ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Newgen Software Technologies's annualizedNet Income for the quarter that ended in Dec. 2025 was ₹2,513 Mil.
Newgen Software Technologies's average Total Assets over the quarter that ended in Dec. 2025 was ₹20,715 Mil. Therefore, Newgen Software Technologies's annualized ROA % for the quarter that ended in Dec. 2025 was 12.13%.
The historical rank and industry rank for Newgen Software Technologies's ROA % or its related term are showing as below:
NSE:NEWGEN'
s ROA % Range Over the Past 10 Years
Min: 8 Med: 14.28 Max: 16.9
Current: 15.55
During the past 13 years, Newgen Software Technologies's highest ROA % was 16.90%. The lowest was 8.00%. And the median was 14.28%.
NSE:NEWGEN's ROA % is ranked better than 92.26% of 2882
companies
in the Software industry
Industry Median: 1.645
vs NSE:NEWGEN: 15.55
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 (Dec. 2025) net income data. The Revenue data used here is four times the quarterly (Dec. 2025) 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.
Newgen Software Technologies ROA % Related Terms
Newgen Software Technologies ROA % Historical 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.
For the Software - Infrastructure subindustry, Newgen Software Technologies'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.
Newgen Software Technologies ROA % vs Software Industry
For the Software industry and Technology sector, Newgen Software Technologies's ROA % distribution charts can be found below:
* The bar in red indicates where Newgen Software Technologies'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 (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Newgen Software Technologies (NSE:NEWGEN) has a ROA % of 12.13% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Newgen Software Technologies and its competitors. This is 15% below median its historical median of 14.28. Over the past decade, Newgen Software Technologies' ROA % has ranged from 8.00 to 16.90. According to the industry distribution chart, Newgen Software Technologies ranks #223 out of 2882 companies in the Software industry, placing it in the top 7.7%.
Is Newgen Software Technologies' ROA % too high?
Newgen Software Technologies' current ROA % of 12.13% is 15% below median its 10-year median of 14.28. Over the past 10 years, this metric has ranged from a low of 8.00 to a high of 16.90. The Software industry median ROA % is 1.65. Newgen Software Technologies' value of 12.13% is 637.4% above this industry median. Based on the distribution chart, Newgen Software Technologies ranks #223 out of 2882 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Newgen Software Technologies has a GF Score™ of 86/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Newgen Software Technologies' ROA % compare to MSFT and ORCL?
According to the Software industry distribution chart, Newgen Software Technologies ranks #223 out of 2882 companies for ROA %. This places Newgen Software Technologies in the top 8% of its industry — outperforming the majority of peers. The industry median ROA % is 1.65. Newgen Software Technologies' value of 12.13% is 637.4% above this benchmark. Historically, Newgen Software Technologies' own ROA % has ranged from 8.00 to 16.90 over the past decade. While the company's 10-year median is 14.28 vs. the industry median of 1.65, Newgen Software Technologies 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 Software company?
The median ROA % among Software companies is 1.65, based on 2,882 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. Newgen Software Technologies's current ROA % of 12.13% is 637.4% 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 Newgen Software Technologies and its competitors. For the Software industry, the median ROA % is 1.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Newgen Software Technologies's current ROA % is 12.13%, which is 15% below median its own 10-year median of 14.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Newgen Software Technologies stock overvalued right now?
Based on GuruFocus' analysis, Newgen Software Technologies (NSE:NEWGEN) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹1,055.36, compared to a current price of ₹473.10 — trading 55.2% below its estimated fair value. The current ROA % is 12.13%, which is 15% below median its 10-year median of 14.28 and 637.4% above the Software industry median of 1.65. Newgen Software Technologies' overall GF Score™ is 86/100. 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 Newgen Software Technologies (NSE:NEWGEN), the current ROA % is 12.13% as of Dec. 2025. 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 Newgen Software Technologies (NSE:NEWGEN) Overvalued in 2026?
Based on GuruFocus' analysis, Newgen Software Technologies stock appears to be undervalued.
The current stock price of ₹473.10 is trading 55.2% below its estimated GF Value™ of ₹1,055.36.
GuruFocus considers Newgen Software Technologies to be Significantly Undervalued.
Key valuation signals for NSE:NEWGEN:
ROA %: 12.13% (15% below median its 10-year median of 14.28)
GF Value™: ₹1,055.36 vs. price of ₹473.10 (55.2% below fair value)
Industry Position: 637.4% above the Software median (#223 of 2882)
No single metric tells the full story. See the NSE:NEWGEN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Newgen Software Technologies Ltd is a software company. It is engaged in software product development including designing and delivering end-to-end software solutions covering the entire spectrum of software services from workflow automation to Document management to imaging. The entity's geographical segments are India; USA, and Africa (EMEA); Asia Pacific (APAC); and the United States of America (USA). It generates key revenue from India and the EMEA region. The company's NewgenONE Platform is a unified low-code platform for end-to-end automation at scale for enterprises. The platform offerings include Contextual Content Services (ECM), Intelligent Process Automation (BPM), Omnichannel Customer Engagement (CCM), and Low Code Application Development.
86GF Score
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