Hindustan AdhesivesBOM:514428 +0.21%73 ROA % is 1.29% as of Mar. 2026, which is 78% below its 10-year median of 5.80. GuruFocus rates BOM:514428 with a GF Score™ of 73/100 and a GF Value™ of ₹335.64 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,608 Chemicals companies, Hindustan Adhesives ranks better than 71.58% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Hindustan Adhesives's annualizedNet Income for the quarter that ended in Mar. 2026 was ₹37 Mil.
Hindustan Adhesives's average Total Assets over the quarter that ended in Mar. 2026 was ₹2,879 Mil. Therefore, Hindustan Adhesives's annualized ROA % for the quarter that ended in Mar. 2026 was 1.29%.
The historical rank and industry rank for Hindustan Adhesives's ROA % or its related term are showing as below:
BOM:514428'
s ROA % Range Over the Past 10 Years
Min: 2.29 Med: 5.8 Max: 9.04
Current: 5.81
During the past 13 years, Hindustan Adhesives's highest ROA % was 9.04%. The lowest was 2.29%. And the median was 5.80%.
BOM:514428's ROA % is ranked better than 71.58% of 1608
companies
in the Chemicals industry
Industry Median: 2.905
vs BOM:514428: 5.81
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.
Hindustan Adhesives ROA % Related Terms
Hindustan Adhesives ROA % Historical Data
* Premium members only.
The historical data trend for Hindustan Adhesives'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 Specialty Chemicals subindustry, Hindustan Adhesives'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.
Hindustan Adhesives ROA % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Hindustan Adhesives's ROA % distribution charts can be found below:
* The bar in red indicates where Hindustan Adhesives'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.
Hindustan Adhesives (BOM:514428) has a ROA % of 1.29% 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 Hindustan Adhesives and its competitors. This is 78% below median its historical median of 5.80. Over the past decade, Hindustan Adhesives' ROA % has ranged from 2.29 to 9.04. According to the industry distribution chart, Hindustan Adhesives ranks #457 out of 1608 companies in the Chemicals industry, placing it in the top 28.4%.
Is Hindustan Adhesives' ROA % too high?
Hindustan Adhesives' current ROA % of 1.29% is 78% below median its 10-year median of 5.80. Over the past 10 years, this metric has ranged from a low of 2.29 to a high of 9.04. The Chemicals industry median ROA % is 2.91. Hindustan Adhesives' value of 1.29% is 55.6% below this industry median. Based on the distribution chart, Hindustan Adhesives ranks #457 out of 1608 companies in the Chemicals industry, which is above the industry midpoint. Overall, Hindustan Adhesives has a GF Score™ of 73/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hindustan Adhesives' ROA % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Hindustan Adhesives ranks #457 out of 1608 companies for ROA %. This puts Hindustan Adhesives in the upper half of its industry. The industry median ROA % is 2.91. Hindustan Adhesives' value of 1.29% is 55.6% below this benchmark. Historically, Hindustan Adhesives' own ROA % has ranged from 2.29 to 9.04 over the past decade. While the company's 10-year median is 5.80 vs. the industry median of 2.91, Hindustan Adhesives 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 ROA % for a Chemicals company?
The median ROA % among Chemicals companies is 2.91, based on 1,608 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. Hindustan Adhesives's current ROA % of 1.29% is 55.6% 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 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 Hindustan Adhesives and its competitors. For the Chemicals industry, the median ROA % is 2.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hindustan Adhesives's current ROA % is 1.29%, which is 78% below median its own 10-year median of 5.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hindustan Adhesives stock overvalued right now?
Based on GuruFocus' analysis, Hindustan Adhesives (BOM:514428) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹335.64, compared to a current price of ₹263.25 — trading 21.6% below its estimated fair value. The current ROA % is 1.29%, which is 78% below median its 10-year median of 5.80 and 55.6% below the Chemicals industry median of 2.91. Hindustan Adhesives' overall GF Score™ is 73/100 with 3 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 Hindustan Adhesives (BOM:514428), the current ROA % is 1.29% 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 Hindustan Adhesives (BOM:514428) Overvalued in 2026?
Based on GuruFocus' analysis, Hindustan Adhesives stock appears to be undervalued.
The current stock price of ₹263.25 is trading 21.6% below its estimated GF Value™ of ₹335.64.
GuruFocus considers Hindustan Adhesives to be Modestly Undervalued.
Key valuation signals for BOM:514428:
ROA %: 1.29% (78% below median its 10-year median of 5.80)
GF Value™: ₹335.64 vs. price of ₹263.25 (21.6% below fair value)
Industry Position: 55.6% below the Chemicals median (#457 of 1608)
No single metric tells the full story. See the BOM:514428 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hindustan Adhesives Ltd is a producer and marketer of adhesive tapes. The company offers products such as acrylic packaging tapes, hot melt packaging tapes, natural rubber packaging tapes, kraft paper tapes, tamper-evident tapes, tear tapes, polyolefin shrink film, and shrink wrapping machines. Its customers include Unilever, PepsiCo, Coca-Cola, P&G, Reckitt Benckiser, Cadbury, and Nestle, among others.
73GF Score
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