Vardhman Textiles (NSE:VTL) ROCE %: 7.87% (As of Mar. 2026)


NSE:VTL Vardhman Textiles Ltd NSE:VTL
76 GF Score
Price ₹634.30
GF Value ₹477.12
Valuation Significantly Overvalued
! 8 Warning Signs
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What is Vardhman Textiles ROCE %?

Vardhman Textiles NSE:VTL -1.70% 76 ROCE % is 7.87% as of Mar. 2026. GuruFocus rates NSE:VTL with a GF Score™ of 76/100 and a GF Value™ of ₹477.12 (Significantly Overvalued). The stock has 8 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. Vardhman Textiles's annualized ROCE % for the quarter that ended in Mar. 2026 was 7.87%.

Vardhman Textiles  (NSE:VTL) 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.

Vardhman Textiles ROCE % Related Terms

Vardhman Textiles ROCE % Historical Data

* Premium members only.

The historical data trend for Vardhman Textiles'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.

Vardhman Textiles ROCE % Chart

Vardhman Textiles 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 24.95 12.12 9.33 11.87 9.01

Vardhman Textiles 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 11.42 10.79 9.10 8.11 7.87
NSE:VTL
76GF Score
Vardhman Textiles Ltd NSE:VTL
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Vardhman Textiles ROCE % Calculation

Vardhman Textiles'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 )
=10476.2/( ( (124321 - 13620.5) + (138655.5 - 16795.1) )/ 2 )
=10476.2/( (110700.5+121860.4)/ 2 )
=10476.2/116280.45
=9.01 %

Vardhman Textiles'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 )
=9592/( ( (0 - 0) + (138655.5 - 16795.1) )/ 1 )
=9592/( ( 0 + 121860.4 )/ 1 )
=9592/121860.4
=7.87 %

(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 7.87% mean?
Vardhman Textiles (NSE:VTL) has a ROCE % of 7.87% as of Mar. 2026.
Is Vardhman Textiles' ROCE % too high?
Vardhman Textiles' current ROCE % is 7.87%. The Manufacturing - Apparel & Accessories industry median ROCE % is 6.14. Vardhman Textiles' value of 7.87% is 28.2% above this industry median. Overall, Vardhman Textiles has a GF Score™ of 76/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Vardhman Textiles' ROCE % compare to competitors?
Vardhman Textiles' ROCE % of 7.87% can be compared against companies in the Manufacturing - Apparel & Accessories industry. The industry median ROCE % is 6.14. Vardhman Textiles' value of 7.87% is 28.2% 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 Manufacturing - Apparel & Accessories company?
The median ROCE % among Manufacturing - Apparel & Accessories companies is 6.14, based on 1,040 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. Vardhman Textiles's current ROCE % of 7.87% is 28.2% 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 Manufacturing - Apparel & Accessories industry, the median ROCE % is 6.14 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Vardhman Textiles's current ROCE % is 7.87%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vardhman Textiles stock overvalued right now?
Based on GuruFocus' analysis, Vardhman Textiles (NSE:VTL) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹477.12, compared to a current price of ₹634.30 — trading 32.9% above its estimated fair value. The current ROCE % is 7.87% and 28.2% above the Manufacturing - Apparel & Accessories industry median of 6.14. Vardhman Textiles' overall GF Score™ is 76/100 with 8 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 Vardhman Textiles (NSE:VTL), the current ROCE % is 7.87% 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 Vardhman Textiles (NSE:VTL) Overvalued in 2026?

Based on GuruFocus' analysis, Vardhman Textiles stock appears to be overvalued. The current stock price of ₹634.30 is trading 32.9% above its estimated GF Value™ of ₹477.12. GuruFocus considers Vardhman Textiles to be Significantly Overvalued.

Key valuation signals for NSE:VTL:

  • ROCE %: 7.87%
  • GF Value™: ₹477.12 vs. price of ₹634.30 (32.9% above fair value)
  • GF Score™: 76/100 with 8 warning signs
  • Industry Position: 28.2% above the Manufacturing - Apparel & Accessories median

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

Vardhman Textiles Business Description

Other Exchanges 502986:India
Address Chandigarh Road, Vardhman Premises, Ludhiana, PB, IND, 141010
Vardhman Textiles Ltd is a manufacturer and seller of textiles and acrylic fiber. The company's segments include: Textile and Fibre. The company derives majority of its revenue from Textiles segment, which offers greige and dyed yarns in a number of fabrics such as cotton, polyester, acrylic, organic cotton, melange, cellulose, and synthetics. The company provides fabrics for the apparel industry and home textiles and manufactures shirts for retail brands. In addition, It offers hot-rolled bars for use in industries such as automotive, engineering, and allied industries. Geographically, it operates in India as well as Overseas.
76GF Score

Get the complete analysis for NSE:VTL

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

₹634.30
Price
₹477.12
GF Value