Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Shah Alloys's annualizedNet Income for the quarter that ended in Mar. 2026 was ₹-336.4 Mil.
Shah Alloys's average Total Assets over the quarter that ended in Mar. 2026 was ₹2,076.1 Mil. Therefore, Shah Alloys's annualized ROA % for the quarter that ended in Mar. 2026 was -16.20%.
The historical rank and industry rank for Shah Alloys's ROA % or its related term are showing as below:
BOM:513436'
s ROA % Range Over the Past 10 Years
Min: -15.16 Med: 0.28 Max: 53.56
Current: 18.59
During the past 13 years, Shah Alloys's highest ROA % was 53.56%. The lowest was -15.16%. And the median was 0.28%.
BOM:513436's ROA % is ranked better than 97.63% of 634
companies
in the Steel industry
Industry Median: 1.93
vs BOM:513436: 18.59
Shah Alloys (BOM:513436) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue 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.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Shah Alloys ROA % Related Terms
Shah Alloys ROA % Historical Data
* Premium members only.
The historical data trend for Shah Alloys's ROA % 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.
For the Steel subindustry, Shah Alloys's ROA %, along with its competitors' market caps and ROA % 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.
Shah Alloys ROA % vs Steel Industry
For the Steel industry and Basic Materials sector, Shah Alloys's ROA % distribution charts can be found below:
* The bar in red indicates where Shah Alloys's ROA % 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 ROA %, the net income of the last fiscal year and the average total assets 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.
ROA % is displayed in the 30-year financial page.
Shah Alloys (BOM:513436) has a ROA % of -16.20% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Shah Alloys and its competitors. According to the industry distribution chart, Shah Alloys ranks #15 out of 634 companies in the Steel industry, placing it in the top 2.4%.
Is Shah Alloys' ROA % too high?
Shah Alloys' current ROA % is -16.20%. Based on the distribution chart, Shah Alloys ranks #15 out of 634 companies in the Steel industry, which is in the top quartile — a strong position relative to peers. Overall, Shah Alloys has a GF Score™ of 53/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Shah Alloys' ROA % compare to NUE and STLD?
According to the Steel industry distribution chart, Shah Alloys ranks #15 out of 634 companies for ROA %. This places Shah Alloys in the top 2% of its industry — outperforming the majority of peers. The industry median ROA % is 1.93. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for a Steel company?
The median ROA % among Steel companies is 1.93, based on 634 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Shah Alloys and its competitors. For the Steel industry, the median ROA % is 1.93 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shah Alloys's current ROA % is -16.20%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shah Alloys stock overvalued right now?
Based on GuruFocus' analysis, Shah Alloys (BOM:513436) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹4.92, compared to a current price of ₹72.02 — trading 1363.8% above its estimated fair value. The current ROA % is -16.20%. Shah Alloys' overall GF Score™ is 53/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Shah Alloys (BOM:513436), the current ROA % is -16.20% 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 Shah Alloys (BOM:513436) Overvalued in 2026?
Based on GuruFocus' analysis, Shah Alloys stock appears to be overvalued.
The current stock price of ₹72.02 is trading 1363.8% above its estimated GF Value™ of ₹4.92.
GuruFocus considers Shah Alloys to be Significantly Overvalued.
Key valuation signals for BOM:513436:
ROA %: -16.20%
GF Value™: ₹4.92 vs. price of ₹72.02 (1363.8% above fair value)
No single metric tells the full story. See the BOM:513436 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shah Alloys Ltd manufactures and supplies steel in India. The company is engaged in the manufacturing of Stainless steel, alloy special steel, Carbon/mild steel, and Armour steel in Flat and long products. The product offered by the group includes hot rolled coils, hot rolled sheets, and plates, cold rolled coils and sheets, hot rolled round bars, hot rolled flat bars, angles, bright/peeled bars, beams, and angles. The firm generates a majority of its revenue from the sale of Iron and Steel products, which include Bars, Beams, Flat Plate coil, Slab, and Billets.
53GF Score
Get the complete analysis for BOM:513436
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BOM:513436 has been successfully added to your 
