earnings Yield % compare to CRM and SHOP?
Ramco Systems' Earnings Yield % of 1.57% can be compared against companies in the Software industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Earnings Yield % for a Software company?
A good Earnings Yield % depends on the Software industry context. However, Earnings Yield % 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 Earnings Yield % mean?
A high Earnings Yield % can signal that a stock is expensive relative to its fundamentals. Earnings Yield equals per-share earnings divided by share price. It is the inverse of the price-earnings ratio. View historical data on Ramco Systems and its competitors. Ramco Systems's current Earnings Yield % is 1.57%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ramco Systems stock overvalued right now?
Based on GuruFocus' analysis, Ramco Systems (NSE:RAMCOSYS) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹458.11, compared to a current price of ₹709.80 — trading 54.9% above its estimated fair value. The current Earnings Yield % is 1.57%. Ramco Systems' overall GF Score™ is 63/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Earnings Yield % calculated?
Earnings Yield % is calculated from a company's financial statements. For Ramco Systems (NSE:RAMCOSYS), the current Earnings Yield % is 1.57% as of Jun. 26, 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 Ramco Systems (NSE:RAMCOSYS) Overvalued in 2026?

Based on GuruFocus' analysis, Ramco Systems stock appears to be overvalued. The current stock price of ₹709.80 is trading 54.9% above its estimated GF Value™ of ₹458.11. GuruFocus considers Ramco Systems to be Significantly Overvalued.

Key valuation signals for NSE:RAMCOSYS:

  • Earnings Yield %: 1.57%
  • GF Value™: ₹458.11 vs. price of ₹709.80 (54.9% above fair value)
  • GF Score™: 63/100 with 1 warning sign

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


Ramco Systems Business Description

Other Exchanges 532370:India
Address No. 64, Sardar Patel Road, Taramani, Chennai, TN, IND, 600 113
Ramco Systems Ltd develops software and software products for human capital management, payroll, enterprise resource management, monitoring and evaluation, and maintenance, repair, and overhaul providers in the Aviation industry. The company develops software through its enterprise application assembly and delivery platform Ramco VirtualWorks for transaction systems and Ramco Decision Works for analytics/reporting. The product portfolio of the company includes aviation, aerospace & defense management software, enterprise resource planning software, and payroll & logistics software on the cloud. It as only one operating segment which is Software Solutions & Services.
63GF Score

Get the complete analysis for NSE:RAMCOSYS

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

₹709.80
Price
₹458.11
GF Value