SonamNSE:SONAMLTD +0.73%78 ROA % is 6.95% as of Mar. 2026, which is 20% above its 10-year median of 5.81. GuruFocus rates NSE:SONAMLTD with a GF Score™ of 78/100 and a GF Value™ of ₹85.35 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 432 Furnishings, Fixtures & Appliances companies, Sonam ranks better than 80.79% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Sonam's annualizedNet Income for the quarter that ended in Mar. 2026 was ₹73 Mil.
Sonam's average Total Assets over the quarter that ended in Mar. 2026 was ₹1,054 Mil. Therefore, Sonam's annualized ROA % for the quarter that ended in Mar. 2026 was 6.95%.
The historical rank and industry rank for Sonam's ROA % or its related term are showing as below:
NSE:SONAMLTD'
s ROA % Range Over the Past 10 Years
Min: 2.45 Med: 5.81 Max: 8.62
Current: 6.95
During the past 13 years, Sonam's highest ROA % was 8.62%. The lowest was 2.45%. And the median was 5.81%.
NSE:SONAMLTD's ROA % is ranked better than 80.79% of 432
companies
in the Furnishings, Fixtures & Appliances industry
Industry Median: 2.215
vs NSE:SONAMLTD: 6.95
Sonam (NSE:SONAMLTD) 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 one times the annual (Mar. 2026) net income data. The Revenue data used here is one times the 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.
Sonam ROA % Related Terms
Sonam ROA % Historical Data
* Premium members only.
The historical data trend for Sonam'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 Furnishings, Fixtures & Appliances subindustry, Sonam'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.
Sonam ROA % vs Furnishings, Fixtures & Appliances Industry
For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Sonam's ROA % distribution charts can be found below:
* The bar in red indicates where Sonam'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 one times the annual (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Sonam (NSE:SONAMLTD) has a ROA % of 6.95% 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 Sonam and its competitors. This is 20% above median its historical median of 5.81. Over the past decade, Sonam's ROA % has ranged from 2.45 to 8.62. According to the industry distribution chart, Sonam ranks #83 out of 432 companies in the Furnishings, Fixtures & Appliances industry, placing it in the top 19.2%.
Is Sonam's ROA % too high?
Sonam's current ROA % of 6.95% is 20% above median its 10-year median of 5.81. Over the past 10 years, this metric has ranged from a low of 2.45 to a high of 8.62. The Furnishings, Fixtures & Appliances industry median ROA % is 2.22. Sonam's value of 6.95% is 213.8% above this industry median. Based on the distribution chart, Sonam ranks #83 out of 432 companies in the Furnishings, Fixtures & Appliances industry, which is in the top quartile — a strong position relative to peers. Overall, Sonam has a GF Score™ of 78/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Sonam's ROA % compare to SN and SGI?
According to the Furnishings, Fixtures & Appliances industry distribution chart, Sonam ranks #83 out of 432 companies for ROA %. This places Sonam in the top 19% of its industry — outperforming the majority of peers. The industry median ROA % is 2.22. Sonam's value of 6.95% is 213.8% above this benchmark. Historically, Sonam's own ROA % has ranged from 2.45 to 8.62 over the past decade. While the company's 10-year median is 5.81 vs. the industry median of 2.22, Sonam 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 Furnishings, Fixtures & Appliances company?
The median ROA % among Furnishings, Fixtures & Appliances companies is 2.22, based on 432 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. Sonam's current ROA % of 6.95% is 213.8% 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 Sonam and its competitors. For the Furnishings, Fixtures & Appliances industry, the median ROA % is 2.22 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sonam's current ROA % is 6.95%, which is 20% above median its own 10-year median of 5.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sonam stock overvalued right now?
Based on GuruFocus' analysis, Sonam (NSE:SONAMLTD) is currently considered Possible Value Trap. The stock's GF Value™ is ₹85.35, compared to a current price of ₹53.95 — trading 36.8% below its estimated fair value. The current ROA % is 6.95%, which is 20% above median its 10-year median of 5.81 and 213.8% above the Furnishings, Fixtures & Appliances industry median of 2.22. Sonam's overall GF Score™ is 78/100 with 3 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 Sonam (NSE:SONAMLTD), the current ROA % is 6.95% 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 Sonam (NSE:SONAMLTD) Overvalued in 2026?
Based on GuruFocus' analysis, Sonam stock appears to be undervalued.
The current stock price of ₹53.95 is trading 36.8% below its estimated GF Value™ of ₹85.35.
GuruFocus considers Sonam to be Possible Value Trap.
Key valuation signals for NSE:SONAMLTD:
ROA %: 6.95% (20% above median its 10-year median of 5.81)
GF Value™: ₹85.35 vs. price of ₹53.95 (36.8% below fair value)
Industry Position: 213.8% above the Furnishings, Fixtures & Appliances median (#83 of 432)
No single metric tells the full story. See the NSE:SONAMLTD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sonam Ltd Formerly Sonam Clock Ltd operates in the clock manufacturing industry. The company is engaged in the Manufacturing and Sale of Horological items, Clocks, Clock Movements, and related items. Geographically, it operates only in India. Some of its products include alarm timepiece clocks, classy dial clocks, designer clocks, divine tune clocks, LCD clocks, LED digital clocks, light sensor clocks and others. The company's products are sold under the brand names of Sonam, ampm, and Lotus.
78GF Score
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