HFCL (NSE:HFCL) ROCE %: 21.14% (As of Mar. 2026)

What is HFCL ROCE %?

HFCL NSE:HFCL +5.00% 55 ROCE % is 21.14% as of Mar. 2026. GuruFocus rates NSE:HFCL with a GF Score™ of 55/100 and a GF Value™ of ₹95.32 (Significantly Overvalued). The stock has 7 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. HFCL's annualized ROCE % for the quarter that ended in Mar. 2026 was 21.14%.

HFCL (NSE:HFCL) 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.

HFCL ROCE % Related Terms

HFCL ROCE % Historical Data

* Premium members only.

The historical data trend for HFCL'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.

HFCL ROCE % Chart

HFCL Annual Data

Trend

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Mar24

Mar25

Mar26

ROCE %

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19.78

16.23

13.92

8.96

13.18

HFCL 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															-4.63	0.94	13.95	16.75	21.14

55GF Score

HFCL Ltd NSE:HFCL

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

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HFCL ROCE % Calculation

HFCL'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 )
	=	6697.4	/	( ( (75462.9 - 28878.7)	+	(88675.8 - 33667.9) )	/ 2 )
	=	6697.4	/	( (46584.2	+	55007.9)	/ 2 )
	=	6697.4	/	50796.05
	=	13.18 %

HFCL'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 )
	=	11627.2	/	( ( (0 - 0)	+	(88675.8 - 33667.9) )	/ 1 )
	=	11627.2	/	( ( 0	+	55007.9 )	/ 1 )
	=	11627.2	/	55007.9
	=	21.14 %

(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 21.14% mean?

HFCL (NSE:HFCL) has a ROCE % of 21.14% as of Mar. 2026.

Is HFCL's ROCE % too high?

HFCL's current ROCE % is 21.14%. The Hardware industry median ROCE % is 5.81. HFCL's value of 21.14% is 263.9% above this industry median. Overall, HFCL has a GF Score™ of 55/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.

How does HFCL's ROCE % compare to CSCO and CIEN?

HFCL's ROCE % of 21.14% can be compared against companies in the Hardware industry. The industry median ROCE % is 5.81. HFCL's value of 21.14% is 263.9% 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 Hardware company?

The median ROCE % among Hardware companies is 5.81, based on 2,449 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. HFCL's current ROCE % of 21.14% is 263.9% 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 Hardware industry, the median ROCE % is 5.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. HFCL's current ROCE % is 21.14%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is HFCL stock overvalued right now?

Based on GuruFocus' analysis, HFCL (NSE:HFCL) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹95.32, compared to a current price of ₹215.00 — trading 125.6% above its estimated fair value. The current ROCE % is 21.14% and 263.9% above the Hardware industry median of 5.81. HFCL's overall GF Score™ is 55/100 with 7 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 HFCL (NSE:HFCL), the current ROCE % is 21.14% 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 HFCL (NSE:HFCL) Overvalued in 2026?

Based on GuruFocus' analysis, HFCL stock appears to be overvalued. The current stock price of ₹215.00 is trading 125.6% above its estimated GF Value™ of ₹95.32. GuruFocus considers HFCL to be Significantly Overvalued.

Key valuation signals for NSE:HFCL:

ROCE %: 21.14%
GF Value™: ₹95.32 vs. price of ₹215.00 (125.6% above fair value)
GF Score™: 55/100 with 7 warning signs
Industry Position: 263.9% above the Hardware median

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

HFCL Business Description

Industry Technology Hardware

Comparable Companies NSE:STLTECH BOM:523610 BOM:532493 BOM:540595 BOM:532406 NSE:PACEDIGITK BOM:530555 BOM:504112 BOM:533146 BOM:532775 CSCO SZSE:300308 SHSE:601138 SZSE:300502 OHEL:NOKIA CIEN MSI LITE HPE SZSE:300394

Other Exchanges 500183:India

Address 8, Commercial Complex, Masjid Moth, Greater Kailash II, New Delhi, IND, 110 048

Website https://www.hfcl.com

HFCL Ltd is an Indian manufacturer and exporter of optical fiber cables and broadband equipment for the telecommunication industry. Firm business segments include Telecom Products and Turnkey Contracts Services. The Telecom Product segment produces optical fiber cable, optical fiber, and telecom equipment. The Turnkey Contracts and services segment is engaged in delivering telecom infrastructure and communication network systems for Telecom Operators, Defence Services, Railways, Safe and Smart Cities, etc. The firm's products and solutions include Fiber optics, Telecommunication, Defence, and Passive Networking Components. It generates substantial revenue from the sale of turnkey projects and related activities.

55GF Score

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₹215.00

Price

₹95.32

GF Value

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