Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Fairchem OrganicsBOM:543252 +2.00%73 Return-on-Tangible-Equity is 15.23% as of Jun. 2026, which is 14% below its 10-year median of 17.73. GuruFocus rates BOM:543252 with a GF Score™ of 73/100 and a GF Value™ of ₹870.27 (Fairly Valued). The stock has 8 warning signs investors should review. Among 1,570 Chemicals companies, Fairchem Organics ranks worse than 54.65% 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. Fairchem Organics's annualized net income for the quarter that ended in Jun. 2026 was ₹401 Mil. Fairchem Organics's average shareholder tangible equity for the quarter that ended in Jun. 2026 was ₹2,630 Mil. Therefore, Fairchem Organics's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 was 15.23%.
The historical rank and industry rank for Fairchem Organics's Return-on-Tangible-Equity or its related term are showing as below:
BOM:543252'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 1.96 Med: 17.73 Max: 33.9
Current: 5.02
During the past 7 years, Fairchem Organics's highest Return-on-Tangible-Equity was 33.90%. The lowest was 1.96%. And the median was 17.73%.
BOM:543252's Return-on-Tangible-Equity is ranked worse than 54.65% of 1570
companies
in the Chemicals industry
Industry Median: 5.88
vs BOM:543252: 5.02
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.
Fairchem Organics Return-on-Tangible-Equity Related Terms
Fairchem Organics Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Fairchem Organics'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:543252 vs LIN, SHW, ECL: Return-on-Tangible-Equity Comparison
For the Specialty Chemicals subindustry, Fairchem Organics'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.
Fairchem Organics Return-on-Tangible-Equity vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Fairchem Organics's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Fairchem Organics'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 (Jun. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 15.23% mean?
Fairchem Organics (BOM:543252) has a Return-on-Tangible-Equity of 15.23% as of Jun. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Fairchem Organics and its competitors. This is 14% below median its historical median of 17.73. Over the past decade, Fairchem Organics' Return-on-Tangible-Equity has ranged from 1.96 to 33.90. According to the industry distribution chart, Fairchem Organics ranks #858 out of 1570 companies in the Chemicals industry, placing it in the top 54.6%.
Is Fairchem Organics' Return-on-Tangible-Equity too high?
Fairchem Organics' current Return-on-Tangible-Equity of 15.23% is 14% below median its 10-year median of 17.73. Over the past 10 years, this metric has ranged from a low of 1.96 to a high of 33.90. The Chemicals industry median Return-on-Tangible-Equity is 5.88. Fairchem Organics' value of 15.23% is 159% above this industry median. Based on the distribution chart, Fairchem Organics ranks #858 out of 1570 companies in the Chemicals industry, which is below the industry midpoint. Overall, Fairchem Organics has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Fairchem Organics' Return-on-Tangible-Equity compare to LIN and SHW?
According to the Chemicals industry distribution chart, Fairchem Organics ranks #858 out of 1570 companies for Return-on-Tangible-Equity. This places Fairchem Organics in the lower half of its industry. The industry median Return-on-Tangible-Equity is 5.88. Fairchem Organics' value of 15.23% is 159% above this benchmark. Historically, Fairchem Organics' own Return-on-Tangible-Equity has ranged from 1.96 to 33.90 over the past decade. While the company's 10-year median is 17.73 vs. the industry median of 5.88, Fairchem Organics 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 Chemicals company?
The median Return-on-Tangible-Equity among Chemicals companies is 5.88, based on 1,570 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. Fairchem Organics's current Return-on-Tangible-Equity of 15.23% is 159% 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 Fairchem Organics and its competitors. For the Chemicals industry, the median Return-on-Tangible-Equity is 5.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fairchem Organics's current Return-on-Tangible-Equity is 15.23%, which is 14% below median its own 10-year median of 17.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fairchem Organics stock overvalued right now?
Based on GuruFocus' analysis, Fairchem Organics (BOM:543252) is currently considered Fairly Valued. The stock's GF Value™ is ₹870.27, compared to a current price of ₹793.85 — trading 8.8% below its estimated fair value. The current Return-on-Tangible-Equity is 15.23%, which is 14% below median its 10-year median of 17.73 and 159% above the Chemicals industry median of 5.88. Fairchem Organics' overall GF Score™ is 73/100 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 Fairchem Organics (BOM:543252), the current Return-on-Tangible-Equity is 15.23% as of Jun. 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 Fairchem Organics (BOM:543252) Overvalued in 2026?
Based on GuruFocus' analysis, Fairchem Organics stock appears to be undervalued.
The current stock price of ₹793.85 is trading 8.8% below its estimated GF Value™ of ₹870.27.
GuruFocus considers Fairchem Organics to be Fairly Valued.
Key valuation signals for BOM:543252:
Return-on-Tangible-Equity: 15.23% (14% below median its 10-year median of 17.73)
GF Value™: ₹870.27 vs. price of ₹793.85 (8.8% below fair value)
Industry Position: 159% above the Chemicals median (#858 of 1570)
No single metric tells the full story. See the BOM:543252 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Fairchem Organics Ltd is engaged in the business of manufacturing specialty chemicals, namely, Oleo Chemicals and Intermediate Nutraceuticals. The company operates in a business-to-business model, offering various chemical products such as dimer acid, linoleic acid, isostearic acid, stearic acid, palmitic acid, and others. In addition, it offers mixed tocopherol and sterol concentrates that are used mainly for the manufacturing of natural vitamin E. Geographically, the company derives all of its revenue from its business in India.
73GF Score
Get the complete analysis for BOM:543252
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BOM:543252 has been successfully added to your 
