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Vardhman PolytexBOM:514175 -2.18%45 Return-on-Tangible-Asset is 1.25% as of Mar. 2026. GuruFocus rates BOM:514175 with a GF Score™ of 45/100 and a GF Value™ of ₹4.93 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 1,064 Manufacturing - Apparel & Accessories companies, Vardhman Polytex ranks better than 55.08% on this metric.
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Vardhman Polytex's annualizedNet Income for the quarter that ended in Mar. 2026 was ₹35 Mil. Vardhman Polytex's average total tangible assets for the quarter that ended in Mar. 2026 was ₹2,831 Mil. Therefore, Vardhman Polytex's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 1.25%.
The historical rank and industry rank for Vardhman Polytex's Return-on-Tangible-Asset or its related term are showing as below:
BOM:514175'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -29.5 Med: -5 Max: 32
Current: 2.73
During the past 13 years, Vardhman Polytex's highest Return-on-Tangible-Asset was 32.00%. The lowest was -29.50%. And the median was -5.00%.
BOM:514175's Return-on-Tangible-Asset is ranked better than 55.08% of 1064
companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 2.2
vs BOM:514175: 2.73
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
Vardhman Polytex Return-on-Tangible-Asset Related Terms
Vardhman Polytex Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Vardhman Polytex's Return-on-Tangible-Asset 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.
For the Textile Manufacturing subindustry, Vardhman Polytex's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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.
Vardhman Polytex Return-on-Tangible-Asset vs Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Vardhman Polytex's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Vardhman Polytex's Return-on-Tangible-Asset falls into.
* 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.
In the calculation of annual Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 1.25% mean?
Vardhman Polytex (BOM:514175) has a Return-on-Tangible-Asset of 1.25% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Vardhman Polytex and its competitors. According to the industry distribution chart, Vardhman Polytex ranks #478 out of 1064 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 44.9%.
Is Vardhman Polytex's Return-on-Tangible-Asset too high?
Vardhman Polytex's current Return-on-Tangible-Asset is 1.25%. The Manufacturing - Apparel & Accessories industry median Return-on-Tangible-Asset is 2.20. Vardhman Polytex's value of 1.25% is 43.2% below this industry median. Based on the distribution chart, Vardhman Polytex ranks #478 out of 1064 companies in the Manufacturing - Apparel & Accessories industry, which is above the industry midpoint. Overall, Vardhman Polytex has a GF Score™ of 45/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Vardhman Polytex's Return-on-Tangible-Asset compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Vardhman Polytex ranks #478 out of 1064 companies for Return-on-Tangible-Asset. This puts Vardhman Polytex in the upper half of its industry. The industry median Return-on-Tangible-Asset is 2.20. Vardhman Polytex's value of 1.25% is 43.2% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Asset for a Manufacturing - Apparel & Accessories company?
The median Return-on-Tangible-Asset among Manufacturing - Apparel & Accessories companies is 2.20, based on 1,064 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Vardhman Polytex's current Return-on-Tangible-Asset of 1.25% is 43.2% below 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 Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Vardhman Polytex and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Return-on-Tangible-Asset is 2.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Vardhman Polytex's current Return-on-Tangible-Asset is 1.25%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vardhman Polytex stock overvalued right now?
Based on GuruFocus' analysis, Vardhman Polytex (BOM:514175) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹4.93, compared to a current price of ₹6.28 — trading 27.4% above its estimated fair value. The current Return-on-Tangible-Asset is 1.25% and 43.2% below the Manufacturing - Apparel & Accessories industry median of 2.20. Vardhman Polytex's overall GF Score™ is 45/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For Vardhman Polytex (BOM:514175), the current Return-on-Tangible-Asset is 1.25% as of Mar. 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 Vardhman Polytex (BOM:514175) Overvalued in 2026?
Based on GuruFocus' analysis, Vardhman Polytex stock appears to be overvalued.
The current stock price of ₹6.28 is trading 27.4% above its estimated GF Value™ of ₹4.93.
GuruFocus considers Vardhman Polytex to be Modestly Overvalued.
Key valuation signals for BOM:514175:
Return-on-Tangible-Asset: 1.25%
GF Value™: ₹4.93 vs. price of ₹6.28 (27.4% above fair value)
Industry Position: 43.2% below the Manufacturing - Apparel & Accessories median (#478 of 1064)
No single metric tells the full story. See the BOM:514175 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Vardhman Polytex Ltd is an Indian company operating in the Textile industry. The company is engaged in the manufacturing and export of cotton fabric and branded yarn. It is also engaged in the Real Estate business. It has production facilities located in Bathinda, Ludhiana, and Nalagarh in India. The Company's principal activity is the manufacturing of yarn & garments. Its product range includes yarns, fabrics, and garments including compact yarns, Organic Cotton Yarns, Dyed Yarns, polo t-shirts, round neck t-shirts, hoodies, and sweatshirts for men, women, and kids. It generates the majority of the revenue from the Textile Business. Geographically it covers the Indian and International Market.
45GF Score
Get the complete analysis for BOM:514175
Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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