Modern Dairies (BOM:519287) ROA %: 0.99% (As of Mar. 2026) — 77% Below Median

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BOM:519287 Modern Dairies Ltd BOM:519287
57 GF Score
Price ₹27.44
GF Value ₹40.10
Valuation Possible Value Trap
! 4 Warning Signs
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What is Modern Dairies ROA %?

Modern Dairies BOM:519287 -2.66% 57 ROA % is 0.99% as of Mar. 2026, which is 77% below its 10-year median of 4.37. GuruFocus rates BOM:519287 with a GF Score™ of 57/100 and a GF Value™ of ₹40.10 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 1,992 Consumer Packaged Goods companies, Modern Dairies ranks better than 54.22% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Modern Dairies's annualized Net Income for the quarter that ended in Mar. 2026 was ₹13 Mil. Modern Dairies's average Total Assets over the quarter that ended in Mar. 2026 was ₹1,316 Mil. Therefore, Modern Dairies's annualized ROA % for the quarter that ended in Mar. 2026 was 0.99%.

The historical rank and industry rank for Modern Dairies's ROA % or its related term are showing as below:

BOM:519287' s ROA % Range Over the Past 10 Years
Min: -33.93   Med: 4.37   Max: 80.24
Current: 3.98

During the past 13 years, Modern Dairies's highest ROA % was 80.24%. The lowest was -33.93%. And the median was 4.37%.

BOM:519287's ROA % is ranked better than
54.22% of 1992 companies
in the Consumer Packaged Goods industry
Industry Median: 3.355 vs BOM:519287: 3.98

Modern Dairies  (BOM:519287) 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 bank’s 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:

ROA %(Q: Mar. 2026 )
=Net Income/Total Assets
=12.988/1316.146
=(Net Income / Revenue)*(Revenue / Total Assets)
=(12.988 / 3687.204)*(3687.204 / 1316.146)
=Net Margin %*Asset Turnover
=0.35 %*2.8015
=0.99 %

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.


Modern Dairies ROA % Related Terms


Modern Dairies ROA % Historical Data

* Premium members only.

The historical data trend for Modern Dairies'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.

Modern Dairies ROA % Chart

Modern Dairies Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.27 16.56 39.12 80.24 3.93

Modern Dairies Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 61.10 5.65 5.65 4.06 0.99

BOM:519287 vs KHC, GIS: ROA % Comparison

For the Packaged Foods subindustry, Modern Dairies'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.


Modern Dairies ROA % vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Modern Dairies's ROA % distribution charts can be found below:

* The bar in red indicates where Modern Dairies's ROA % falls into.


BOM:519287
57GF Score
Modern Dairies Ltd BOM:519287
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Modern Dairies ROA % Calculation

Modern Dairies's annualized ROA % for the fiscal year that ended in Mar. 2026 is calculated as:

ROA %=Net Income (A: Mar. 2026 )/( (Total Assets (A: Mar. 2025 )+Total Assets (A: Mar. 2026 ))/ count )
=48.841/( (1169.14+1316.146)/ 2 )
=48.841/1242.643
=3.93 %

Modern Dairies's annualized ROA % for the quarter that ended in Mar. 2026 is calculated as:

ROA %=Net Income (Q: Mar. 2026 )/( (Total Assets (Q: Dec. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=12.988/( (0+1316.146)/ 1 )
=12.988/1316.146
=0.99 %

* 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.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 0.99% mean?
Modern Dairies (BOM:519287) has a ROA % of 0.99% 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 Modern Dairies and its competitors. This is 77% below median its historical median of 4.37. According to the industry distribution chart, Modern Dairies ranks #912 out of 1992 companies in the Consumer Packaged Goods industry, placing it in the top 45.8%.
Is Modern Dairies' ROA % too high?
Modern Dairies' current ROA % of 0.99% is 77% below median its 10-year median of 4.37. The Consumer Packaged Goods industry median ROA % is 3.36. Modern Dairies' value of 0.99% is 70.5% below this industry median. Based on the distribution chart, Modern Dairies ranks #912 out of 1992 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, Modern Dairies has a GF Score™ of 57/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Modern Dairies' ROA % compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Modern Dairies ranks #912 out of 1992 companies for ROA %. This puts Modern Dairies in the upper half of its industry. The industry median ROA % is 3.36. Modern Dairies' value of 0.99% is 70.5% below this benchmark. While the company's 10-year median is 4.37 vs. the industry median of 3.36, Modern Dairies 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 Consumer Packaged Goods company?
The median ROA % among Consumer Packaged Goods companies is 3.36, based on 1,992 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. Modern Dairies's current ROA % of 0.99% is 70.5% 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 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 Modern Dairies and its competitors. For the Consumer Packaged Goods industry, the median ROA % is 3.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Modern Dairies's current ROA % is 0.99%, which is 77% below median its own 10-year median of 4.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Modern Dairies stock overvalued right now?
Based on GuruFocus' analysis, Modern Dairies (BOM:519287) is currently considered Possible Value Trap. The stock's GF Value™ is ₹40.10, compared to a current price of ₹27.44 — trading 31.6% below its estimated fair value. The current ROA % is 0.99%, which is 77% below median its 10-year median of 4.37 and 70.5% below the Consumer Packaged Goods industry median of 3.36. Modern Dairies' overall GF Score™ is 57/100 with 4 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 Modern Dairies (BOM:519287), the current ROA % is 0.99% 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 Modern Dairies (BOM:519287) Overvalued in 2026?

Based on GuruFocus' analysis, Modern Dairies stock appears to be undervalued. The current stock price of ₹27.44 is trading 31.6% below its estimated GF Value™ of ₹40.10. GuruFocus considers Modern Dairies to be Possible Value Trap.

Key valuation signals for BOM:519287:

  • ROA %: 0.99% (77% below median its 10-year median of 4.37)
  • GF Value™: ₹40.10 vs. price of ₹27.44 (31.6% below fair value)
  • GF Score™: 57/100 with 4 warning signs
  • Industry Position: 70.5% below the Consumer Packaged Goods median (#912 of 1992)

No single metric tells the full story. See the BOM:519287 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Modern Dairies Business Description

Address SCO 98-99, Sub City Centre, Sector 34, Chandigarh, IND, 160022
Modern Dairies Ltd is engaged in the business of manufacturing and processing milk and milk products. Its products include casein, lactose, skimmed milk powder, cheese, butter, pure ghee, and premix. The company caters to both domestic and international markets. It has also launched fresh dairy products like milk in sachets, Curd, fermented milk products, and cheese in its own brand.
57GF Score

Get the complete analysis for BOM:519287

ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹27.44
Price
₹40.10
GF Value