Ghandhara AutomobilesKAR:GAL -1.23%79 ROE % is 42.65% as of Mar. 2026, which is 1821% above its 10-year median of 2.22. GuruFocus rates KAR:GAL with a GF Score™ of 79/100 and a GF Value™ of ₨640.17 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,308 Vehicles & Parts companies, Ghandhara Automobiles ranks better than 97.48% on this metric.
The historical rank and industry rank for Ghandhara Automobiles's ROE % or its related term are showing as below:
KAR:GAL'
s ROE % Range Over the Past 10 Years
Min: -6.52 Med: 2.22 Max: 41.32
Current: 41.32
During the past 7 years, Ghandhara Automobiles's highest ROE % was 41.32%. The lowest was -6.52%. And the median was 2.22%.
KAR:GAL's ROE % is ranked better than 97.48% of 1308
companies
in the Vehicles & Parts industry
Industry Median: 6.64
vs KAR:GAL: 41.32
Ghandhara Automobiles (KAR:GAL) 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 Auto Manufacturers subindustry, Ghandhara Automobiles'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.
Ghandhara Automobiles ROE % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Ghandhara Automobiles's ROE % distribution charts can be found below:
* The bar in red indicates where Ghandhara Automobiles'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.
Ghandhara Automobiles (KAR:GAL) has a ROE % of 42.65% 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 Ghandhara Automobiles and its competitors. This is 1821% above median its historical median of 2.22. According to the industry distribution chart, Ghandhara Automobiles ranks #33 out of 1308 companies in the Vehicles & Parts industry, placing it in the top 2.5%.
Is Ghandhara Automobiles' ROE % too high?
Ghandhara Automobiles' current ROE % of 42.65% is 1821% above median its 10-year median of 2.22. The Vehicles & Parts industry median ROE % is 6.64. Ghandhara Automobiles' value of 42.65% is 542.3% above this industry median. Based on the distribution chart, Ghandhara Automobiles ranks #33 out of 1308 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Ghandhara Automobiles has a GF Score™ of 79/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Ghandhara Automobiles' ROE % compare to TSLA and GM?
According to the Vehicles & Parts industry distribution chart, Ghandhara Automobiles ranks #33 out of 1308 companies for ROE %. This places Ghandhara Automobiles in the top 3% of its industry — outperforming the majority of peers. The industry median ROE % is 6.64. Ghandhara Automobiles' value of 42.65% is 542.3% above this benchmark. While the company's 10-year median is 2.22 vs. the industry median of 6.64, Ghandhara Automobiles 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 6.64, 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. Ghandhara Automobiles's current ROE % of 42.65% is 542.3% 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 Ghandhara Automobiles and its competitors. For the Vehicles & Parts industry, the median ROE % is 6.64 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ghandhara Automobiles's current ROE % is 42.65%, which is 1821% above median its own 10-year median of 2.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ghandhara Automobiles stock overvalued right now?
Based on GuruFocus' analysis, Ghandhara Automobiles (KAR:GAL) is currently considered Modestly Undervalued. The stock's GF Value™ is ₨640.17, compared to a current price of ₨576.02 — trading 10% below its estimated fair value. The current ROE % is 42.65%, which is 1821% above median its 10-year median of 2.22 and 542.3% above the Vehicles & Parts industry median of 6.64. Ghandhara Automobiles' overall GF Score™ is 79/100 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 Ghandhara Automobiles (KAR:GAL), the current ROE % is 42.65% 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 Ghandhara Automobiles (KAR:GAL) Overvalued in 2026?
Based on GuruFocus' analysis, Ghandhara Automobiles stock appears to be undervalued.
The current stock price of ₨576.02 is trading 10% below its estimated GF Value™ of ₨640.17.
GuruFocus considers Ghandhara Automobiles to be Modestly Undervalued.
Key valuation signals for KAR:GAL:
ROE %: 42.65% (1821% above median its 10-year median of 2.22)
GF Value™: ₨640.17 vs. price of ₨576.02 (10% below fair value)
Industry Position: 542.3% above the Vehicles & Parts median (#33 of 1308)
No single metric tells the full story. See the KAR:GAL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ghandhara Automobiles Ltd is a company whose principal business is the assembly or progressive manufacturing of vehicles, including JAC Trucks & Pickup, import and sale of Dongfeng and Renault vehicles in Completely Built-up condition, sale of spare parts, and assembly of various other vehicles under contractual arrangements.
79GF Score
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