Bharat GearsBOM:505688 -1.66%67 ROE % is 15.45% as of Mar. 2026, which is 166% above its 10-year median of 5.80. GuruFocus rates BOM:505688 with a GF Score™ of 67/100 and a GF Value™ of ₹126.63 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,308 Vehicles & Parts companies, Bharat Gears ranks better than 77.06% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Bharat Gears's annualized net income for the quarter that ended in Mar. 2026 was ₹203 Mil. Bharat Gears's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was ₹1,312 Mil. Therefore, Bharat Gears's annualized ROE % for the quarter that ended in Mar. 2026 was 15.45%.
The historical rank and industry rank for Bharat Gears's ROE % or its related term are showing as below:
BOM:505688'
s ROE % Range Over the Past 10 Years
Min: -22.35 Med: 5.8 Max: 28.39
Current: 13.53
During the past 13 years, Bharat Gears's highest ROE % was 28.39%. The lowest was -22.35%. And the median was 5.80%.
BOM:505688's ROE % is ranked better than 77.06% of 1308
companies
in the Vehicles & Parts industry
Industry Median: 6.59
vs BOM:505688: 13.53
Bharat Gears (BOM:505688) 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 Gears ROE % Related Terms
Bharat Gears ROE % Historical Data
* Premium members only.
The historical data trend for Bharat Gears'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 Auto Parts subindustry, Bharat Gears'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 Gears ROE % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Bharat Gears's ROE % distribution charts can be found below:
* The bar in red indicates where Bharat Gears'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 Gears (BOM:505688) has a ROE % of 15.45% 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 Gears and its competitors. This is 166% above median its historical median of 5.80. According to the industry distribution chart, Bharat Gears ranks #300 out of 1308 companies in the Vehicles & Parts industry, placing it in the top 22.9%.
Is Bharat Gears' ROE % too high?
Bharat Gears' current ROE % of 15.45% is 166% above median its 10-year median of 5.80. The Vehicles & Parts industry median ROE % is 6.59. Bharat Gears' value of 15.45% is 134.4% above this industry median. Based on the distribution chart, Bharat Gears ranks #300 out of 1308 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Bharat Gears has a GF Score™ of 67/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Bharat Gears' ROE % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Bharat Gears ranks #300 out of 1308 companies for ROE %. This places Bharat Gears in the top 23% of its industry — outperforming the majority of peers. The industry median ROE % is 6.59. Bharat Gears' value of 15.45% is 134.4% above this benchmark. While the company's 10-year median is 5.80 vs. the industry median of 6.59, Bharat Gears 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 Vehicles & Parts company?
The median ROE % among Vehicles & Parts companies is 6.59, based on 1,308 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 Gears's current ROE % of 15.45% is 134.4% 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 Gears and its competitors. For the Vehicles & Parts industry, the median ROE % is 6.59 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bharat Gears's current ROE % is 15.45%, which is 166% above median its own 10-year median of 5.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bharat Gears stock overvalued right now?
Based on GuruFocus' analysis, Bharat Gears (BOM:505688) is currently considered Fairly Valued. The stock's GF Value™ is ₹126.63, compared to a current price of ₹133.15 — trading 5.1% above its estimated fair value. The current ROE % is 15.45%, which is 166% above median its 10-year median of 5.80 and 134.4% above the Vehicles & Parts industry median of 6.59. Bharat Gears' overall GF Score™ is 67/100 with 5 warning signs 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 Bharat Gears (BOM:505688), the current ROE % is 15.45% 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 Gears (BOM:505688) Overvalued in 2026?
Based on GuruFocus' analysis, Bharat Gears stock appears to be overvalued.
The current stock price of ₹133.15 is trading 5.1% above its estimated GF Value™ of ₹126.63.
GuruFocus considers Bharat Gears to be Fairly Valued.
Key valuation signals for BOM:505688:
ROE %: 15.45% (166% above median its 10-year median of 5.80)
GF Value™: ₹126.63 vs. price of ₹133.15 (5.1% above fair value)
Industry Position: 134.4% above the Vehicles & Parts median (#300 of 1308)
No single metric tells the full story. See the BOM:505688 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bharat Gears Ltd is engaged in the automotive gears business. The company offers a wide range of gear products such as ring gears and pinions, transmission gears and shafts, differential gears, gearboxes, and heat treatment furnaces. The company caters to the commercial vehicle, agricultural machinery, construction equipment segments, and others. The company has a presence in India, and USA, Mexico, Spain, and Other countries.
67GF Score
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