James Hardie IndustriesJHX +1.04%46 ROE % is 1.78% as of Mar. 2026, which is 93% below its 10-year median of 27.24. GuruFocus rates JHX with a GF Score™ of 46/100. The stock has 8 warning signs investors should review. Among 404 Building Materials companies, James Hardie Industries ranks worse than 61.88% on this metric.
The historical rank and industry rank for James Hardie Industries's ROE % or its related term are showing as below:
JHX'
s ROE % Range Over the Past 10 Years
Min: 2.21 Med: 27.24 Max: 60.78
Current: 2.21
During the past 13 years, James Hardie Industries's highest ROE % was 60.78%. The lowest was 2.21%. And the median was 27.24%.
JHX's ROE % is ranked worse than 61.88% of 404
companies
in the Building Materials industry
Industry Median: 4.335
vs JHX: 2.21
James Hardie Industries (NYSE:JHX) 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.
* 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 Materials subindustry, James Hardie Industries'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.
James Hardie Industries ROE % vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, James Hardie Industries's ROE % distribution charts can be found below:
* The bar in red indicates where James Hardie Industries'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.
James Hardie Industries (JHX) has a ROE % of 1.78% 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 James Hardie Industries and its competitors. This is 93% below median its historical median of 27.24. Over the past decade, James Hardie Industries' ROE % has ranged from 2.21 to 60.78. According to the industry distribution chart, James Hardie Industries ranks #250 out of 404 companies in the Building Materials industry, placing it in the top 61.9%.
Is James Hardie Industries' ROE % too high?
James Hardie Industries' current ROE % of 1.78% is 93% below median its 10-year median of 27.24. Over the past 10 years, this metric has ranged from a low of 2.21 to a high of 60.78. The Building Materials industry median ROE % is 4.34. James Hardie Industries' value of 1.78% is 58.9% below this industry median. Based on the distribution chart, James Hardie Industries ranks #250 out of 404 companies in the Building Materials industry, which is below the industry midpoint. Overall, James Hardie Industries has a GF Score™ of 46/100, reflecting its overall financial health beyond just this single metric.
How does James Hardie Industries' ROE % compare to EXP and KNF?
According to the Building Materials industry distribution chart, James Hardie Industries ranks #250 out of 404 companies for ROE %. This places James Hardie Industries in the lower half of its industry. The industry median ROE % is 4.34. James Hardie Industries' value of 1.78% is 58.9% below this benchmark. Historically, James Hardie Industries' own ROE % has ranged from 2.21 to 60.78 over the past decade. While the company's 10-year median is 27.24 vs. the industry median of 4.34, James Hardie Industries has consistently been below 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 Building Materials company?
The median ROE % among Building Materials companies is 4.34, based on 404 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. James Hardie Industries's current ROE % of 1.78% is 58.9% below 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 James Hardie Industries and its competitors. For the Building Materials industry, the median ROE % is 4.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. James Hardie Industries's current ROE % is 1.78%, which is 93% below median its own 10-year median of 27.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is James Hardie Industries stock overvalued right now?
James Hardie Industries (JHX) has a current ROE % of 1.78%. The current ROE % is 1.78%, which is 93% below median its 10-year median of 27.24 and 58.9% below the Building Materials industry median of 4.34. James Hardie Industries' overall GF Score™ is 46/100 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 James Hardie Industries (JHX), the current ROE % is 1.78% 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.
James Hardie is a manufacturer of fiber cement-based building products, selling primarily to the residential construction industry. North America is the primary geography, generating about 80% of group earnings. Here, it is the largest manufacturer of fiber cement, which is mainly used for exterior siding on houses. Following the Azek acquisition in 2025, it also produces wooden composite decking materials, siding trims, and accessories for outdoor areas including stair and deck railing. Businesses in Australia, New Zealand, and Europe, make up the rest of earnings.
46GF Score
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