Megri Soft (BOM:539012) Return-on-Tangible-Equity: 4.53% (As of Mar. 2026) — 72% Above Median

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BOM:539012 Megri Soft Ltd BOM:539012
76 GF Score
Price ₹82.37
GF Value ₹108.26
Valuation Modestly Undervalued
! 2 Warning Signs
View Full Analysis

What is Megri Soft Return-on-Tangible-Equity?

Megri Soft BOM:539012 +7.53% 76 Return-on-Tangible-Equity is 4.53% as of Mar. 2026, which is 72% above its 10-year median of 2.63. GuruFocus rates BOM:539012 with a GF Score™ of 76/100 and a GF Value™ of ₹108.26 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 2,486 Software companies, Megri Soft ranks worse than 61.75% 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. Megri Soft's annualized net income for the quarter that ended in Mar. 2026 was ₹9.28 Mil. Megri Soft's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹204.70 Mil. Therefore, Megri Soft's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 4.53%.

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

BOM:539012' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 2.09   Med: 2.63   Max: 3.53
Current: 3.02

During the past 13 years, Megri Soft's highest Return-on-Tangible-Equity was 3.53%. The lowest was 2.09%. And the median was 2.63%.

BOM:539012's Return-on-Tangible-Equity is ranked worse than
61.75% of 2486 companies
in the Software industry
Industry Median: 9.065 vs BOM:539012: 3.02

Megri Soft  (BOM:539012) 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.


Megri Soft Return-on-Tangible-Equity Related Terms


Megri Soft Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Megri Soft'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.

Megri Soft Return-on-Tangible-Equity Chart

Megri Soft 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 2.97 2.74 3.53 2.79 3.03

Megri Soft 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 2.87 2.82 2.95 1.76 4.53

BOM:539012 vs IBM, ACN, FISV: Return-on-Tangible-Equity Comparison

For the Information Technology Services subindustry, Megri Soft'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.


Megri Soft Return-on-Tangible-Equity vs Software Industry

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

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


BOM:539012
76GF Score
Megri Soft Ltd BOM:539012
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Megri Soft Return-on-Tangible-Equity Calculation

Megri Soft'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 )
=6.155/( (201.938+204.695 )/ 2 )
=6.155/203.3165
=3.03 %

Megri Soft'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 )
=9.28/( (0+204.695)/ 1 )
=9.28/204.695
=4.53 %

* 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 4.53% mean?
Megri Soft (BOM:539012) has a Return-on-Tangible-Equity of 4.53% 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 Megri Soft and its competitors. This is 72% above median its historical median of 2.63. Over the past decade, Megri Soft's Return-on-Tangible-Equity has ranged from 2.09 to 3.53. According to the industry distribution chart, Megri Soft ranks #1535 out of 2486 companies in the Software industry, placing it in the top 61.7%.
Is Megri Soft's Return-on-Tangible-Equity too high?
Megri Soft's current Return-on-Tangible-Equity of 4.53% is 72% above median its 10-year median of 2.63. Over the past 10 years, this metric has ranged from a low of 2.09 to a high of 3.53. The Software industry median Return-on-Tangible-Equity is 9.07. Megri Soft's value of 4.53% is 50% below this industry median. Based on the distribution chart, Megri Soft ranks #1535 out of 2486 companies in the Software industry, which is below the industry midpoint. Overall, Megri Soft has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Megri Soft's Return-on-Tangible-Equity compare to IBM and ACN?
According to the Software industry distribution chart, Megri Soft ranks #1535 out of 2486 companies for Return-on-Tangible-Equity. This places Megri Soft in the lower half of its industry. The industry median Return-on-Tangible-Equity is 9.07. Megri Soft's value of 4.53% is 50% below this benchmark. Historically, Megri Soft's own Return-on-Tangible-Equity has ranged from 2.09 to 3.53 over the past decade. While the company's 10-year median is 2.63 vs. the industry median of 9.07, Megri Soft 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 9.07, based on 2,486 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. Megri Soft's current Return-on-Tangible-Equity of 4.53% is 50% 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 Megri Soft and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 9.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Megri Soft's current Return-on-Tangible-Equity is 4.53%, which is 72% above median its own 10-year median of 2.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Megri Soft stock overvalued right now?
Based on GuruFocus' analysis, Megri Soft (BOM:539012) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹108.26, compared to a current price of ₹82.37 — trading 23.9% below its estimated fair value. The current Return-on-Tangible-Equity is 4.53%, which is 72% above median its 10-year median of 2.63 and 50% below the Software industry median of 9.07. Megri Soft's overall GF Score™ is 76/100 with 2 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 Megri Soft (BOM:539012), the current Return-on-Tangible-Equity is 4.53% 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 Megri Soft (BOM:539012) Overvalued in 2026?

Based on GuruFocus' analysis, Megri Soft stock appears to be undervalued. The current stock price of ₹82.37 is trading 23.9% below its estimated GF Value™ of ₹108.26. GuruFocus considers Megri Soft to be Modestly Undervalued.

Key valuation signals for BOM:539012:

  • Return-on-Tangible-Equity: 4.53% (72% above median its 10-year median of 2.63)
  • GF Value™: ₹108.26 vs. price of ₹82.37 (23.9% below fair value)
  • GF Score™: 76/100 with 2 warning signs
  • Industry Position: 50% below the Software median (#1535 of 2486)

No single metric tells the full story. See the BOM:539012 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Megri Soft Business Description

Address S.C.O. 80, Sector 47-D, Chandigarh, PB, IND, 160047
Megri Soft Ltd is an India-based company that provides web products and digital solutions, catering to the ever-evolving demands of the digital landscape. Its portfolio encompasses cutting-edge services for iPhone and Android platforms, cloud applications, AI models, AI applications, CMS development, domain investments, and paid search advertising. The group offers web design, hosting, development, programming, web software, and the creation of robust mobile and web applications. Furthermore, its expertise extends to SEO, PPC, social media management, and comprehensive internet marketing outsourcing services. It operates in the IT/ITES segment. The company conducts business in domestic and international markets, with the majority of its revenue generated from the export of IT services.
76GF Score

Get the complete analysis for BOM:539012

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

₹82.37
Price
₹108.26
GF Value