Precision CamshaftsNSE:PRECAM -1.54%75 Return-on-Tangible-Equity is 4.90% as of Mar. 2026, which is 30% below its 10-year median of 7.05. GuruFocus rates NSE:PRECAM with a GF Score™ of 75/100 and a GF Value™ of ₹164.43 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,284 Vehicles & Parts companies, Precision Camshafts ranks worse than 54.67% 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. Precision Camshafts's annualized net income for the quarter that ended in Mar. 2026 was ₹402 Mil. Precision Camshafts's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹8,213 Mil. Therefore, Precision Camshafts's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 4.90%.
The historical rank and industry rank for Precision Camshafts's Return-on-Tangible-Equity or its related term are showing as below:
NSE:PRECAM'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 0.42 Med: 7.05 Max: 12.66
Current: 6.4
During the past 13 years, Precision Camshafts's highest Return-on-Tangible-Equity was 12.66%. The lowest was 0.42%. And the median was 7.05%.
NSE:PRECAM's Return-on-Tangible-Equity is ranked worse than 54.67% of 1284
companies
in the Vehicles & Parts industry
Industry Median: 7.48
vs NSE:PRECAM: 6.40
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.
Precision Camshafts Return-on-Tangible-Equity Related Terms
Precision Camshafts Return-on-Tangible-Equity Historical Data
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The historical data trend for Precision Camshafts'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:PRECAM vs ORLY, AZO: Return-on-Tangible-Equity Comparison
For the Auto Parts subindustry, Precision Camshafts'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.
Precision Camshafts Return-on-Tangible-Equity vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Precision Camshafts's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Precision Camshafts'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 4.90% mean?
Precision Camshafts (NSE:PRECAM) has a Return-on-Tangible-Equity of 4.90% 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 Precision Camshafts and its competitors. This is 30% below median its historical median of 7.05. Over the past decade, Precision Camshafts' Return-on-Tangible-Equity has ranged from 0.42 to 12.66. According to the industry distribution chart, Precision Camshafts ranks #702 out of 1284 companies in the Vehicles & Parts industry, placing it in the top 54.7%.
Is Precision Camshafts' Return-on-Tangible-Equity too high?
Precision Camshafts' current Return-on-Tangible-Equity of 4.90% is 30% below median its 10-year median of 7.05. Over the past 10 years, this metric has ranged from a low of 0.42 to a high of 12.66. The Vehicles & Parts industry median Return-on-Tangible-Equity is 7.48. Precision Camshafts' value of 4.90% is 34.5% below this industry median. Based on the distribution chart, Precision Camshafts ranks #702 out of 1284 companies in the Vehicles & Parts industry, which is below the industry midpoint. Overall, Precision Camshafts has a GF Score™ of 75/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Precision Camshafts' Return-on-Tangible-Equity compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Precision Camshafts ranks #702 out of 1284 companies for Return-on-Tangible-Equity. This places Precision Camshafts in the lower half of its industry. The industry median Return-on-Tangible-Equity is 7.48. Precision Camshafts' value of 4.90% is 34.5% below this benchmark. Historically, Precision Camshafts' own Return-on-Tangible-Equity has ranged from 0.42 to 12.66 over the past decade. While the company's 10-year median is 7.05 vs. the industry median of 7.48, Precision Camshafts has consistently been below 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 Vehicles & Parts company?
The median Return-on-Tangible-Equity among Vehicles & Parts companies is 7.48, based on 1,284 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. Precision Camshafts's current Return-on-Tangible-Equity of 4.90% is 34.5% below 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 Precision Camshafts and its competitors. For the Vehicles & Parts industry, the median Return-on-Tangible-Equity is 7.48 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Precision Camshafts's current Return-on-Tangible-Equity is 4.90%, which is 30% below median its own 10-year median of 7.05. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Precision Camshafts stock overvalued right now?
Based on GuruFocus' analysis, Precision Camshafts (NSE:PRECAM) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹164.43, compared to a current price of ₹147.54 — trading 10.3% below its estimated fair value. The current Return-on-Tangible-Equity is 4.90%, which is 30% below median its 10-year median of 7.05 and 34.5% below the Vehicles & Parts industry median of 7.48. Precision Camshafts' overall GF Score™ is 75/100 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 Precision Camshafts (NSE:PRECAM), the current Return-on-Tangible-Equity is 4.90% 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 Precision Camshafts (NSE:PRECAM) Overvalued in 2026?
Based on GuruFocus' analysis, Precision Camshafts stock appears to be undervalued.
The current stock price of ₹147.54 is trading 10.3% below its estimated GF Value™ of ₹164.43.
GuruFocus considers Precision Camshafts to be Modestly Undervalued.
Key valuation signals for NSE:PRECAM:
Return-on-Tangible-Equity: 4.90% (30% below median its 10-year median of 7.05)
GF Value™: ₹164.43 vs. price of ₹147.54 (10.3% below fair value)
Industry Position: 34.5% below the Vehicles & Parts median (#702 of 1284)
No single metric tells the full story. See the NSE:PRECAM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Precision Camshafts Ltd is engaged in the manufacturing of auto-components (Camshafts and others) and Kit sets, which are used for electrifying the fuel trucks. The company supplies camshafts for passenger vehicles, tractors, light commercial vehicles, and locomotive engine applications. Geographically, the company generates a majority of its revenue from its business within India, and the rest from other Asian regions, Europe, and other markets.
75GF Score
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