Narayana HrudayalayaNSE:NH -1.19%95 Return-on-Tangible-Equity is 42.88% as of Mar. 2026, which is 122% above its 10-year median of 19.30. GuruFocus rates NSE:NH with a GF Score™ of 95/100 and a GF Value™ of ₹2,257.89 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 580 Healthcare Providers & Services companies, Narayana Hrudayalaya ranks better than 73.45% 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. Narayana Hrudayalaya's annualized net income for the quarter that ended in Mar. 2026 was ₹8,955 Mil. Narayana Hrudayalaya's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹20,886 Mil. Therefore, Narayana Hrudayalaya's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 42.88%.
The historical rank and industry rank for Narayana Hrudayalaya's Return-on-Tangible-Equity or its related term are showing as below:
NSE:NH'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -1.44 Med: 19.3 Max: 37.64
Current: 26.02
During the past 13 years, Narayana Hrudayalaya's highest Return-on-Tangible-Equity was 37.64%. The lowest was -1.44%. And the median was 19.30%.
NSE:NH's Return-on-Tangible-Equity is ranked better than 73.45% of 580
companies
in the Healthcare Providers & Services industry
Industry Median: 10.065
vs NSE:NH: 26.02
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.
Narayana Hrudayalaya Return-on-Tangible-Equity Related Terms
Narayana Hrudayalaya Return-on-Tangible-Equity Historical Data
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The historical data trend for Narayana Hrudayalaya'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:NH vs HCA, THC, DVA: Return-on-Tangible-Equity Comparison
For the Medical Care Facilities subindustry, Narayana Hrudayalaya'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.
Narayana Hrudayalaya Return-on-Tangible-Equity vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Narayana Hrudayalaya's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Narayana Hrudayalaya'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 42.88% mean?
Narayana Hrudayalaya (NSE:NH) has a Return-on-Tangible-Equity of 42.88% 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 Narayana Hrudayalaya and its competitors. This is 122% above median its historical median of 19.30. According to the industry distribution chart, Narayana Hrudayalaya ranks #154 out of 580 companies in the Healthcare Providers & Services industry, placing it in the top 26.6%.
Is Narayana Hrudayalaya's Return-on-Tangible-Equity too high?
Narayana Hrudayalaya's current Return-on-Tangible-Equity of 42.88% is 122% above median its 10-year median of 19.30. The Healthcare Providers & Services industry median Return-on-Tangible-Equity is 10.07. Narayana Hrudayalaya's value of 42.88% is 326% above this industry median. Based on the distribution chart, Narayana Hrudayalaya ranks #154 out of 580 companies in the Healthcare Providers & Services industry, which is above the industry midpoint. Overall, Narayana Hrudayalaya has a GF Score™ of 95/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Narayana Hrudayalaya's Return-on-Tangible-Equity compare to HCA and THC?
According to the Healthcare Providers & Services industry distribution chart, Narayana Hrudayalaya ranks #154 out of 580 companies for Return-on-Tangible-Equity. This puts Narayana Hrudayalaya in the upper half of its industry. The industry median Return-on-Tangible-Equity is 10.07. Narayana Hrudayalaya's value of 42.88% is 326% above this benchmark. While the company's 10-year median is 19.30 vs. the industry median of 10.07, Narayana Hrudayalaya 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 Healthcare Providers & Services company?
The median Return-on-Tangible-Equity among Healthcare Providers & Services companies is 10.07, based on 580 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. Narayana Hrudayalaya's current Return-on-Tangible-Equity of 42.88% is 326% 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 Narayana Hrudayalaya and its competitors. For the Healthcare Providers & Services industry, the median Return-on-Tangible-Equity is 10.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Narayana Hrudayalaya's current Return-on-Tangible-Equity is 42.88%, which is 122% above median its own 10-year median of 19.30. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Narayana Hrudayalaya stock overvalued right now?
Based on GuruFocus' analysis, Narayana Hrudayalaya (NSE:NH) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹2,257.89, compared to a current price of ₹1,978.60 — trading 12.4% below its estimated fair value. The current Return-on-Tangible-Equity is 42.88%, which is 122% above median its 10-year median of 19.30 and 326% above the Healthcare Providers & Services industry median of 10.07. Narayana Hrudayalaya's overall GF Score™ is 95/100 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 Narayana Hrudayalaya (NSE:NH), the current Return-on-Tangible-Equity is 42.88% 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 Narayana Hrudayalaya (NSE:NH) Overvalued in 2026?
Based on GuruFocus' analysis, Narayana Hrudayalaya stock appears to be undervalued.
The current stock price of ₹1,978.60 is trading 12.4% below its estimated GF Value™ of ₹2,257.89.
GuruFocus considers Narayana Hrudayalaya to be Modestly Undervalued.
Key valuation signals for NSE:NH:
Return-on-Tangible-Equity: 42.88% (122% above median its 10-year median of 19.30)
GF Value™: ₹2,257.89 vs. price of ₹1,978.60 (12.4% below fair value)
Industry Position: 326% above the Healthcare Providers & Services median (#154 of 580)
No single metric tells the full story. See the NSE:NH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Narayana Hrudayalaya Ltd is an India-based medical and healthcare service provider. The company is engaged in the business of running and operating hospitals, clinics, health centers, nursing homes, and other related activities. The Company's sole operating segment is Medical and Healthcare Related Services. It also provides surgery services such as Cardiac Surgery, nephrology, urology, neurology, neurosurgery, endocrinology, orthopaedics, internal medicine, obstetrics, gynaecology, paediatrics, neonatology, gastroenterology, and oncology. It has business operations in India and the Rest of the world, of which the maximum revenue is generated from the business operations in India.
95GF Score
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