Bharat ElectronicsBOM:500049 -1.68%98 ROE % is 37.11% as of Mar. 2026, which is 75% above its 10-year median of 21.23. GuruFocus rates BOM:500049 with a GF Score™ of 98/100 and a GF Value™ of ₹394.28 (Fairly Valued). Among 347 Aerospace & Defense companies, Bharat Electronics ranks better than 89.91% on this metric.
The historical rank and industry rank for Bharat Electronics's ROE % or its related term are showing as below:
BOM:500049'
s ROE % Range Over the Past 10 Years
Min: 17.94 Med: 21.23 Max: 29.32
Current: 27.75
During the past 13 years, Bharat Electronics's highest ROE % was 29.32%. The lowest was 17.94%. And the median was 21.23%.
BOM:500049's ROE % is ranked better than 89.91% of 347
companies
in the Aerospace & Defense industry
Industry Median: 5.91
vs BOM:500049: 27.75
Bharat Electronics (BOM:500049) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
Bharat Electronics ROE % Related Terms
Bharat Electronics ROE % Historical Data
* Premium members only.
The historical data trend for Bharat Electronics's ROE % 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.
For the Aerospace & Defense subindustry, Bharat Electronics's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Bharat Electronics ROE % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Bharat Electronics's ROE % distribution charts can be found below:
* The bar in red indicates where Bharat Electronics's ROE % falls into.
* 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.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Bharat Electronics (BOM:500049) has a ROE % of 37.11% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Bharat Electronics and its competitors. This is 75% above median its historical median of 21.23. Over the past decade, Bharat Electronics' ROE % has ranged from 17.94 to 29.32. According to the industry distribution chart, Bharat Electronics ranks #35 out of 347 companies in the Aerospace & Defense industry, placing it in the top 10.1%.
Is Bharat Electronics' ROE % too high?
Bharat Electronics' current ROE % of 37.11% is 75% above median its 10-year median of 21.23. Over the past 10 years, this metric has ranged from a low of 17.94 to a high of 29.32. The Aerospace & Defense industry median ROE % is 5.91. Bharat Electronics' value of 37.11% is 527.9% above this industry median. Based on the distribution chart, Bharat Electronics ranks #35 out of 347 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, Bharat Electronics has a GF Score™ of 98/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Bharat Electronics' ROE % compare to SPCX and GE?
According to the Aerospace & Defense industry distribution chart, Bharat Electronics ranks #35 out of 347 companies for ROE %. This places Bharat Electronics in the top 10% of its industry — outperforming the majority of peers. The industry median ROE % is 5.91. Bharat Electronics' value of 37.11% is 527.9% above this benchmark. Historically, Bharat Electronics' own ROE % has ranged from 17.94 to 29.32 over the past decade. While the company's 10-year median is 21.23 vs. the industry median of 5.91, Bharat Electronics has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for an Aerospace & Defense company?
The median ROE % among Aerospace & Defense companies is 5.91, based on 347 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Bharat Electronics's current ROE % of 37.11% is 527.9% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Bharat Electronics and its competitors. For the Aerospace & Defense industry, the median ROE % is 5.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bharat Electronics's current ROE % is 37.11%, which is 75% above median its own 10-year median of 21.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bharat Electronics stock overvalued right now?
Based on GuruFocus' analysis, Bharat Electronics (BOM:500049) is currently considered Fairly Valued. The stock's GF Value™ is ₹394.28, compared to a current price of ₹406.80 — trading 3.2% above its estimated fair value. The current ROE % is 37.11%, which is 75% above median its 10-year median of 21.23 and 527.9% above the Aerospace & Defense industry median of 5.91. Bharat Electronics' overall GF Score™ is 98/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Bharat Electronics (BOM:500049), the current ROE % is 37.11% 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 Bharat Electronics (BOM:500049) Overvalued in 2026?
Based on GuruFocus' analysis, Bharat Electronics stock appears to be overvalued.
The current stock price of ₹406.80 is trading 3.2% above its estimated GF Value™ of ₹394.28.
GuruFocus considers Bharat Electronics to be Fairly Valued.
Key valuation signals for BOM:500049:
ROE %: 37.11% (75% above median its 10-year median of 21.23)
GF Value™: ₹394.28 vs. price of ₹406.80 (3.2% above fair value)
Industry Position: 527.9% above the Aerospace & Defense median (#35 of 347)
No single metric tells the full story. See the BOM:500049 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bharat Electronics Ltd is an aerospace and defense company predominantly owned by the Indian government. It manufactures a wide range of specialized electronics and equipment for defense and civilian use. Its investments are made in research and development to meet the ever-changing needs of customers and to test products in its pipeline. Its product portfolio includes unmanned systems, land-based radars, batteries, weapon systems, fuzes, simulators, and jammers, among others. It also provides cybersecurity and software products. A majority of the company's revenue is derived from the defense sector. Geographically, the company's key revenue is derived from India, and it also has international customers from countries like the United Kingdom, Israel, and others.
98GF Score
Get the complete analysis for BOM:500049
ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BOM:500049 has been successfully added to your 
