Atam ValvesNSE:ATAM +0.17%87 Return-on-Tangible-Equity is 9.01% as of Mar. 2026, which is 35% below its 10-year median of 13.77. GuruFocus rates NSE:ATAM with a GF Score™ of 87/100 and a GF Value™ of ₹116.97 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 2,967 Industrial Products companies, Atam Valves ranks worse than 51.06% 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. Atam Valves's annualized net income for the quarter that ended in Mar. 2026 was ₹34.3 Mil. Atam Valves's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹380.4 Mil. Therefore, Atam Valves's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 9.01%.
The historical rank and industry rank for Atam Valves's Return-on-Tangible-Equity or its related term are showing as below:
NSE:ATAM'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 0.9 Med: 13.77 Max: 42.99
Current: 6.47
During the past 9 years, Atam Valves's highest Return-on-Tangible-Equity was 42.99%. The lowest was 0.90%. And the median was 13.77%.
NSE:ATAM's Return-on-Tangible-Equity is ranked worse than 51.06% of 2967
companies
in the Industrial Products industry
Industry Median: 6.72
vs NSE:ATAM: 6.47
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.
Atam Valves Return-on-Tangible-Equity Related Terms
Atam Valves Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Atam Valves'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.
NSE:ATAM vs GEV, ETN, PH: Return-on-Tangible-Equity Comparison
For the Specialty Industrial Machinery subindustry, Atam Valves'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.
Atam Valves Return-on-Tangible-Equity vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Atam Valves's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Atam Valves'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 (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 9.01% mean?
Atam Valves (NSE:ATAM) has a Return-on-Tangible-Equity of 9.01% 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 Atam Valves and its competitors. This is 35% below median its historical median of 13.77. Over the past decade, Atam Valves' Return-on-Tangible-Equity has ranged from 0.90 to 42.99. According to the industry distribution chart, Atam Valves ranks #1515 out of 2967 companies in the Industrial Products industry, placing it in the top 51.1%.
Is Atam Valves' Return-on-Tangible-Equity too high?
Atam Valves' current Return-on-Tangible-Equity of 9.01% is 35% below median its 10-year median of 13.77. Over the past 10 years, this metric has ranged from a low of 0.90 to a high of 42.99. The Industrial Products industry median Return-on-Tangible-Equity is 6.72. Atam Valves' value of 9.01% is 34.1% above this industry median. Based on the distribution chart, Atam Valves ranks #1515 out of 2967 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Atam Valves has a GF Score™ of 87/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Atam Valves' Return-on-Tangible-Equity compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Atam Valves ranks #1515 out of 2967 companies for Return-on-Tangible-Equity. This places Atam Valves in the lower half of its industry. The industry median Return-on-Tangible-Equity is 6.72. Atam Valves' value of 9.01% is 34.1% above this benchmark. Historically, Atam Valves' own Return-on-Tangible-Equity has ranged from 0.90 to 42.99 over the past decade. While the company's 10-year median is 13.77 vs. the industry median of 6.72, Atam Valves 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 Industrial Products company?
The median Return-on-Tangible-Equity among Industrial Products companies is 6.72, based on 2,967 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. Atam Valves's current Return-on-Tangible-Equity of 9.01% is 34.1% 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 Atam Valves and its competitors. For the Industrial Products industry, the median Return-on-Tangible-Equity is 6.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Atam Valves's current Return-on-Tangible-Equity is 9.01%, which is 35% below median its own 10-year median of 13.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Atam Valves stock overvalued right now?
Based on GuruFocus' analysis, Atam Valves (NSE:ATAM) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹116.97, compared to a current price of ₹70.02 — trading 40.1% below its estimated fair value. The current Return-on-Tangible-Equity is 9.01%, which is 35% below median its 10-year median of 13.77 and 34.1% above the Industrial Products industry median of 6.72. Atam Valves' overall GF Score™ is 87/100 with 5 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 Atam Valves (NSE:ATAM), the current Return-on-Tangible-Equity is 9.01% 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 Atam Valves (NSE:ATAM) Overvalued in 2026?
Based on GuruFocus' analysis, Atam Valves stock appears to be undervalued.
The current stock price of ₹70.02 is trading 40.1% below its estimated GF Value™ of ₹116.97.
GuruFocus considers Atam Valves to be Significantly Undervalued.
Key valuation signals for NSE:ATAM:
Return-on-Tangible-Equity: 9.01% (35% below median its 10-year median of 13.77)
GF Value™: ₹116.97 vs. price of ₹70.02 (40.1% below fair value)
Industry Position: 34.1% above the Industrial Products median (#1515 of 2967)
No single metric tells the full story. See the NSE:ATAM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Atam Valves Ltd operates in the single segment of manufacturing and supplying valves, fittings, steam traps, and strainers. The company produces a wide range of valves including gate valves, globe valves, non-return valves, ball valves, butterfly valves, plug valves, parallel slide valves, safety valves, pressure reducing valves, fusible plugs, and water level gauges. Its products serve industrial and domestic applications across sectors such as oil and gas, chemical processing, pharmaceuticals, power plants, marine, food processing, and infrastructure. Atam Valves generates revenue prominently through the sale of these engineered products under its brands.
87GF Score
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