Prakash PipesNSE:PPL +0.58%74 ROA % is 8.93% as of Mar. 2026, which is 48% below its 10-year median of 17.22. GuruFocus rates NSE:PPL with a GF Score™ of 74/100 and a GF Value™ of ₹423.38 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 1,782 Construction companies, Prakash Pipes ranks better than 79.46% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Prakash Pipes's annualizedNet Income for the quarter that ended in Mar. 2026 was ₹539 Mil.
Prakash Pipes's average Total Assets over the quarter that ended in Mar. 2026 was ₹6,039 Mil. Therefore, Prakash Pipes's annualized ROA % for the quarter that ended in Mar. 2026 was 8.93%.
The historical rank and industry rank for Prakash Pipes's ROA % or its related term are showing as below:
NSE:PPL'
s ROA % Range Over the Past 10 Years
Min: 7.32 Med: 17.22 Max: 40.63
Current: 7.45
During the past 9 years, Prakash Pipes's highest ROA % was 40.63%. The lowest was 7.32%. And the median was 17.22%.
NSE:PPL's ROA % is ranked better than 79.46% of 1782
companies
in the Construction industry
Industry Median: 2.79
vs NSE:PPL: 7.45
Prakash Pipes (NSE:PPL) 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.
Prakash Pipes ROA % Related Terms
Prakash Pipes ROA % Historical Data
* Premium members only.
The historical data trend for Prakash Pipes'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 Building Products & Equipment subindustry, Prakash Pipes'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.
Prakash Pipes ROA % vs Construction Industry
For the Construction industry and Industrials sector, Prakash Pipes's ROA % distribution charts can be found below:
* The bar in red indicates where Prakash Pipes'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.
Prakash Pipes (NSE:PPL) has a ROA % of 8.93% 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 Prakash Pipes and its competitors. This is 48% below median its historical median of 17.22. Over the past decade, Prakash Pipes' ROA % has ranged from 7.32 to 40.63. According to the industry distribution chart, Prakash Pipes ranks #366 out of 1782 companies in the Construction industry, placing it in the top 20.5%.
Is Prakash Pipes' ROA % too high?
Prakash Pipes' current ROA % of 8.93% is 48% below median its 10-year median of 17.22. Over the past 10 years, this metric has ranged from a low of 7.32 to a high of 40.63. The Construction industry median ROA % is 2.79. Prakash Pipes' value of 8.93% is 220.1% above this industry median. Based on the distribution chart, Prakash Pipes ranks #366 out of 1782 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Prakash Pipes has a GF Score™ of 74/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Prakash Pipes' ROA % compare to TT and JCI?
According to the Construction industry distribution chart, Prakash Pipes ranks #366 out of 1782 companies for ROA %. This places Prakash Pipes in the top 21% of its industry — outperforming the majority of peers. The industry median ROA % is 2.79. Prakash Pipes' value of 8.93% is 220.1% above this benchmark. Historically, Prakash Pipes' own ROA % has ranged from 7.32 to 40.63 over the past decade. While the company's 10-year median is 17.22 vs. the industry median of 2.79, Prakash Pipes 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 Construction company?
The median ROA % among Construction companies is 2.79, based on 1,782 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. Prakash Pipes's current ROA % of 8.93% is 220.1% 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 Prakash Pipes and its competitors. For the Construction industry, the median ROA % is 2.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Prakash Pipes's current ROA % is 8.93%, which is 48% below median its own 10-year median of 17.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Prakash Pipes stock overvalued right now?
Based on GuruFocus' analysis, Prakash Pipes (NSE:PPL) is currently considered Possible Value Trap. The stock's GF Value™ is ₹423.38, compared to a current price of ₹262.74 — trading 37.9% below its estimated fair value. The current ROA % is 8.93%, which is 48% below median its 10-year median of 17.22 and 220.1% above the Construction industry median of 2.79. Prakash Pipes' overall GF Score™ is 74/100 with 7 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 Prakash Pipes (NSE:PPL), the current ROA % is 8.93% 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 Prakash Pipes (NSE:PPL) Overvalued in 2026?
Based on GuruFocus' analysis, Prakash Pipes stock appears to be undervalued.
The current stock price of ₹262.74 is trading 37.9% below its estimated GF Value™ of ₹423.38.
GuruFocus considers Prakash Pipes to be Possible Value Trap.
Key valuation signals for NSE:PPL:
ROA %: 8.93% (48% below median its 10-year median of 17.22)
GF Value™: ₹423.38 vs. price of ₹262.74 (37.9% below fair value)
Industry Position: 220.1% above the Construction median (#366 of 1782)
No single metric tells the full story. See the NSE:PPL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Prakash Pipes Ltd is engaged in the manufacture of PVC pipes and fittings. It offers products such as Agri Pipes, Column Pipes, Plumbing Pipes, Casing Pipes, SWR Pipes, Garden Pipes, and their related Fittings. Its segments are PVC Pipe and fittings, and Flexible Packaging. It generates the majority of its revenue from PVC Pipe and fittings.
74GF Score
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