Bihar Sponge Iron (BOM:500058) ROCE %: -26.78% (As of Mar. 2026)

What is Bihar Sponge Iron ROCE %?

Bihar Sponge Iron BOM:500058 +0.32% 58 ROCE % is -26.78% as of Mar. 2026. GuruFocus rates BOM:500058 with a GF Score™ of 58/100 and a GF Value™ of ₹10.50 (Modestly Overvalued). The stock has 5 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Bihar Sponge Iron's annualized ROCE % for the quarter that ended in Mar. 2026 was -26.78%.

Bihar Sponge Iron (BOM:500058) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Bihar Sponge Iron ROCE % Related Terms

Bihar Sponge Iron ROCE % Historical Data

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The historical data trend for Bihar Sponge Iron's ROCE % 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.

Bihar Sponge Iron ROCE % Chart

Bihar Sponge Iron Annual Data

Trend

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Mar24

Mar25

Mar26

ROCE %

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0.00

103.36

20.19

-22.62

-16.25

Bihar Sponge Iron Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
ROCE %	Get a 7-Day Free Trial															-22.01	-14.83	14.42	2.20	-26.78

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Bihar Sponge Iron Ltd BOM:500058

ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.

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Bihar Sponge Iron ROCE % Calculation

Bihar Sponge Iron's annualized ROCE % for the fiscal year that ended in Mar. 2026 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Mar. 2026 )		(A: Mar. 2025 )		(A: Mar. 2026 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Mar. 2026 )		(A: Mar. 2025 )		(A: Mar. 2026 )
	=	-79.805	/	( ( (1318.724 - 847.628)	+	(922.714 - 411.483) )	/ 2 )
	=	-79.805	/	( (471.096	+	511.231)	/ 2 )
	=	-79.805	/	491.1635
	=	-16.25 %

Bihar Sponge Iron's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Mar. 2026 )		(Q: Dec. 2025 )		(Q: Mar. 2026 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Mar. 2026 )		(Q: Dec. 2025 )		(Q: Mar. 2026 )
	=	-136.896	/	( ( (0 - 0)	+	(922.714 - 411.483) )	/ 1 )
	=	-136.896	/	( ( 0	+	511.231 )	/ 1 )
	=	-136.896	/	511.231
	=	-26.78 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

Frequently Asked Questions Learn more about ROCE % →

What does a ROCE % of -26.78% mean?

Bihar Sponge Iron (BOM:500058) has a ROCE % of -26.78% as of Mar. 2026.

Is Bihar Sponge Iron's ROCE % too high?

Bihar Sponge Iron's current ROCE % is -26.78%. Overall, Bihar Sponge Iron has a GF Score™ of 58/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.

How does Bihar Sponge Iron's ROCE % compare to NUE and STLD?

Bihar Sponge Iron's ROCE % of -26.78% can be compared against companies in the Steel industry. The industry median ROCE % is 5.50. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good ROCE % for a Steel company?

The median ROCE % among Steel companies is 5.50, based on 621 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % 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 ROCE % mean?

A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Steel industry, the median ROCE % is 5.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bihar Sponge Iron's current ROCE % is -26.78%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Bihar Sponge Iron stock overvalued right now?

Based on GuruFocus' analysis, Bihar Sponge Iron (BOM:500058) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹10.50, compared to a current price of ₹12.35 — trading 17.6% above its estimated fair value. The current ROCE % is -26.78%. Bihar Sponge Iron's overall GF Score™ is 58/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is ROCE % calculated?

ROCE % is calculated from a company's financial statements. For Bihar Sponge Iron (BOM:500058), the current ROCE % is -26.78% 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 Bihar Sponge Iron (BOM:500058) Overvalued in 2026?

Based on GuruFocus' analysis, Bihar Sponge Iron stock appears to be overvalued. The current stock price of ₹12.35 is trading 17.6% above its estimated GF Value™ of ₹10.50. GuruFocus considers Bihar Sponge Iron to be Modestly Overvalued.

Key valuation signals for BOM:500058:

ROCE %: -26.78%
GF Value™: ₹10.50 vs. price of ₹12.35 (17.6% above fair value)
GF Score™: 58/100 with 5 warning signs

No single metric tells the full story. See the BOM:500058 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Bihar Sponge Iron Business Description

Industry Basic Materials Steel

Comparable Companies BOM:522165 NSE:SHYAMCENT BOM:500399 BOM:544553 BOM:513693 BOM:505693 BOM:541702 NSE:PATTECH BOM:513548 NSE:HISARMETAL NUE XAMS:MT STLD BOM:500228 NSE:TATASTEEL RS TSE:5401 SHSE:600019 XKRX:005490 SHSE:600010

Address Umesh Nagar, Chandil, District Saraikela, Kharsawan, JH, IND, 832401

Website https://www.bsil.org.in

Bihar Sponge Iron Ltd is India's first merchant sponge iron plant located in Jharkhand. It produces Direct Reduced Iron, commonly known as sponge iron, using indigenous iron ore and non-coking coal. Its plant uses coal-based rotary kiln technology for sponge iron production, with additional facilities such as crushing, sizing, and magnetic separation for raw materials. The plant is strategically located with excellent connectivity to many cities and transportation infrastructure. Bihar Sponge Iron also operates captive power plants to meet its energy needs efficiently. The company's sponge iron serves as a substitute for scrap in steelmaking electric arc and induction furnaces.

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₹12.35

Price

₹10.50

GF Value

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