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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. Kernex Microsystems (India)'s annualized net income for the quarter that ended in Mar. 2026 was ₹2,730 Mil. Kernex Microsystems (India)'s average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹2,415 Mil. Therefore, Kernex Microsystems (India)'s annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 113.04%.
The historical rank and industry rank for Kernex Microsystems (India)'s Return-on-Tangible-Equity or its related term are showing as below:
NSE:KERNEX'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -32.39 Med: -11.2 Max: 47.53
Current: 47.53
During the past 13 years, Kernex Microsystems (India)'s highest Return-on-Tangible-Equity was 47.53%. The lowest was -32.39%. And the median was -11.20%.
NSE:KERNEX's Return-on-Tangible-Equity is ranked better than 82.43% of 2476
companies
in the Software industry
Industry Median: 8.82
vs NSE:KERNEX: 47.53
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.
Kernex Microsystems (India) Return-on-Tangible-Equity Related Terms
Kernex Microsystems (India) Return-on-Tangible-Equity Historical Data
* 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:KERNEX vs UBER, SHOP, CRM: Return-on-Tangible-Equity Comparison
For the Software - Application subindustry, Kernex Microsystems (India)'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.
Kernex Microsystems (India) Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Kernex Microsystems (India)'s Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Kernex Microsystems (India)'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 113.04% mean?
Kernex Microsystems (India) (NSE:KERNEX) has a Return-on-Tangible-Equity of 113.04% 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 Kernex Microsystems (India) and its competitors. According to the industry distribution chart, Kernex Microsystems (India) ranks #435 out of 2476 companies in the Software industry, placing it in the top 17.6%.
Is Kernex Microsystems (India)'s Return-on-Tangible-Equity too high?
Kernex Microsystems (India)'s current Return-on-Tangible-Equity is 113.04%. The Software industry median Return-on-Tangible-Equity is 8.82. Kernex Microsystems (India)'s value of 113.04% is 1181.6% above this industry median. Based on the distribution chart, Kernex Microsystems (India) ranks #435 out of 2476 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Kernex Microsystems (India) has a GF Score™ of 64/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Kernex Microsystems (India)'s Return-on-Tangible-Equity compare to UBER and SHOP?
According to the Software industry distribution chart, Kernex Microsystems (India) ranks #435 out of 2476 companies for Return-on-Tangible-Equity. This places Kernex Microsystems (India) in the top 18% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 8.82. Kernex Microsystems (India)'s value of 113.04% is 1181.6% above this benchmark. 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 8.82, based on 2,476 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. Kernex Microsystems (India)'s current Return-on-Tangible-Equity of 113.04% is 1181.6% 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 Kernex Microsystems (India) and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kernex Microsystems (India)'s current Return-on-Tangible-Equity is 113.04%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kernex Microsystems (India) stock overvalued right now?
Based on GuruFocus' analysis, Kernex Microsystems (India) (NSE:KERNEX) is currently considered Possible Value Trap. The stock's GF Value™ is ₹6,985.95, compared to a current price of ₹2,157.50 — trading 69.1% below its estimated fair value. The current Return-on-Tangible-Equity is 113.04% and 1181.6% above the Software industry median of 8.82. Kernex Microsystems (India)'s overall GF Score™ is 64/100 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 Kernex Microsystems (India) (NSE:KERNEX), the current Return-on-Tangible-Equity is 113.04% 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 Kernex Microsystems (India) (NSE:KERNEX) Overvalued in 2026?
Based on GuruFocus' analysis, Kernex Microsystems (India) stock appears to be undervalued.
The current stock price of ₹2,157.50 is trading 69.1% below its estimated GF Value™ of ₹6,985.95.
GuruFocus considers Kernex Microsystems (India) to be Possible Value Trap.
Key valuation signals for NSE:KERNEX:
Return-on-Tangible-Equity: 113.04%
GF Value™: ₹6,985.95 vs. price of ₹2,157.50 (69.1% below fair value)
Industry Position: 1181.6% above the Software median (#435 of 2476)
No single metric tells the full story. See the NSE:KERNEX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Kernex Microsystems (India) Ltd is an India based company engaged in the manufacture and sale of Safety Systems and Software services for Railways. The company is in the business of designing, developing, and deployment of Train Collision Avoidance Systems in Indian Railways, and successfully completing the installation of automatic and semi-automatic Railway Gates. It offers products which include LxGuard, TrainSHIELD, SAFELx, SENTINEX, CASRY, KMDAX, ATRW, KTPIS, and BCPS2440. Geographically, it generates the majority of its revenue within India.
64GF Score
Get the complete analysis for NSE:KERNEX
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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