Garden Reach Shipbuilders & Engineers (BOM:542011) Return-on-Tangible-Equity: 30.08% (As of Dec. 2025) — 93% Above Median

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BOM:542011 Garden Reach Shipbuilders & Engineers Ltd BOM:542011
92 GF Score
Price ₹2,592.70
GF Value ₹2,716.36
Valuation Fairly Valued
! 2 Warning Signs
View Full Analysis

What is Garden Reach Shipbuilders & Engineers Return-on-Tangible-Equity?

Garden Reach Shipbuilders & Engineers BOM:542011 -1.06% 92 Return-on-Tangible-Equity is 30.08% as of Dec. 2025, which is 93% above its 10-year median of 15.61. GuruFocus rates BOM:542011 with a GF Score™ of 92/100 and a GF Value™ of ₹2,716.36 (Fairly Valued). The stock has 2 warning signs investors should review. Among 335 Aerospace & Defense companies, Garden Reach Shipbuilders & Engineers ranks better than 80.9% 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. Garden Reach Shipbuilders & Engineers's annualized net income for the quarter that ended in Dec. 2025 was ₹6,831 Mil. Garden Reach Shipbuilders & Engineers's average shareholder tangible equity for the quarter that ended in Dec. 2025 was ₹22,707 Mil. Therefore, Garden Reach Shipbuilders & Engineers's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 30.08%.

The historical rank and industry rank for Garden Reach Shipbuilders & Engineers's Return-on-Tangible-Equity or its related term are showing as below:

BOM:542011' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.04   Med: 15.61   Max: 33.6
Current: 33.6

During the past 13 years, Garden Reach Shipbuilders & Engineers's highest Return-on-Tangible-Equity was 33.60%. The lowest was 1.04%. And the median was 15.61%.

BOM:542011's Return-on-Tangible-Equity is ranked better than
80.9% of 335 companies
in the Aerospace & Defense industry
Industry Median: 8.1 vs BOM:542011: 33.60

Garden Reach Shipbuilders & Engineers  (BOM:542011) 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.


Garden Reach Shipbuilders & Engineers Return-on-Tangible-Equity Related Terms


Garden Reach Shipbuilders & Engineers Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Garden Reach Shipbuilders & Engineers'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.

Garden Reach Shipbuilders & Engineers Return-on-Tangible-Equity Chart

Garden Reach Shipbuilders & Engineers Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.16 15.90 17.18 23.37 28.44

Garden Reach Shipbuilders & Engineers Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
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 21.53 47.50 23.37 27.09 30.08

BOM:542011 vs SPCX, GE, RTX: Return-on-Tangible-Equity Comparison

For the Aerospace & Defense subindustry, Garden Reach Shipbuilders & Engineers'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.


Garden Reach Shipbuilders & Engineers Return-on-Tangible-Equity vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Garden Reach Shipbuilders & Engineers's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Garden Reach Shipbuilders & Engineers's Return-on-Tangible-Equity falls into.


BOM:542011
92GF Score
Garden Reach Shipbuilders & Engineers Ltd BOM:542011
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Garden Reach Shipbuilders & Engineers Return-on-Tangible-Equity Calculation

Garden Reach Shipbuilders & Engineers's annualized Return-on-Tangible-Equity for the fiscal year that ended in Mar. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=5274.038/( (16527.078+20567.83 )/ 2 )
=5274.038/18547.454
=28.44 %

Garden Reach Shipbuilders & Engineers's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2025 )  (Q: Sep. 2025 )(Q: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Sep. 2025 )(Q: Dec. 2025 )
=6830.908/( (22706.768+0)/ 1 )
=6830.908/22706.768
=30.08 %

