Elgi EquipmentsBOM:522074 -2.65%94 ROE % is 22.94% as of Mar. 2026, which is 37% above its 10-year median of 16.74. GuruFocus rates BOM:522074 with a GF Score™ of 94/100 and a GF Value™ of ₹670.48 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 3,003 Industrial Products companies, Elgi Equipments ranks better than 90.68% on this metric.
The historical rank and industry rank for Elgi Equipments's ROE % or its related term are showing as below:
BOM:522074'
s ROE % Range Over the Past 10 Years
Min: 5.53 Med: 16.74 Max: 30.85
Current: 21.14
During the past 13 years, Elgi Equipments's highest ROE % was 30.85%. The lowest was 5.53%. And the median was 16.74%.
BOM:522074's ROE % is ranked better than 90.68% of 3003
companies
in the Industrial Products industry
Industry Median: 5.85
vs BOM:522074: 21.14
Elgi Equipments (BOM:522074) 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.
Elgi Equipments ROE % Related Terms
Elgi Equipments ROE % Historical Data
* Premium members only.
The historical data trend for Elgi Equipments'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 Specialty Industrial Machinery subindustry, Elgi Equipments'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.
Elgi Equipments ROE % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Elgi Equipments's ROE % distribution charts can be found below:
* The bar in red indicates where Elgi Equipments'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.
Elgi Equipments (BOM:522074) has a ROE % of 22.94% 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 Elgi Equipments and its competitors. This is 37% above median its historical median of 16.74. Over the past decade, Elgi Equipments' ROE % has ranged from 5.53 to 30.85. According to the industry distribution chart, Elgi Equipments ranks #280 out of 3003 companies in the Industrial Products industry, placing it in the top 9.3%.
Is Elgi Equipments' ROE % too high?
Elgi Equipments' current ROE % of 22.94% is 37% above median its 10-year median of 16.74. Over the past 10 years, this metric has ranged from a low of 5.53 to a high of 30.85. The Industrial Products industry median ROE % is 5.85. Elgi Equipments' value of 22.94% is 292.1% above this industry median. Based on the distribution chart, Elgi Equipments ranks #280 out of 3003 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Elgi Equipments has a GF Score™ of 94/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Elgi Equipments' ROE % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Elgi Equipments ranks #280 out of 3003 companies for ROE %. This places Elgi Equipments in the top 9% of its industry — outperforming the majority of peers. The industry median ROE % is 5.85. Elgi Equipments' value of 22.94% is 292.1% above this benchmark. Historically, Elgi Equipments' own ROE % has ranged from 5.53 to 30.85 over the past decade. While the company's 10-year median is 16.74 vs. the industry median of 5.85, Elgi Equipments 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 Industrial Products company?
The median ROE % among Industrial Products companies is 5.85, based on 3,003 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. Elgi Equipments's current ROE % of 22.94% is 292.1% 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 Elgi Equipments and its competitors. For the Industrial Products industry, the median ROE % is 5.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Elgi Equipments's current ROE % is 22.94%, which is 37% above median its own 10-year median of 16.74. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Elgi Equipments stock overvalued right now?
Based on GuruFocus' analysis, Elgi Equipments (BOM:522074) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹670.48, compared to a current price of ₹578.35 — trading 13.7% below its estimated fair value. The current ROE % is 22.94%, which is 37% above median its 10-year median of 16.74 and 292.1% above the Industrial Products industry median of 5.85. Elgi Equipments' overall GF Score™ is 94/100 with 3 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 Elgi Equipments (BOM:522074), the current ROE % is 22.94% 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 Elgi Equipments (BOM:522074) Overvalued in 2026?
Based on GuruFocus' analysis, Elgi Equipments stock appears to be undervalued.
The current stock price of ₹578.35 is trading 13.7% below its estimated GF Value™ of ₹670.48.
GuruFocus considers Elgi Equipments to be Modestly Undervalued.
Key valuation signals for BOM:522074:
ROE %: 22.94% (37% above median its 10-year median of 16.74)
GF Value™: ₹670.48 vs. price of ₹578.35 (13.7% below fair value)
Industry Position: 292.1% above the Industrial Products median (#280 of 3003)
No single metric tells the full story. See the BOM:522074 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Elgi Equipments Ltd manufactures air compressors and compressed air systems. The segment in which the group operates includes Air Compressors and Automotive Equipment. Its products include piston compressors, electric lubricated screw compressors, electric oil-free screw compressors, portable compressors, railway compressors, and air accessories. Geographically, it derives a majority of its revenue from India and also has a presence in the United States of America, Italy, Australia, and other countries. It serves the Textile; Manufacturing; Automotive; Agriculture and Construction industries.
94GF Score
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