Emkay Taps and Cutting Tools (NSE:EMKAYTOOLS) ROA %: 3.86% (As of Mar. 2026) — 74% Below Median

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NSE:EMKAYTOOLS Emkay Taps and Cutting Tools Ltd NSE:EMKAYTOOLS
65 GF Score
Price ₹94.05
GF Value ₹153.82
Valuation Possible Value Trap
! 1 Warning Sign
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What is Emkay Taps and Cutting Tools ROA %?

Emkay Taps and Cutting Tools NSE:EMKAYTOOLS -3.54% 65 ROA % is 3.86% as of Mar. 2026, which is 74% below its 10-year median of 14.74. GuruFocus rates NSE:EMKAYTOOLS with a GF Score™ of 65/100 and a GF Value™ of ₹153.82 (Possible Value Trap). The stock has 1 warning sign investors should review. Among 3,084 Industrial Products companies, Emkay Taps and Cutting Tools ranks worse than 59.6% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Emkay Taps and Cutting Tools's annualized Net Income for the quarter that ended in Mar. 2026 was ₹115.55 Mil. Emkay Taps and Cutting Tools's average Total Assets over the quarter that ended in Mar. 2026 was ₹2,991.28 Mil. Therefore, Emkay Taps and Cutting Tools's annualized ROA % for the quarter that ended in Mar. 2026 was 3.86%.

The historical rank and industry rank for Emkay Taps and Cutting Tools's ROA % or its related term are showing as below:

NSE:EMKAYTOOLS' s ROA % Range Over the Past 10 Years
Min: 1.93   Med: 14.74   Max: 24.2
Current: 1.93

During the past 12 years, Emkay Taps and Cutting Tools's highest ROA % was 24.20%. The lowest was 1.93%. And the median was 14.74%.

NSE:EMKAYTOOLS's ROA % is ranked worse than
59.6% of 3084 companies
in the Industrial Products industry
Industry Median: 3.19 vs NSE:EMKAYTOOLS: 1.93

Emkay Taps and Cutting Tools  (NSE:EMKAYTOOLS) 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
=115.55/2991.277
=(Net Income / Revenue)*(Revenue / Total Assets)
=(115.55 / 9.226)*(9.226 / 2991.277)
=Net Margin %*Asset Turnover
=1252.44 %*0.0031
=3.86 %

Note: The Net Income data used here is two times the semi-annual (Mar. 2026) net income data. The Revenue data used here is two times the semi-annual (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.


Emkay Taps and Cutting Tools ROA % Related Terms


Emkay Taps and Cutting Tools ROA % Historical Data

* Premium members only.

The historical data trend for Emkay Taps and Cutting Tools'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.

Emkay Taps and Cutting Tools ROA % Chart

Emkay Taps and Cutting Tools 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 19.47 19.17 24.20 8.43 2.71

Emkay Taps and Cutting Tools Semi-Annual Data
Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 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 24.03 24.32 32.59 -5.51 3.86

NSE:EMKAYTOOLS vs SNA, RBC, LECO: ROA % Comparison

For the Tools & Accessories subindustry, Emkay Taps and Cutting Tools'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.


Emkay Taps and Cutting Tools ROA % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Emkay Taps and Cutting Tools's ROA % distribution charts can be found below:

* The bar in red indicates where Emkay Taps and Cutting Tools's ROA % falls into.


NSE:EMKAYTOOLS
65GF Score
Emkay Taps and Cutting Tools Ltd NSE:EMKAYTOOLS
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Emkay Taps and Cutting Tools ROA % Calculation

Emkay Taps and Cutting Tools'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 )
=81.131/( (2988.322+2994.232)/ 2 )
=81.131/2991.277
=2.71 %

Emkay Taps and Cutting Tools's annualized ROA % for the quarter that ended in Mar. 2026 is calculated as:

ROA %=Net Income (Q: Mar. 2026 )/( (Total Assets (Q: Mar. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=115.55/( (2988.322+2994.232)/ 2 )
=115.55/2991.277
=3.86 %

