Paramount Speciality Forgings (NSE:PSFL) ROA %: 4.52% (As of Mar. 2025) — Near Median


NSE:PSFL Paramount Speciality Forgings Ltd NSE:PSFL
13 GF Score
Price ₹34.25
! 5 Warning Signs
View Full Analysis

What is Paramount Speciality Forgings ROA %?

Paramount Speciality Forgings NSE:PSFL +0.15% 13 ROA % is 4.52% as of Mar. 2025, which is at its 10-year median of 4.52. GuruFocus rates NSE:PSFL with a GF Score™ of 13/100. The stock has 5 warning signs investors should review. Among 3,075 Industrial Products companies, Paramount Speciality Forgings ranks better than 60.65% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Paramount Speciality Forgings's annualized Net Income for the quarter that ended in Mar. 2025 was ₹44.7 Mil. Paramount Speciality Forgings's average Total Assets over the quarter that ended in Mar. 2025 was ₹987.2 Mil. Therefore, Paramount Speciality Forgings's annualized ROA % for the quarter that ended in Mar. 2025 was 4.52%.

The historical rank and industry rank for Paramount Speciality Forgings's ROA % or its related term are showing as below:

NSE:PSFL' s ROA % Range Over the Past 10 Years
Min: -0.56   Med: 4.52   Max: 7.05
Current: 4.52

During the past 5 years, Paramount Speciality Forgings's highest ROA % was 7.05%. The lowest was -0.56%. And the median was 4.52%.

NSE:PSFL's ROA % is ranked better than
60.65% of 3075 companies
in the Industrial Products industry
Industry Median: 3.05 vs NSE:PSFL: 4.52

Paramount Speciality Forgings  (NSE:PSFL) 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. 2025 )
=Net Income/Total Assets
=44.657/987.232
=(Net Income / Revenue)*(Revenue / Total Assets)
=(44.657 / 969.518)*(969.518 / 987.232)
=Net Margin %*Asset Turnover
=4.61 %*0.9821
=4.52 %

Note: The Net Income data used here is one times the annual (Mar. 2025) net income data. The Revenue data used here is one times the annual (Mar. 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.


Paramount Speciality Forgings ROA % Related Terms


Paramount Speciality Forgings ROA % Historical Data

* Premium members only.

The historical data trend for Paramount Speciality Forgings'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.

Paramount Speciality Forgings ROA % Chart

Paramount Speciality Forgings Annual Data
Trend Mar21 Mar22 Mar23 Mar24 Mar25
ROA %
-0.56 6.07 4.35 7.05 4.52

Paramount Speciality Forgings Semi-Annual Data
Mar21 Mar22 Mar23 Mar24 Mar25
ROA % -0.56 6.07 4.35 7.05 4.52

NSE:PSFL vs ATI, CRS, MLI: ROA % Comparison

For the Metal Fabrication subindustry, Paramount Speciality Forgings'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.


Paramount Speciality Forgings ROA % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Paramount Speciality Forgings's ROA % distribution charts can be found below:

* The bar in red indicates where Paramount Speciality Forgings's ROA % falls into.


NSE:PSFL
13GF Score
Paramount Speciality Forgings Ltd NSE:PSFL
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Paramount Speciality Forgings ROA % Calculation

Paramount Speciality Forgings's annualized ROA % for the fiscal year that ended in Mar. 2025 is calculated as:

ROA %=Net Income (A: Mar. 2025 )/( (Total Assets (A: Mar. 2024 )+Total Assets (A: Mar. 2025 ))/ count )
=44.657/( (809.859+1164.605)/ 2 )
=44.657/987.232
=4.52 %

Paramount Speciality Forgings's annualized ROA % for the quarter that ended in Mar. 2025 is calculated as:

ROA %=Net Income (Q: Mar. 2025 )/( (Total Assets (Q: Mar. 2024 )+Total Assets (Q: Mar. 2025 ))/ count )
=44.657/( (809.859+1164.605)/ 2 )
=44.657/987.232
=4.52 %

* 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 one times the annual (Mar. 2025) net income data. ROA % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 4.52% mean?
Paramount Speciality Forgings (NSE:PSFL) has a ROA % of 4.52% as of Mar. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Paramount Speciality Forgings and its competitors. This is near median its historical median of 4.52. According to the industry distribution chart, Paramount Speciality Forgings ranks #1210 out of 3075 companies in the Industrial Products industry, placing it in the top 39.3%.
Is Paramount Speciality Forgings' ROA % too high?
Paramount Speciality Forgings' current ROA % of 4.52% is near median its 10-year median of 4.52. The Industrial Products industry median ROA % is 3.05. Paramount Speciality Forgings' value of 4.52% is 48.2% above this industry median. Based on the distribution chart, Paramount Speciality Forgings ranks #1210 out of 3075 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Paramount Speciality Forgings has a GF Score™ of 13/100, reflecting its overall financial health beyond just this single metric.
How does Paramount Speciality Forgings' ROA % compare to ATI and CRS?
According to the Industrial Products industry distribution chart, Paramount Speciality Forgings ranks #1210 out of 3075 companies for ROA %. This puts Paramount Speciality Forgings in the upper half of its industry. The industry median ROA % is 3.05. Paramount Speciality Forgings' value of 4.52% is 48.2% above this benchmark. While the company's 10-year median is 4.52 vs. the industry median of 3.05, Paramount Speciality Forgings 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 3.05, based on 3,075 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. Paramount Speciality Forgings's current ROA % of 4.52% is 48.2% 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 Paramount Speciality Forgings and its competitors. For the Industrial Products industry, the median ROA % is 3.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paramount Speciality Forgings's current ROA % is 4.52%, which is near median its own 10-year median of 4.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Paramount Speciality Forgings stock overvalued right now?
Paramount Speciality Forgings (NSE:PSFL) has a current ROA % of 4.52%. The current ROA % is 4.52%, which is near median its 10-year median of 4.52 and 48.2% above the Industrial Products industry median of 3.05. Paramount Speciality Forgings' overall GF Score™ is 13/100 with 5 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 Paramount Speciality Forgings (NSE:PSFL), the current ROA % is 4.52% as of Mar. 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.

Paramount Speciality Forgings Business Description

Address Dr. Mascarenhas Road, 3/1, Guru Himmat Building, Anjirwadi, Mazgaon, Mumbai, MH, IND, 400010
Paramount Speciality Forgings Ltd is engaged in manufacturing steel forgings in India. It manufactures and provides forged components ranging in weight from one kilogram to four metric tons in rough or finish-machined condition. Its products are used in industries such as Petrochemicals, Chemicals, Fertilizers, Oil and Gas, Nuclear Power, and other heavy engineering sectors. The company only operates in the sale of carbon steel and stainless steel flanges and fittings, and other engineering goods made from steel and stainless steel, or any other goods and merchandise.
13GF Score

Get the complete analysis for NSE:PSFL

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

₹34.25
Price