Cholamandalam Financial Holdings (BOM:504973) ROCE %: 3.23% (As of Mar. 2026)


BOM:504973 Cholamandalam Financial Holdings Ltd BOM:504973
75 GF Score
Price ₹1,661.90
GF Value ₹2,087.11
Valuation Modestly Undervalued
! 6 Warning Signs
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What is Cholamandalam Financial Holdings ROCE %?

Cholamandalam Financial Holdings BOM:504973 -2.09% 75 ROCE % is 3.23% as of Mar. 2026. GuruFocus rates BOM:504973 with a GF Score™ of 75/100 and a GF Value™ of ₹2,087.11 (Modestly Undervalued). The stock has 6 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. Cholamandalam Financial Holdings's annualized ROCE % for the quarter that ended in Mar. 2026 was 3.23%.

Cholamandalam Financial Holdings  (BOM:504973) 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.

Cholamandalam Financial Holdings ROCE % Related Terms

Cholamandalam Financial Holdings ROCE % Historical Data

* Premium members only.

The historical data trend for Cholamandalam Financial Holdings'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.

Cholamandalam Financial Holdings ROCE % Chart

Cholamandalam Financial Holdings 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 4.79 4.74 4.83 4.26 3.35

Cholamandalam Financial Holdings 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 4.39 3.67 2.80 2.88 3.23
BOM:504973
75GF Score
Cholamandalam Financial Holdings Ltd BOM:504973
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Cholamandalam Financial Holdings ROCE % Calculation

Cholamandalam Financial Holdings'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 )
=68228.7/( ( (2246159.5 - 637349.9) + (2683327.2 - 224391.5) )/ 2 )
=68228.7/( (1608809.6+2458935.7)/ 2 )
=68228.7/2033872.65
=3.35 %

Cholamandalam Financial Holdings'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 )
=79448.4/( ( (0 - 0) + (2683327.2 - 224391.5) )/ 1 )
=79448.4/( ( 0 + 2458935.7 )/ 1 )
=79448.4/2458935.7
=3.23 %

(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 3.23% mean?
Cholamandalam Financial Holdings (BOM:504973) has a ROCE % of 3.23% as of Mar. 2026.
Is Cholamandalam Financial Holdings' ROCE % too high?
Cholamandalam Financial Holdings' current ROCE % is 3.23%. The Credit Services industry median ROCE % is 3.54. Cholamandalam Financial Holdings' value of 3.23% is 8.8% below this industry median. Overall, Cholamandalam Financial Holdings has a GF Score™ of 75/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cholamandalam Financial Holdings' ROCE % compare to V and MA?
Cholamandalam Financial Holdings' ROCE % of 3.23% can be compared against companies in the Credit Services industry. The industry median ROCE % is 3.54. Cholamandalam Financial Holdings' value of 3.23% is 8.8% below 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 Credit Services company?
The median ROCE % among Credit Services companies is 3.54, based on 416 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. Cholamandalam Financial Holdings's current ROCE % of 3.23% is 8.8% below 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 Credit Services industry, the median ROCE % is 3.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cholamandalam Financial Holdings's current ROCE % is 3.23%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cholamandalam Financial Holdings stock overvalued right now?
Based on GuruFocus' analysis, Cholamandalam Financial Holdings (BOM:504973) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹2,087.11, compared to a current price of ₹1,661.90 — trading 20.4% below its estimated fair value. The current ROCE % is 3.23% and 8.8% below the Credit Services industry median of 3.54. Cholamandalam Financial Holdings' overall GF Score™ is 75/100 with 6 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 Cholamandalam Financial Holdings (BOM:504973), the current ROCE % is 3.23% 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 Cholamandalam Financial Holdings (BOM:504973) Overvalued in 2026?

Based on GuruFocus' analysis, Cholamandalam Financial Holdings stock appears to be undervalued. The current stock price of ₹1,661.90 is trading 20.4% below its estimated GF Value™ of ₹2,087.11. GuruFocus considers Cholamandalam Financial Holdings to be Modestly Undervalued.

Key valuation signals for BOM:504973:

  • ROCE %: 3.23%
  • GF Value™: ₹2,087.11 vs. price of ₹1,661.90 (20.4% below fair value)
  • GF Score™: 75/100 with 6 warning signs
  • Industry Position: 8.8% below the Credit Services median

No single metric tells the full story. See the BOM:504973 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Cholamandalam Financial Holdings Business Description

Other Exchanges CHOLAHLDNG:India
Address No. 234, NSC Bose Road, Dare House, Chennai, TN, IND, 600001
Cholamandalam Financial Holdings Ltd along with its subsidiaries is a diversified investment company under the Murugappa Group. It offers financial services that include general insurance, residential mortgages, auto loans, risk services, and non-banking financial services. The company's activities are located exclusively in India. It has two primary product segments which include the Financial Services segment which derives key revenue and represents its lending business, and the Insurance and allied services segment.
75GF Score

Get the complete analysis for BOM:504973

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

₹1,661.90
Price
₹2,087.11
GF Value