* 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 (Dec. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 30.08% mean?
Garden Reach Shipbuilders & Engineers (BOM:542011) has a Return-on-Tangible-Equity of 30.08% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Garden Reach Shipbuilders & Engineers and its competitors. This is 93% above median its historical median of 15.61. Over the past decade, Garden Reach Shipbuilders & Engineers' Return-on-Tangible-Equity has ranged from 1.04 to 33.60. According to the industry distribution chart, Garden Reach Shipbuilders & Engineers ranks #64 out of 335 companies in the Aerospace & Defense industry, placing it in the top 19.1%.
Is Garden Reach Shipbuilders & Engineers' Return-on-Tangible-Equity too high?
Garden Reach Shipbuilders & Engineers' current Return-on-Tangible-Equity of 30.08% is 93% above median its 10-year median of 15.61. Over the past 10 years, this metric has ranged from a low of 1.04 to a high of 33.60. The Aerospace & Defense industry median Return-on-Tangible-Equity is 8.10. Garden Reach Shipbuilders & Engineers' value of 30.08% is 271.4% above this industry median. Based on the distribution chart, Garden Reach Shipbuilders & Engineers ranks #64 out of 335 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, Garden Reach Shipbuilders & Engineers has a GF Score™ of 92/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Garden Reach Shipbuilders & Engineers' Return-on-Tangible-Equity compare to SPCX and GE?
According to the Aerospace & Defense industry distribution chart, Garden Reach Shipbuilders & Engineers ranks #64 out of 335 companies for Return-on-Tangible-Equity. This places Garden Reach Shipbuilders & Engineers in the top 19% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 8.10. Garden Reach Shipbuilders & Engineers' value of 30.08% is 271.4% above this benchmark. Historically, Garden Reach Shipbuilders & Engineers' own Return-on-Tangible-Equity has ranged from 1.04 to 33.60 over the past decade. While the company's 10-year median is 15.61 vs. the industry median of 8.10, Garden Reach Shipbuilders & Engineers 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 an Aerospace & Defense company?
The median Return-on-Tangible-Equity among Aerospace & Defense companies is 8.10, based on 335 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. Garden Reach Shipbuilders & Engineers's current Return-on-Tangible-Equity of 30.08% is 271.4% 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-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 Garden Reach Shipbuilders & Engineers and its competitors. For the Aerospace & Defense industry, the median Return-on-Tangible-Equity is 8.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Garden Reach Shipbuilders & Engineers's current Return-on-Tangible-Equity is 30.08%, which is 93% above median its own 10-year median of 15.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Garden Reach Shipbuilders & Engineers stock overvalued right now?
Based on GuruFocus' analysis, Garden Reach Shipbuilders & Engineers (BOM:542011) is currently considered Fairly Valued. The stock's GF Value™ is ₹2,716.36, compared to a current price of ₹2,592.70 — trading 4.6% below its estimated fair value. The current Return-on-Tangible-Equity is 30.08%, which is 93% above median its 10-year median of 15.61 and 271.4% above the Aerospace & Defense industry median of 8.10. Garden Reach Shipbuilders & Engineers' overall GF Score™ is 92/100 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 Garden Reach Shipbuilders & Engineers (BOM:542011), the current Return-on-Tangible-Equity is 30.08% as of Dec. 2025. 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 Garden Reach Shipbuilders & Engineers (BOM:542011) Overvalued in 2026?

Based on GuruFocus' analysis, Garden Reach Shipbuilders & Engineers stock appears to be undervalued. The current stock price of ₹2,592.70 is trading 4.6% below its estimated GF Value™ of ₹2,716.36. GuruFocus considers Garden Reach Shipbuilders & Engineers to be Fairly Valued.

Key valuation signals for BOM:542011:

  • Return-on-Tangible-Equity: 30.08% (93% above median its 10-year median of 15.61)
  • GF Value™: ₹2,716.36 vs. price of ₹2,592.70 (4.6% below fair value)
  • GF Score™: 92/100 with 2 warning signs
  • Industry Position: 271.4% above the Aerospace & Defense median (#64 of 335)

No single metric tells the full story. See the BOM:542011 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Garden Reach Shipbuilders & Engineers Business Description

Other Exchanges GRSE:India
Address 61, Garden Reach Road, GRSE Bhavan, Kolkata, WB, IND, 700024
Garden Reach Shipbuilders & Engineers Ltd is an Indian shipbuilding company mainly engaged in the construction of warships. The company's product portfolio ranges from complex naval warships to weapon systems, encompassing commercial vessels, deck machinery, marine diesel engines, naval surface guns, and Bailey-type portable steel bridges. Additionally, it offers ship repair and maintenance services.
92GF Score

Get the complete analysis for BOM:542011

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

₹2,592.70
Price
₹2,716.36
GF Value