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Godrej IndustriesBOM:500164 +0.88%72 Return-on-Tangible-Equity is 17.89% as of Mar. 2026, which is 43% above its 10-year median of 12.55. GuruFocus rates BOM:500164 with a GF Score™ of 72/100 and a GF Value™ of ₹1,162.68 (Modestly Overvalued). The stock has 10 warning signs investors should review. Among 541 Conglomerates companies, Godrej Industries ranks better than 68.76% on this metric.
Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Godrej Industries's annualized net income for the quarter that ended in Mar. 2026 was ₹17,771 Mil. Godrej Industries's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹99,358 Mil. Therefore, Godrej Industries's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 17.89%.
The historical rank and industry rank for Godrej Industries's Return-on-Tangible-Equity or its related term are showing as below:
BOM:500164'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 0.87 Med: 12.55 Max: 18.26
Current: 13.24
During the past 13 years, Godrej Industries's highest Return-on-Tangible-Equity was 18.26%. The lowest was 0.87%. And the median was 12.55%.
BOM:500164's Return-on-Tangible-Equity is ranked better than 68.76% of 541
companies
in the Conglomerates industry
Industry Median: 7.49
vs BOM:500164: 13.24
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Godrej Industries Return-on-Tangible-Equity Related Terms
Godrej Industries Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Godrej Industries's Return-on-Tangible-Equity 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.
BOM:500164 vs MMM, HON: Return-on-Tangible-Equity Comparison
For the Conglomerates subindustry, Godrej Industries's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.
Godrej Industries Return-on-Tangible-Equity vs Conglomerates Industry
For the Conglomerates industry and Industrials sector, Godrej Industries's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Godrej Industries's Return-on-Tangible-Equity 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-Equity, the net income of the last fiscal year and the average total shareholder tangible equity 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.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 17.89% mean?
Godrej Industries (BOM:500164) has a Return-on-Tangible-Equity of 17.89% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Godrej Industries and its competitors. This is 43% above median its historical median of 12.55. Over the past decade, Godrej Industries' Return-on-Tangible-Equity has ranged from 0.87 to 18.26. According to the industry distribution chart, Godrej Industries ranks #169 out of 541 companies in the Conglomerates industry, placing it in the top 31.2%.
Is Godrej Industries' Return-on-Tangible-Equity too high?
Godrej Industries' current Return-on-Tangible-Equity of 17.89% is 43% above median its 10-year median of 12.55. Over the past 10 years, this metric has ranged from a low of 0.87 to a high of 18.26. The Conglomerates industry median Return-on-Tangible-Equity is 7.49. Godrej Industries' value of 17.89% is 138.9% above this industry median. Based on the distribution chart, Godrej Industries ranks #169 out of 541 companies in the Conglomerates industry, which is above the industry midpoint. Overall, Godrej Industries has a GF Score™ of 72/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Godrej Industries' Return-on-Tangible-Equity compare to MMM and HON?
According to the Conglomerates industry distribution chart, Godrej Industries ranks #169 out of 541 companies for Return-on-Tangible-Equity. This puts Godrej Industries in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.49. Godrej Industries' value of 17.89% is 138.9% above this benchmark. Historically, Godrej Industries' own Return-on-Tangible-Equity has ranged from 0.87 to 18.26 over the past decade. While the company's 10-year median is 12.55 vs. the industry median of 7.49, Godrej Industries 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-Equity for a Conglomerates company?
The median Return-on-Tangible-Equity among Conglomerates companies is 7.49, based on 541 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Godrej Industries's current Return-on-Tangible-Equity of 17.89% is 138.9% 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-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Godrej Industries and its competitors. For the Conglomerates industry, the median Return-on-Tangible-Equity is 7.49 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Godrej Industries's current Return-on-Tangible-Equity is 17.89%, which is 43% above median its own 10-year median of 12.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Godrej Industries stock overvalued right now?
Based on GuruFocus' analysis, Godrej Industries (BOM:500164) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹1,162.68, compared to a current price of ₹1,322.45 — trading 13.7% above its estimated fair value. The current Return-on-Tangible-Equity is 17.89%, which is 43% above median its 10-year median of 12.55 and 138.9% above the Conglomerates industry median of 7.49. Godrej Industries' overall GF Score™ is 72/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Godrej Industries (BOM:500164), the current Return-on-Tangible-Equity is 17.89% 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 Godrej Industries (BOM:500164) Overvalued in 2026?
Based on GuruFocus' analysis, Godrej Industries stock appears to be overvalued.
The current stock price of ₹1,322.45 is trading 13.7% above its estimated GF Value™ of ₹1,162.68.
GuruFocus considers Godrej Industries to be Modestly Overvalued.
Key valuation signals for BOM:500164:
Return-on-Tangible-Equity: 17.89% (43% above median its 10-year median of 12.55)
GF Value™: ₹1,162.68 vs. price of ₹1,322.45 (13.7% above fair value)
Industry Position: 138.9% above the Conglomerates median (#169 of 541)
No single metric tells the full story. See the BOM:500164 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Godrej Industries Ltd is an India-based conglomerate with activities in agriculture, chemicals, real estate, consumer goods, and other industries. The firm has eight segments. The estate and property development segment develops, leases, and sells residential and commercial properties. The animal feed segment sells animal feed compounds for cattle, poultry, shrimp, and fish. The vegetable oils segment produces refined vegetable oils. The chemicals segment sells compounds used to make soaps, detergents, and other consumer products. The dairy segment sells milk and milk-based products. The crop protection segment provides pesticides and growth compounds. The two smallest segments account for finance and investments as well as hospitality. The majority of its revenue comes from India.
72GF Score
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