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.
* 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 Chemicals subindustry, Vinyl Chemicals (India)'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.
Vinyl Chemicals (India) ROE % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Vinyl Chemicals (India)'s ROE % distribution charts can be found below:
* The bar in red indicates where Vinyl Chemicals (India)'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.
Vinyl Chemicals (India) (BOM:524129) has a ROE % of 14.28% 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 Vinyl Chemicals (India) and its competitors. This is 24% below median its historical median of 18.67. Over the past decade, Vinyl Chemicals (India)'s ROE % has ranged from 12.41 to 42.49. According to the industry distribution chart, Vinyl Chemicals (India) ranks #286 out of 1585 companies in the Chemicals industry, placing it in the top 18%.
Is Vinyl Chemicals (India)'s ROE % too high?
Vinyl Chemicals (India)'s current ROE % of 14.28% is 24% below median its 10-year median of 18.67. Over the past 10 years, this metric has ranged from a low of 12.41 to a high of 42.49. The Chemicals industry median ROE % is 5.20. Vinyl Chemicals (India)'s value of 14.28% is 174.6% above this industry median. Based on the distribution chart, Vinyl Chemicals (India) ranks #286 out of 1585 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Vinyl Chemicals (India) has a GF Score™ of 74/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Vinyl Chemicals (India)'s ROE % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Vinyl Chemicals (India) ranks #286 out of 1585 companies for ROE %. This places Vinyl Chemicals (India) in the top 18% of its industry — outperforming the majority of peers. The industry median ROE % is 5.20. Vinyl Chemicals (India)'s value of 14.28% is 174.6% above this benchmark. Historically, Vinyl Chemicals (India)'s own ROE % has ranged from 12.41 to 42.49 over the past decade. While the company's 10-year median is 18.67 vs. the industry median of 5.20, Vinyl Chemicals (India) 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 Chemicals company?
The median ROE % among Chemicals companies is 5.20, based on 1,585 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. Vinyl Chemicals (India)'s current ROE % of 14.28% is 174.6% 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 Vinyl Chemicals (India) and its competitors. For the Chemicals industry, the median ROE % is 5.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Vinyl Chemicals (India)'s current ROE % is 14.28%, which is 24% below median its own 10-year median of 18.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vinyl Chemicals (India) stock overvalued right now?
Based on GuruFocus' analysis, Vinyl Chemicals (India) (BOM:524129) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹329.47, compared to a current price of ₹263.20 — trading 20.1% below its estimated fair value. The current ROE % is 14.28%, which is 24% below median its 10-year median of 18.67 and 174.6% above the Chemicals industry median of 5.20. Vinyl Chemicals (India)'s overall GF Score™ is 74/100 with 8 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 Vinyl Chemicals (India) (BOM:524129), the current ROE % is 14.28% 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 Vinyl Chemicals (India) (BOM:524129) Overvalued in 2026?
Based on GuruFocus' analysis, Vinyl Chemicals (India) stock appears to be undervalued.
The current stock price of ₹263.20 is trading 20.1% below its estimated GF Value™ of ₹329.47.
GuruFocus considers Vinyl Chemicals (India) to be Modestly Undervalued.
Key valuation signals for BOM:524129:
ROE %: 14.28% (24% below median its 10-year median of 18.67)
GF Value™: ₹329.47 vs. price of ₹263.20 (20.1% below fair value)
Industry Position: 174.6% above the Chemicals median (#286 of 1585)
No single metric tells the full story. See the BOM:524129 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Vinyl Chemicals (India) Ltd is engaged in the trading of specialty chemicals. The products of the company include Vinyl Acetate Monomer, which is imported and distributed in India. The company is engaged mainly in the trading of Vinyl Acetate Monomer (VAM).
74GF Score
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