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NSE:CHOLAFIN'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 1.73 Med: 2.35 Max: 2.74
Current: 2.6
During the past 13 years, Cholamandalam Investment and Finance Co's highest Return-on-Tangible-Asset was 2.74%. The lowest was 1.73%. And the median was 2.35%.
NSE:CHOLAFIN's Return-on-Tangible-Asset is ranked better than 59.05% of 547
companies
in the Credit Services industry
Industry Median: 1.98
vs NSE:CHOLAFIN: 2.60
Cholamandalam Investment and Finance Co (NSE:CHOLAFIN) Return-on-Tangible-Asset Explanation
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.
Cholamandalam Investment and Finance Co Return-on-Tangible-Asset Related Terms
Cholamandalam Investment and Finance Co Return-on-Tangible-Asset 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.
Cholamandalam Investment and Finance Co Return-on-Tangible-Asset Chart
Cholamandalam Investment and Finance Co Annual Data
NSE:CHOLAFIN vs V, MA, AXP: Return-on-Tangible-Asset Comparison
For the Credit Services subindustry, Cholamandalam Investment and Finance Co'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.
Cholamandalam Investment and Finance Co Return-on-Tangible-Asset vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Cholamandalam Investment and Finance Co's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Cholamandalam Investment and Finance Co'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 (Jun. 2026) net income data.
What does a Return-on-Tangible-Asset of 2.70% mean?
Cholamandalam Investment and Finance Co (NSE:CHOLAFIN) has a Return-on-Tangible-Asset of 2.70% as of Jun. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Cholamandalam Investment and Finance Co and its competitors. This is 15% above median its historical median of 2.35. Over the past decade, Cholamandalam Investment and Finance Co's Return-on-Tangible-Asset has ranged from 1.73 to 2.74. According to the industry distribution chart, Cholamandalam Investment and Finance Co ranks #224 out of 547 companies in the Credit Services industry, placing it in the top 41%.
Is Cholamandalam Investment and Finance Co's Return-on-Tangible-Asset too high?
Cholamandalam Investment and Finance Co's current Return-on-Tangible-Asset of 2.70% is 15% above median its 10-year median of 2.35. Over the past 10 years, this metric has ranged from a low of 1.73 to a high of 2.74. The Credit Services industry median Return-on-Tangible-Asset is 1.98. Cholamandalam Investment and Finance Co's value of 2.70% is 36.4% above this industry median. Based on the distribution chart, Cholamandalam Investment and Finance Co ranks #224 out of 547 companies in the Credit Services industry, which is above the industry midpoint. Overall, Cholamandalam Investment and Finance Co has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cholamandalam Investment and Finance Co's Return-on-Tangible-Asset compare to V and MA?
According to the Credit Services industry distribution chart, Cholamandalam Investment and Finance Co ranks #224 out of 547 companies for Return-on-Tangible-Asset. This puts Cholamandalam Investment and Finance Co in the upper half of its industry. The industry median Return-on-Tangible-Asset is 1.98. Cholamandalam Investment and Finance Co's value of 2.70% is 36.4% above this benchmark. Historically, Cholamandalam Investment and Finance Co's own Return-on-Tangible-Asset has ranged from 1.73 to 2.74 over the past decade. While the company's 10-year median is 2.35 vs. the industry median of 1.98, Cholamandalam Investment and Finance 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 Return-on-Tangible-Asset for a Credit Services company?
The median Return-on-Tangible-Asset among Credit Services companies is 1.98, based on 547 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. Cholamandalam Investment and Finance Co's current Return-on-Tangible-Asset of 2.70% is 36.4% 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 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 Cholamandalam Investment and Finance Co and its competitors. For the Credit Services industry, the median Return-on-Tangible-Asset is 1.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cholamandalam Investment and Finance Co's current Return-on-Tangible-Asset is 2.70%, which is 15% above median its own 10-year median of 2.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cholamandalam Investment and Finance Co stock overvalued right now?
Based on GuruFocus' analysis, Cholamandalam Investment and Finance Co (NSE:CHOLAFIN) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹2,161.01, compared to a current price of ₹1,917.60 — trading 11.3% below its estimated fair value. The current Return-on-Tangible-Asset is 2.70%, which is 15% above median its 10-year median of 2.35 and 36.4% above the Credit Services industry median of 1.98. Cholamandalam Investment and Finance Co's overall GF Score™ is 76/100 with 7 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 Cholamandalam Investment and Finance Co (NSE:CHOLAFIN), the current Return-on-Tangible-Asset is 2.70% as of Jun. 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 Cholamandalam Investment and Finance Co (NSE:CHOLAFIN) Overvalued in 2026?
Based on GuruFocus' analysis, Cholamandalam Investment and Finance Co stock appears to be undervalued.
The current stock price of ₹1,917.60 is trading 11.3% below its estimated GF Value™ of ₹2,161.01.
GuruFocus considers Cholamandalam Investment and Finance Co to be Modestly Undervalued.
Key valuation signals for NSE:CHOLAFIN:
Return-on-Tangible-Asset: 2.70% (15% above median its 10-year median of 2.35)
GF Value™: ₹2,161.01 vs. price of ₹1,917.60 (11.3% below fair value)
Industry Position: 36.4% above the Credit Services median (#224 of 547)
No single metric tells the full story. See the NSE:CHOLAFIN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cholamandalam Investment and Finance Co Ltd serves as the financial services arm of the Murugappa Group. Its subsidiaries include Cholamandalam Securities Limited (CSEC) and Cholamandalam Home Finance Limited (CHFL). The company's operating segments include; Vehicle finance loans its key revenue generating segment, which provides loans for the purchase of vehicles, tractors, and construction equipment; the Home Loans segment includes loans given for the acquisition of residential property; Loan against property includes loans to the customer against immovable property; and Other loans represents loans against shares and SME loans. The company operates solely in India.
76GF Score
Get the complete analysis for NSE:CHOLAFIN
Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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