ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Solar Industries India's annualizedNet Income for the quarter that ended in Mar. 2026 was ₹21,905 Mil.
Solar Industries India's average Total Assets over the quarter that ended in Mar. 2026 was ₹109,185 Mil. Therefore, Solar Industries India's annualized ROA % for the quarter that ended in Mar. 2026 was 20.06%.
The historical rank and industry rank for Solar Industries India's ROA % or its related term are showing as below:
BOM:532725'
s ROA % Range Over the Past 10 Years
Min: 9.94 Med: 12.65 Max: 17.85
Current: 17.85
During the past 13 years, Solar Industries India's highest ROA % was 17.85%. The lowest was 9.94%. And the median was 12.65%.
BOM:532725's ROA % is ranked better than 97.95% of 1608
companies
in the Chemicals industry
Industry Median: 2.905
vs BOM:532725: 17.85
Solar Industries India (BOM:532725) 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.
* 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, Solar Industries India'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.
Solar Industries India ROA % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Solar Industries India's ROA % distribution charts can be found below:
* The bar in red indicates where Solar Industries India'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.
Solar Industries India (BOM:532725) has a ROA % of 20.06% 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 Solar Industries India and its competitors. This is 59% above median its historical median of 12.65. Over the past decade, Solar Industries India's ROA % has ranged from 9.94 to 17.85. According to the industry distribution chart, Solar Industries India ranks #33 out of 1608 companies in the Chemicals industry, placing it in the top 2.1%.
Is Solar Industries India's ROA % too high?
Solar Industries India's current ROA % of 20.06% is 59% above median its 10-year median of 12.65. Over the past 10 years, this metric has ranged from a low of 9.94 to a high of 17.85. The Chemicals industry median ROA % is 2.91. Solar Industries India's value of 20.06% is 590.5% above this industry median. Based on the distribution chart, Solar Industries India ranks #33 out of 1608 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Solar Industries India has a GF Score™ of 95/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Solar Industries India's ROA % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Solar Industries India ranks #33 out of 1608 companies for ROA %. This places Solar Industries India in the top 2% of its industry — outperforming the majority of peers. The industry median ROA % is 2.91. Solar Industries India's value of 20.06% is 590.5% above this benchmark. Historically, Solar Industries India's own ROA % has ranged from 9.94 to 17.85 over the past decade. While the company's 10-year median is 12.65 vs. the industry median of 2.91, Solar Industries India 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 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. Solar Industries India's current ROA % of 20.06% is 590.5% 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 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 Solar Industries India 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. Solar Industries India's current ROA % is 20.06%, which is 59% above median its own 10-year median of 12.65. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Solar Industries India stock overvalued right now?
Based on GuruFocus' analysis, Solar Industries India (BOM:532725) is currently considered Fairly Valued. The stock's GF Value™ is ₹16,976.98, compared to a current price of ₹18,271.15 — trading 7.6% above its estimated fair value. The current ROA % is 20.06%, which is 59% above median its 10-year median of 12.65 and 590.5% above the Chemicals industry median of 2.91. Solar Industries India's overall GF Score™ is 95/100 with 6 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 Solar Industries India (BOM:532725), the current ROA % is 20.06% 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 Solar Industries India (BOM:532725) Overvalued in 2026?
Based on GuruFocus' analysis, Solar Industries India stock appears to be overvalued.
The current stock price of ₹18,271.15 is trading 7.6% above its estimated GF Value™ of ₹16,976.98.
GuruFocus considers Solar Industries India to be Fairly Valued.
Key valuation signals for BOM:532725:
ROA %: 20.06% (59% above median its 10-year median of 12.65)
GF Value™: ₹16,976.98 vs. price of ₹18,271.15 (7.6% above fair value)
Industry Position: 590.5% above the Chemicals median (#33 of 1608)
No single metric tells the full story. See the BOM:532725 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Solar Industries India Ltd manufactures and sells a variety of explosives and defense products. The company sells bulk and packaged explosives as well as detonation initiating systems to the mining, infrastructure, and construction industries. The firm's defense products include high energy explosives, propellants for delivering missiles and rockets, pyros, bombs, and warheads. Geographically, the group holds its presence in both India and internationally of which Indian region accounts for a majority of revenue.
95GF Score
Get the complete analysis for BOM:532725
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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