Supreme Engineering (NSE:SUPREMEENG) ROA %: -37.58% (As of Mar. 2025)


NSE:SUPREMEENG Supreme Engineering Ltd NSE:SUPREMEENG
49 GF Score
Price ₹1.48
GF Value ₹2.11
Valuation Possible Value Trap
! 3 Warning Signs
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What is Supreme Engineering ROA %?

Supreme Engineering NSE:SUPREMEENG +1.37% 49 ROA % is -37.58% as of Mar. 2025. GuruFocus rates NSE:SUPREMEENG with a GF Score™ of 49/100 and a GF Value™ of ₹2.11 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 633 Steel companies, Supreme Engineering ranks worse than 97.95% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Supreme Engineering's annualized Net Income for the quarter that ended in Mar. 2025 was ₹-118.1 Mil. Supreme Engineering's average Total Assets over the quarter that ended in Mar. 2025 was ₹314.3 Mil. Therefore, Supreme Engineering's annualized ROA % for the quarter that ended in Mar. 2025 was -37.58%.

The historical rank and industry rank for Supreme Engineering's ROA % or its related term are showing as below:

NSE:SUPREMEENG' s ROA % Range Over the Past 10 Years
Min: -37.58   Med: 0.79   Max: 3.71
Current: -37.58

During the past 11 years, Supreme Engineering's highest ROA % was 3.71%. The lowest was -37.58%. And the median was 0.79%.

NSE:SUPREMEENG's ROA % is ranked worse than
97.95% of 633 companies
in the Steel industry
Industry Median: 1.92 vs NSE:SUPREMEENG: -37.58

Supreme Engineering  (NSE:SUPREMEENG) 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
=-118.099/314.284
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-118.099 / 168.188)*(168.188 / 314.284)
=Net Margin %*Asset Turnover
=-70.22 %*0.5351
=-37.58 %

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.


Supreme Engineering ROA % Related Terms


Supreme Engineering ROA % Historical Data

* Premium members only.

The historical data trend for Supreme Engineering'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.

Supreme Engineering ROA % Chart

Supreme Engineering Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar24 Mar25
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.71 1.76 -1.33 -8.98 -37.58

Supreme Engineering Semi-Annual Data
Mar13 Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar24 Mar25
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 3.71 1.76 -1.33 -8.98 -37.58

NSE:SUPREMEENG vs NUE, STLD, RS: ROA % Comparison

For the Steel subindustry, Supreme Engineering'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.


Supreme Engineering ROA % vs Steel Industry

For the Steel industry and Basic Materials sector, Supreme Engineering's ROA % distribution charts can be found below:

* The bar in red indicates where Supreme Engineering's ROA % falls into.


NSE:SUPREMEENG
49GF Score
Supreme Engineering Ltd NSE:SUPREMEENG
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
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Supreme Engineering ROA % Calculation

Supreme Engineering'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 )
=-118.099/( (331.903+296.665)/ 2 )
=-118.099/314.284
=-37.58 %

Supreme Engineering'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 )
=-118.099/( (331.903+296.665)/ 2 )
=-118.099/314.284
=-37.58 %

* 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 -37.58% mean?
Supreme Engineering (NSE:SUPREMEENG) has a ROA % of -37.58% 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 Supreme Engineering and its competitors. According to the industry distribution chart, Supreme Engineering ranks #620 out of 633 companies in the Steel industry, placing it in the top 97.9%.
Is Supreme Engineering's ROA % too high?
Supreme Engineering's current ROA % is -37.58%. Based on the distribution chart, Supreme Engineering ranks #620 out of 633 companies in the Steel industry, which is in the bottom quartile relative to peers. Overall, Supreme Engineering has a GF Score™ of 49/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Supreme Engineering's ROA % compare to NUE and STLD?
According to the Steel industry distribution chart, Supreme Engineering ranks #620 out of 633 companies for ROA %. This places Supreme Engineering in the lower half of its industry. The industry median ROA % is 1.92. 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 Steel company?
The median ROA % among Steel companies is 1.92, based on 633 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. 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 Supreme Engineering and its competitors. For the Steel industry, the median ROA % is 1.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Supreme Engineering's current ROA % is -37.58%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Supreme Engineering stock overvalued right now?
Based on GuruFocus' analysis, Supreme Engineering (NSE:SUPREMEENG) is currently considered Possible Value Trap. The stock's GF Value™ is ₹2.11, compared to a current price of ₹1.48 — trading 29.9% below its estimated fair value. The current ROA % is -37.58%. Supreme Engineering's overall GF Score™ is 49/100 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 Supreme Engineering (NSE:SUPREMEENG), the current ROA % is -37.58% 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.

Is Supreme Engineering (NSE:SUPREMEENG) Overvalued in 2026?

Based on GuruFocus' analysis, Supreme Engineering stock appears to be undervalued. The current stock price of ₹1.48 is trading 29.9% below its estimated GF Value™ of ₹2.11. GuruFocus considers Supreme Engineering to be Possible Value Trap.

Key valuation signals for NSE:SUPREMEENG:

  • ROA %: -37.58%
  • GF Value™: ₹2.11 vs. price of ₹1.48 (29.9% below fair value)
  • GF Score™: 49/100 with 3 warning signs

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


Supreme Engineering Business Description

Address Thane-Belapur Road, R-223, MIDC Complex, Rabale, Navi Mumbai, MH, IND, 400701
Supreme Engineering Ltd is engaged in manufacturing special alloys and special wire products. Through its two manufacturing units, it manufactures diversified products such as superalloys, precipitation hardening steels, martensitic stainless steel, austenitic stainless steel, ultra high strength steel and high-speed steels which are used in sectors such as aerospace, space, defence, nuclear power, thermal power, oil and gas, and heavy engineering. While the Wire division manufactures wires, bright bars, fine wires and profiles used for automotive, oil and gas, industrial machinery and hand tools industries.
49GF Score

Get the complete analysis for NSE:SUPREMEENG

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

₹1.48
Price
₹2.11
GF Value