ABM Knowledgeware (BOM:531161) Return-on-Tangible-Equity: 3.08% (As of Mar. 2026) — 66% Below Median

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BOM:531161 ABM Knowledgeware Ltd BOM:531161
72 GF Score
Price ₹199.95
GF Value ₹175.31
Valuation Modestly Overvalued
! 4 Warning Signs
View Full Analysis

What is ABM Knowledgeware Return-on-Tangible-Equity?

ABM Knowledgeware BOM:531161 +5.21% 72 Return-on-Tangible-Equity is 3.08% as of Mar. 2026, which is 66% below its 10-year median of 8.93. GuruFocus rates BOM:531161 with a GF Score™ of 72/100 and a GF Value™ of ₹175.31 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 2,483 Software companies, ABM Knowledgeware ranks worse than 60.29% 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. ABM Knowledgeware's annualized net income for the quarter that ended in Mar. 2026 was ₹71 Mil. ABM Knowledgeware's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹2,305 Mil. Therefore, ABM Knowledgeware's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 3.08%.

The historical rank and industry rank for ABM Knowledgeware's Return-on-Tangible-Equity or its related term are showing as below:

BOM:531161' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 4.17   Med: 8.93   Max: 17.37
Current: 4.17

During the past 13 years, ABM Knowledgeware's highest Return-on-Tangible-Equity was 17.37%. The lowest was 4.17%. And the median was 8.93%.

BOM:531161's Return-on-Tangible-Equity is ranked worse than
60.29% of 2483 companies
in the Software industry
Industry Median: 9.69 vs BOM:531161: 4.17

ABM Knowledgeware  (BOM:531161) 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.


ABM Knowledgeware Return-on-Tangible-Equity Related Terms


ABM Knowledgeware Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for ABM Knowledgeware'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.

ABM Knowledgeware Return-on-Tangible-Equity Chart

ABM Knowledgeware 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 7.88 6.73 7.01 6.63 4.17

ABM Knowledgeware 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 6.66 6.72 3.58 3.39 3.08

BOM:531161 vs QH, SHOP, UBER: Return-on-Tangible-Equity Comparison

For the Software - Application subindustry, ABM Knowledgeware'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.


ABM Knowledgeware Return-on-Tangible-Equity vs Software Industry

For the Software industry and Technology sector, ABM Knowledgeware's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where ABM Knowledgeware's Return-on-Tangible-Equity falls into.


BOM:531161
72GF Score
ABM Knowledgeware Ltd BOM:531161
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

ABM Knowledgeware Return-on-Tangible-Equity Calculation

ABM Knowledgeware'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 )
=94.482/( (2224.357+2305.341 )/ 2 )
=94.482/2264.849
=4.17 %

ABM Knowledgeware'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 )
=70.948/( (0+2305.341)/ 1 )
=70.948/2305.341
=3.08 %

* 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 3.08% mean?
ABM Knowledgeware (BOM:531161) has a Return-on-Tangible-Equity of 3.08% 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 ABM Knowledgeware and its competitors. This is 66% below median its historical median of 8.93. Over the past decade, ABM Knowledgeware's Return-on-Tangible-Equity has ranged from 4.17 to 17.37. According to the industry distribution chart, ABM Knowledgeware ranks #1497 out of 2483 companies in the Software industry, placing it in the top 60.3%.
Is ABM Knowledgeware's Return-on-Tangible-Equity too high?
ABM Knowledgeware's current Return-on-Tangible-Equity of 3.08% is 66% below median its 10-year median of 8.93. Over the past 10 years, this metric has ranged from a low of 4.17 to a high of 17.37. The Software industry median Return-on-Tangible-Equity is 9.69. ABM Knowledgeware's value of 3.08% is 68.2% below this industry median. Based on the distribution chart, ABM Knowledgeware ranks #1497 out of 2483 companies in the Software industry, which is below the industry midpoint. Overall, ABM Knowledgeware has a GF Score™ of 72/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does ABM Knowledgeware's Return-on-Tangible-Equity compare to QH and SHOP?
According to the Software industry distribution chart, ABM Knowledgeware ranks #1497 out of 2483 companies for Return-on-Tangible-Equity. This places ABM Knowledgeware in the lower half of its industry. The industry median Return-on-Tangible-Equity is 9.69. ABM Knowledgeware's value of 3.08% is 68.2% below this benchmark. Historically, ABM Knowledgeware's own Return-on-Tangible-Equity has ranged from 4.17 to 17.37 over the past decade. While the company's 10-year median is 8.93 vs. the industry median of 9.69, ABM Knowledgeware 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 Software company?
The median Return-on-Tangible-Equity among Software companies is 9.69, based on 2,483 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. ABM Knowledgeware's current Return-on-Tangible-Equity of 3.08% is 68.2% 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-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 ABM Knowledgeware and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 9.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ABM Knowledgeware's current Return-on-Tangible-Equity is 3.08%, which is 66% below median its own 10-year median of 8.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ABM Knowledgeware stock overvalued right now?
Based on GuruFocus' analysis, ABM Knowledgeware (BOM:531161) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹175.31, compared to a current price of ₹199.95 — trading 14.1% above its estimated fair value. The current Return-on-Tangible-Equity is 3.08%, which is 66% below median its 10-year median of 8.93 and 68.2% below the Software industry median of 9.69. ABM Knowledgeware's overall GF Score™ is 72/100 with 4 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 ABM Knowledgeware (BOM:531161), the current Return-on-Tangible-Equity is 3.08% 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 ABM Knowledgeware (BOM:531161) Overvalued in 2026?

Based on GuruFocus' analysis, ABM Knowledgeware stock appears to be overvalued. The current stock price of ₹199.95 is trading 14.1% above its estimated GF Value™ of ₹175.31. GuruFocus considers ABM Knowledgeware to be Modestly Overvalued.

Key valuation signals for BOM:531161:

  • Return-on-Tangible-Equity: 3.08% (66% below median its 10-year median of 8.93)
  • GF Value™: ₹175.31 vs. price of ₹199.95 (14.1% above fair value)
  • GF Score™: 72/100 with 4 warning signs
  • Industry Position: 68.2% below the Software median (#1497 of 2483)

No single metric tells the full story. See the BOM:531161 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


ABM Knowledgeware Business Description

Address Plot Number 268, Linking Road, ABM House, Bandra (West), Mumbai, MH, IND, 400050
ABM Knowledgeware Ltd is an information technology company. It is a software and services company engaged in computer programming, consultancy, and other related activities. The company also focuses on e-governance activities, information security, and technology-enabled applications. The project portfolio of the company includes Greenfield implementation, Brownfield Implementation, Transformation initiatives, Rollouts, Upgrades, AMS & ADM, and Cloud initiatives. The business operates in one business segment which is Software and Services. The company offers its services only to Indian customers.
72GF Score

Get the complete analysis for BOM:531161

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

₹199.95
Price
₹175.31
GF Value