Ramco Cements (BOM:500260) ROCE %: 8.77% (As of Mar. 2026)

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BOM:500260 Ramco Cements Ltd BOM:500260
81 GF Score
Price ₹919.00
GF Value ₹992.50
Valuation Fairly Valued
! 4 Warning Signs
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What is Ramco Cements ROCE %?

Ramco Cements BOM:500260 -1.81% 81 ROCE % is 8.77% as of Mar. 2026. GuruFocus rates BOM:500260 with a GF Score™ of 81/100 and a GF Value™ of ₹992.50 (Fairly Valued). The stock has 4 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. Ramco Cements's annualized ROCE % for the quarter that ended in Mar. 2026 was 8.77%.

Ramco Cements  (BOM:500260) 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.

Ramco Cements ROCE % Related Terms

Ramco Cements ROCE % Historical Data

* Premium members only.

The historical data trend for Ramco Cements'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.

Ramco Cements ROCE % Chart

Ramco Cements Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.27 6.22 7.29 6.40 10.64

Ramco Cements 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.31 7.31 6.83 19.12 8.77
BOM:500260
81GF Score
Ramco Cements Ltd BOM:500260
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Ramco Cements ROCE % Calculation

Ramco Cements'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 )
=12904.5/( ( (163295 - 43131.6) + (166355.9 - 43923.7) )/ 2 )
=12904.5/( (120163.4+122432.2)/ 2 )
=12904.5/121297.8
=10.64 %

Ramco Cements'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 )
=10742.4/( ( (0 - 0) + (166355.9 - 43923.7) )/ 1 )
=10742.4/( ( 0 + 122432.2 )/ 1 )
=10742.4/122432.2
=8.77 %

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

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 8.77% mean?
Ramco Cements (BOM:500260) has a ROCE % of 8.77% as of Mar. 2026.
Is Ramco Cements' ROCE % too high?
Ramco Cements' current ROCE % is 8.77%. The Building Materials industry median ROCE % is 5.90. Ramco Cements' value of 8.77% is 48.6% above this industry median. Overall, Ramco Cements has a GF Score™ of 81/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Ramco Cements' ROCE % compare to CRH and VMC?
Ramco Cements' ROCE % of 8.77% can be compared against companies in the Building Materials industry. The industry median ROCE % is 5.90. Ramco Cements' value of 8.77% is 48.6% above this benchmark. 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 Building Materials company?
The median ROCE % among Building Materials companies is 5.90, based on 405 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. Ramco Cements's current ROCE % of 8.77% is 48.6% 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 ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Building Materials industry, the median ROCE % is 5.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ramco Cements's current ROCE % is 8.77%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ramco Cements stock overvalued right now?
Based on GuruFocus' analysis, Ramco Cements (BOM:500260) is currently considered Fairly Valued. The stock's GF Value™ is ₹992.50, compared to a current price of ₹919.00 — trading 7.4% below its estimated fair value. The current ROCE % is 8.77% and 48.6% above the Building Materials industry median of 5.90. Ramco Cements' overall GF Score™ is 81/100 with 4 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 Ramco Cements (BOM:500260), the current ROCE % is 8.77% 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 Ramco Cements (BOM:500260) Overvalued in 2026?

Based on GuruFocus' analysis, Ramco Cements stock appears to be undervalued. The current stock price of ₹919.00 is trading 7.4% below its estimated GF Value™ of ₹992.50. GuruFocus considers Ramco Cements to be Fairly Valued.

Key valuation signals for BOM:500260:

  • ROCE %: 8.77%
  • GF Value™: ₹992.50 vs. price of ₹919.00 (7.4% below fair value)
  • GF Score™: 81/100 with 4 warning signs
  • Industry Position: 48.6% above the Building Materials median

No single metric tells the full story. See the BOM:500260 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Ramco Cements Business Description

Other Exchanges RAMCOCEM:India
Address No. 98-A, Dr. Radhakrishnan Road, Auras Corporate Centre, 5th Floor, Mylapore, Chennai, TN, IND, 600004
Ramco Cements Ltd, part of Ramco Group, is a producer of Portland cement. The company owns grinding units and packing terminals, as well as integrated cement plants. Its cement is sold under the Ramco Supergrade brand in India. Other products include ready-mix concrete and dry-mortar products. Ramco Cements also operates wind farms in India.
81GF Score

Get the complete analysis for BOM:500260

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

₹919.00
Price
₹992.50
GF Value