Blue StarBOM:500067 +0.16%92 ROE % is 26.47% as of Mar. 2026, which is 42% above its 10-year median of 18.58. GuruFocus rates BOM:500067 with a GF Score™ of 92/100 and a GF Value™ of ₹1,915.21 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 1,738 Construction companies, Blue Star ranks better than 80.61% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Blue Star's annualized net income for the quarter that ended in Mar. 2026 was ₹9,082 Mil. Blue Star's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was ₹34,314 Mil. Therefore, Blue Star's annualized ROE % for the quarter that ended in Mar. 2026 was 26.47%.
The historical rank and industry rank for Blue Star's ROE % or its related term are showing as below:
BOM:500067'
s ROE % Range Over the Past 10 Years
Min: 12.04 Med: 18.58 Max: 34.11
Current: 16.48
During the past 13 years, Blue Star's highest ROE % was 34.11%. The lowest was 12.04%. And the median was 18.58%.
BOM:500067's ROE % is ranked better than 80.61% of 1738
companies
in the Construction industry
Industry Median: 6.715
vs BOM:500067: 16.48
Blue Star (BOM:500067) 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.
Blue Star ROE % Related Terms
Blue Star ROE % Historical Data
* Premium members only.
The historical data trend for Blue Star'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 Building Products & Equipment subindustry, Blue Star'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.
Blue Star ROE % vs Construction Industry
For the Construction industry and Industrials sector, Blue Star's ROE % distribution charts can be found below:
* The bar in red indicates where Blue Star'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.
Blue Star (BOM:500067) has a ROE % of 26.47% 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 Blue Star and its competitors. This is 42% above median its historical median of 18.58. Over the past decade, Blue Star's ROE % has ranged from 12.04 to 34.11. According to the industry distribution chart, Blue Star ranks #337 out of 1738 companies in the Construction industry, placing it in the top 19.4%.
Is Blue Star's ROE % too high?
Blue Star's current ROE % of 26.47% is 42% above median its 10-year median of 18.58. Over the past 10 years, this metric has ranged from a low of 12.04 to a high of 34.11. The Construction industry median ROE % is 6.72. Blue Star's value of 26.47% is 294.2% above this industry median. Based on the distribution chart, Blue Star ranks #337 out of 1738 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Blue Star has a GF Score™ of 92/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Blue Star's ROE % compare to TT and JCI?
According to the Construction industry distribution chart, Blue Star ranks #337 out of 1738 companies for ROE %. This places Blue Star in the top 19% of its industry — outperforming the majority of peers. The industry median ROE % is 6.72. Blue Star's value of 26.47% is 294.2% above this benchmark. Historically, Blue Star's own ROE % has ranged from 12.04 to 34.11 over the past decade. While the company's 10-year median is 18.58 vs. the industry median of 6.72, Blue Star 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 a Construction company?
The median ROE % among Construction companies is 6.72, based on 1,738 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. Blue Star's current ROE % of 26.47% is 294.2% 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 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 Blue Star and its competitors. For the Construction industry, the median ROE % is 6.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Blue Star's current ROE % is 26.47%, which is 42% above median its own 10-year median of 18.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Blue Star stock overvalued right now?
Based on GuruFocus' analysis, Blue Star (BOM:500067) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹1,915.21, compared to a current price of ₹1,639.05 — trading 14.4% below its estimated fair value. The current ROE % is 26.47%, which is 42% above median its 10-year median of 18.58 and 294.2% above the Construction industry median of 6.72. Blue Star's overall GF Score™ is 92/100 with 1 warning sign to review. 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 Blue Star (BOM:500067), the current ROE % is 26.47% 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 Blue Star (BOM:500067) Overvalued in 2026?
Based on GuruFocus' analysis, Blue Star stock appears to be undervalued.
The current stock price of ₹1,639.05 is trading 14.4% below its estimated GF Value™ of ₹1,915.21.
GuruFocus considers Blue Star to be Modestly Undervalued.
Key valuation signals for BOM:500067:
ROE %: 26.47% (42% above median its 10-year median of 18.58)
GF Value™: ₹1,915.21 vs. price of ₹1,639.05 (14.4% below fair value)
Industry Position: 294.2% above the Construction median (#337 of 1738)
No single metric tells the full story. See the BOM:500067 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Blue Star Ltd is an India-based air conditioning and commercial refrigeration company. It serves corporate, commercial, and residential entities. The company's operating segment includes Electro-Mechanical Projects and Commercial Air Conditioning Systems; Unitary Products and Professional Electronics and Industrial Systems. It generates maximum revenue from the Electro-Mechanical Projects and Commercial Air-conditioning Systems segment which includes central air-conditioning projects, Electrical Contracting business, and Packaged air-conditioning businesses including manufacturing and after-sales service. Geographically, the company generates a majority of its revenue from its operations in India.
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