Indian Hume Pipe Co (BOM:504741) Return-on-Tangible-Equity: 6.20% (As of Mar. 2026) — 48% Below Median

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BOM:504741 Indian Hume Pipe Co Ltd BOM:504741
64 GF Score
Price ₹393.25
GF Value ₹330.21
Valuation Modestly Overvalued
! 8 Warning Signs
View Full Analysis

What is Indian Hume Pipe Co Return-on-Tangible-Equity?

Indian Hume Pipe Co BOM:504741 +5.15% 64 Return-on-Tangible-Equity is 6.20% as of Mar. 2026, which is 48% below its 10-year median of 11.85. GuruFocus rates BOM:504741 with a GF Score™ of 64/100 and a GF Value™ of ₹330.21 (Modestly Overvalued). The stock has 8 warning signs investors should review. Among 1,710 Construction companies, Indian Hume Pipe Co ranks better than 55.61% 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. Indian Hume Pipe Co's annualized net income for the quarter that ended in Mar. 2026 was ₹919 Mil. Indian Hume Pipe Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹14,838 Mil. Therefore, Indian Hume Pipe Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 6.20%.

The historical rank and industry rank for Indian Hume Pipe Co's Return-on-Tangible-Equity or its related term are showing as below:

BOM:504741' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 7.18   Med: 11.85   Max: 50.61
Current: 9.94

During the past 13 years, Indian Hume Pipe Co's highest Return-on-Tangible-Equity was 50.61%. The lowest was 7.18%. And the median was 11.85%.

BOM:504741's Return-on-Tangible-Equity is ranked better than
55.61% of 1710 companies
in the Construction industry
Industry Median: 8.2 vs BOM:504741: 9.94

Indian Hume Pipe Co  (BOM:504741) Return-on-Tangible-Equity Explanation

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.


Indian Hume Pipe Co Return-on-Tangible-Equity Related Terms


Indian Hume Pipe Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Indian Hume Pipe Co'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.

Indian Hume Pipe Co Return-on-Tangible-Equity Chart

Indian Hume Pipe Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.23 8.28 10.19 50.61 9.87

Indian Hume Pipe Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 145.10 6.37 9.92 17.58 6.20

BOM:504741 vs PWR, FIX, EME: Return-on-Tangible-Equity Comparison

For the Engineering & Construction subindustry, Indian Hume Pipe Co'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.


Indian Hume Pipe Co Return-on-Tangible-Equity vs Construction Industry

For the Construction industry and Industrials sector, Indian Hume Pipe Co's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Indian Hume Pipe Co's Return-on-Tangible-Equity falls into.


BOM:504741
64GF Score
Indian Hume Pipe Co Ltd BOM:504741
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Indian Hume Pipe Co Return-on-Tangible-Equity Calculation

Indian Hume Pipe Co's annualized Return-on-Tangible-Equity for the fiscal year that ended in Mar. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=1411.106/( (13763.778+14837.514 )/ 2 )
=1411.106/14300.646
=9.87 %

Indian Hume Pipe Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=919.328/( (0+14837.514)/ 1 )
=919.328/14837.514
=6.20 %

* 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 6.20% mean?
Indian Hume Pipe Co (BOM:504741) has a Return-on-Tangible-Equity of 6.20% 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 Indian Hume Pipe Co and its competitors. This is 48% below median its historical median of 11.85. Over the past decade, Indian Hume Pipe Co's Return-on-Tangible-Equity has ranged from 7.18 to 50.61. According to the industry distribution chart, Indian Hume Pipe Co ranks #759 out of 1710 companies in the Construction industry, placing it in the top 44.4%.
Is Indian Hume Pipe Co's Return-on-Tangible-Equity too high?
Indian Hume Pipe Co's current Return-on-Tangible-Equity of 6.20% is 48% below median its 10-year median of 11.85. Over the past 10 years, this metric has ranged from a low of 7.18 to a high of 50.61. The Construction industry median Return-on-Tangible-Equity is 8.20. Indian Hume Pipe Co's value of 6.20% is 24.4% below this industry median. Based on the distribution chart, Indian Hume Pipe Co ranks #759 out of 1710 companies in the Construction industry, which is above the industry midpoint. Overall, Indian Hume Pipe Co has a GF Score™ of 64/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Indian Hume Pipe Co's Return-on-Tangible-Equity compare to PWR and FIX?
According to the Construction industry distribution chart, Indian Hume Pipe Co ranks #759 out of 1710 companies for Return-on-Tangible-Equity. This puts Indian Hume Pipe Co in the upper half of its industry. The industry median Return-on-Tangible-Equity is 8.20. Indian Hume Pipe Co's value of 6.20% is 24.4% below this benchmark. Historically, Indian Hume Pipe Co's own Return-on-Tangible-Equity has ranged from 7.18 to 50.61 over the past decade. While the company's 10-year median is 11.85 vs. the industry median of 8.20, Indian Hume Pipe Co has consistently been below 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 Construction company?
The median Return-on-Tangible-Equity among Construction companies is 8.20, based on 1,710 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. Indian Hume Pipe Co's current Return-on-Tangible-Equity of 6.20% is 24.4% 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-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 Indian Hume Pipe Co and its competitors. For the Construction industry, the median Return-on-Tangible-Equity is 8.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Indian Hume Pipe Co's current Return-on-Tangible-Equity is 6.20%, which is 48% below median its own 10-year median of 11.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Indian Hume Pipe Co stock overvalued right now?
Based on GuruFocus' analysis, Indian Hume Pipe Co (BOM:504741) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹330.21, compared to a current price of ₹393.25 — trading 19.1% above its estimated fair value. The current Return-on-Tangible-Equity is 6.20%, which is 48% below median its 10-year median of 11.85 and 24.4% below the Construction industry median of 8.20. Indian Hume Pipe Co's overall GF Score™ is 64/100 with 8 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 Indian Hume Pipe Co (BOM:504741), the current Return-on-Tangible-Equity is 6.20% 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 Indian Hume Pipe Co (BOM:504741) Overvalued in 2026?

Based on GuruFocus' analysis, Indian Hume Pipe Co stock appears to be overvalued. The current stock price of ₹393.25 is trading 19.1% above its estimated GF Value™ of ₹330.21. GuruFocus considers Indian Hume Pipe Co to be Modestly Overvalued.

Key valuation signals for BOM:504741:

  • Return-on-Tangible-Equity: 6.20% (48% below median its 10-year median of 11.85)
  • GF Value™: ₹330.21 vs. price of ₹393.25 (19.1% above fair value)
  • GF Score™: 64/100 with 8 warning signs
  • Industry Position: 24.4% below the Construction median (#759 of 1710)

No single metric tells the full story. See the BOM:504741 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Indian Hume Pipe Co Business Description

Other Exchanges INDIANHUME:India
Address 5, Walchand Hirachand Road, Construction House, 2nd Floor, Ballard Estate, Mumbai, MH, IND, 400 001
Indian Hume Pipe Co Ltd manufactures and markets Hume Pipes and allied products. The company is engaged in the business of manufacturing, laying, and jointing pipelines. The company also undertakes infrastructure development programs by way of execution on a turnkey basis for the combined water supply projects. The company also manufactures and supplies Concrete Railway Sleepers to Indian Railways. The segments of the company are Construction and Land Development. The company generates maximum revenue from the Construction segment.
64GF Score

Get the complete analysis for BOM:504741

Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹393.25
Price
₹330.21
GF Value