H M Electro Mech (BOM:544349) Return-on-Tangible-Equity: 20.64% (As of Mar. 2026) — 27% Above Median

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BOM:544349 H M Electro Mech Ltd BOM:544349
48 GF Score
Price ₹53.00
! 7 Warning Signs
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What is H M Electro Mech Return-on-Tangible-Equity?

H M Electro Mech BOM:544349 +3.90% 48 Return-on-Tangible-Equity is 20.64% as of Mar. 2026, which is 27% above its 10-year median of 16.25. GuruFocus rates BOM:544349 with a GF Score™ of 48/100. The stock has 7 warning signs investors should review. Among 1,714 Construction companies, H M Electro Mech ranks better than 67.09% 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. H M Electro Mech's annualized net income for the quarter that ended in Mar. 2026 was ₹148 Mil. H M Electro Mech's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹715 Mil. Therefore, H M Electro Mech's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 20.64%.

The historical rank and industry rank for H M Electro Mech's Return-on-Tangible-Equity or its related term are showing as below:

BOM:544349' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 13.02   Med: 16.25   Max: 28.52
Current: 14.03

During the past 6 years, H M Electro Mech's highest Return-on-Tangible-Equity was 28.52%. The lowest was 13.02%. And the median was 16.25%.

BOM:544349's Return-on-Tangible-Equity is ranked better than
67.09% of 1714 companies
in the Construction industry
Industry Median: 8.265 vs BOM:544349: 14.03

H M Electro Mech  (BOM:544349) 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.


H M Electro Mech Return-on-Tangible-Equity Related Terms


H M Electro Mech Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for H M Electro Mech'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.

H M Electro Mech Return-on-Tangible-Equity Chart

H M Electro Mech Annual Data
Trend Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Return-on-Tangible-Equity
Get a 7-Day Free Trial 15.38 28.52 28.52 17.12 13.86

H M Electro Mech Semi-Annual Data
Mar21 Mar22 Mar23 Mar24 Sep24 Mar25 Sep25 Mar26
Return-on-Tangible-Equity Get a 7-Day Free Trial 0.00 19.73 19.92 7.11 20.64

BOM:544349 vs PWR, FIX, EME: Return-on-Tangible-Equity Comparison

For the Engineering & Construction subindustry, H M Electro Mech'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.


H M Electro Mech Return-on-Tangible-Equity vs Construction Industry

For the Construction industry and Industrials sector, H M Electro Mech's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where H M Electro Mech's Return-on-Tangible-Equity falls into.


BOM:544349
48GF Score
H M Electro Mech Ltd BOM:544349
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
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H M Electro Mech Return-on-Tangible-Equity Calculation

H M Electro Mech'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 )
=97.493/( (654.603+752.096 )/ 2 )
=97.493/703.3495
=13.86 %

H M Electro Mech'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: Sep. 2025 )(Q: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2026 )  (Q: Sep. 2025 )(Q: Mar. 2026 )
=147.61/( (678.292+752.096)/ 2 )
=147.61/715.194
=20.64 %

* 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 two times the semi-annual (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 20.64% mean?
H M Electro Mech (BOM:544349) has a Return-on-Tangible-Equity of 20.64% 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 H M Electro Mech and its competitors. This is 27% above median its historical median of 16.25. Over the past decade, H M Electro Mech's Return-on-Tangible-Equity has ranged from 13.02 to 28.52. According to the industry distribution chart, H M Electro Mech ranks #564 out of 1714 companies in the Construction industry, placing it in the top 32.9%.
Is H M Electro Mech's Return-on-Tangible-Equity too high?
H M Electro Mech's current Return-on-Tangible-Equity of 20.64% is 27% above median its 10-year median of 16.25. Over the past 10 years, this metric has ranged from a low of 13.02 to a high of 28.52. The Construction industry median Return-on-Tangible-Equity is 8.27. H M Electro Mech's value of 20.64% is 149.7% above this industry median. Based on the distribution chart, H M Electro Mech ranks #564 out of 1714 companies in the Construction industry, which is above the industry midpoint. Overall, H M Electro Mech has a GF Score™ of 48/100, reflecting its overall financial health beyond just this single metric.
How does H M Electro Mech's Return-on-Tangible-Equity compare to PWR and FIX?
According to the Construction industry distribution chart, H M Electro Mech ranks #564 out of 1714 companies for Return-on-Tangible-Equity. This puts H M Electro Mech in the upper half of its industry. The industry median Return-on-Tangible-Equity is 8.27. H M Electro Mech's value of 20.64% is 149.7% above this benchmark. Historically, H M Electro Mech's own Return-on-Tangible-Equity has ranged from 13.02 to 28.52 over the past decade. While the company's 10-year median is 16.25 vs. the industry median of 8.27, H M Electro Mech 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 Construction company?
The median Return-on-Tangible-Equity among Construction companies is 8.27, based on 1,714 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. H M Electro Mech's current Return-on-Tangible-Equity of 20.64% is 149.7% 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 H M Electro Mech and its competitors. For the Construction industry, the median Return-on-Tangible-Equity is 8.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. H M Electro Mech's current Return-on-Tangible-Equity is 20.64%, which is 27% above median its own 10-year median of 16.25. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is H M Electro Mech stock overvalued right now?
H M Electro Mech (BOM:544349) has a current Return-on-Tangible-Equity of 20.64%. The current Return-on-Tangible-Equity is 20.64%, which is 27% above median its 10-year median of 16.25 and 149.7% above the Construction industry median of 8.27. H M Electro Mech's overall GF Score™ is 48/100 with 7 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 H M Electro Mech (BOM:544349), the current Return-on-Tangible-Equity is 20.64% 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.

H M Electro Mech Business Description

Address 305, Ashram Avenue, Behind Kochrab Ashram, Paldi, Ahmedabad, GJ, IND, 380006
H M Electro Mech Ltd is an infrastructure company in the field of all types of project work of pumping machinery for water and waste water, electrification projects of central. It is diversified in the field of electrification projects with Indian railways, Nationalized Banks and Municipal Corporations. The company is also engaged in sale of products which includes Pump, Pipes, Transformer, Motor and Other Electronic Accessories.
48GF Score

Get the complete analysis for BOM:544349

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

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