* 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 two times the semi-annual (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 3.86% mean?
Emkay Taps and Cutting Tools (NSE:EMKAYTOOLS) has a ROA % of 3.86% 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 Emkay Taps and Cutting Tools and its competitors. This is 74% below median its historical median of 14.74. Over the past decade, Emkay Taps and Cutting Tools' ROA % has ranged from 1.93 to 24.20. According to the industry distribution chart, Emkay Taps and Cutting Tools ranks #1838 out of 3084 companies in the Industrial Products industry, placing it in the top 59.6%.
Is Emkay Taps and Cutting Tools' ROA % too high?
Emkay Taps and Cutting Tools' current ROA % of 3.86% is 74% below median its 10-year median of 14.74. Over the past 10 years, this metric has ranged from a low of 1.93 to a high of 24.20. The Industrial Products industry median ROA % is 3.19. Emkay Taps and Cutting Tools' value of 3.86% is 21% above this industry median. Based on the distribution chart, Emkay Taps and Cutting Tools ranks #1838 out of 3084 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Emkay Taps and Cutting Tools has a GF Score™ of 65/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Emkay Taps and Cutting Tools' ROA % compare to SNA and RBC?
According to the Industrial Products industry distribution chart, Emkay Taps and Cutting Tools ranks #1838 out of 3084 companies for ROA %. This places Emkay Taps and Cutting Tools in the lower half of its industry. The industry median ROA % is 3.19. Emkay Taps and Cutting Tools' value of 3.86% is 21% above this benchmark. Historically, Emkay Taps and Cutting Tools' own ROA % has ranged from 1.93 to 24.20 over the past decade. While the company's 10-year median is 14.74 vs. the industry median of 3.19, Emkay Taps and Cutting Tools 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 an Industrial Products company?
The median ROA % among Industrial Products companies is 3.19, based on 3,084 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. Emkay Taps and Cutting Tools's current ROA % of 3.86% is 21% 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 Emkay Taps and Cutting Tools and its competitors. For the Industrial Products industry, the median ROA % is 3.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Emkay Taps and Cutting Tools's current ROA % is 3.86%, which is 74% below median its own 10-year median of 14.74. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Emkay Taps and Cutting Tools stock overvalued right now?
Based on GuruFocus' analysis, Emkay Taps and Cutting Tools (NSE:EMKAYTOOLS) is currently considered Possible Value Trap. The stock's GF Value™ is ₹153.82, compared to a current price of ₹94.05 — trading 38.9% below its estimated fair value. The current ROA % is 3.86%, which is 74% below median its 10-year median of 14.74 and 21% above the Industrial Products industry median of 3.19. Emkay Taps and Cutting Tools' overall GF Score™ is 65/100 with 1 warning sign 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 Emkay Taps and Cutting Tools (NSE:EMKAYTOOLS), the current ROA % is 3.86% 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 Emkay Taps and Cutting Tools (NSE:EMKAYTOOLS) Overvalued in 2026?

Based on GuruFocus' analysis, Emkay Taps and Cutting Tools stock appears to be undervalued. The current stock price of ₹94.05 is trading 38.9% below its estimated GF Value™ of ₹153.82. GuruFocus considers Emkay Taps and Cutting Tools to be Possible Value Trap.

Key valuation signals for NSE:EMKAYTOOLS:

  • ROA %: 3.86% (74% below median its 10-year median of 14.74)
  • GF Value™: ₹153.82 vs. price of ₹94.05 (38.9% below fair value)
  • GF Score™: 65/100 with 1 warning sign
  • Industry Position: 21% above the Industrial Products median (#1838 of 3084)

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


Emkay Taps and Cutting Tools Business Description

Address Plot No. B-27 and B-27/1, MIDC Hingna Industrial Estate, Nagpur, MH, IND, 440016
Emkay Taps and Cutting Tools Ltd is engaged in manufacturing and selling taps and cutting tools. The company operates two main segments: the manufacturing of taps and cutting tools, and the production of power through windmills. The majority of its revenue is generated from the tools segment. It runs two wind farm projects located in Shivapura Kavalu Village, Belur Taluka, Hassan District, Karnataka, and Kita & Ugawa, Jaisalmer District, Rajasthan.
65GF Score

Get the complete analysis for NSE:EMKAYTOOLS

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

₹94.05
Price
₹153.82
GF Value