Aarti IndustriesNSE:AARTIIND -0.11%86 ROE % is 9.20% as of Mar. 2026, which is 48% below its 10-year median of 17.63. GuruFocus rates NSE:AARTIIND with a GF Score™ of 86/100 and a GF Value™ of ₹588.29 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 1,586 Chemicals companies, Aarti Industries ranks better than 61.54% on this metric.
The historical rank and industry rank for Aarti Industries's ROE % or its related term are showing as below:
NSE:AARTIIND'
s ROE % Range Over the Past 10 Years
Min: 6.08 Med: 17.63 Max: 29.57
Current: 7.28
During the past 13 years, Aarti Industries's highest ROE % was 29.57%. The lowest was 6.08%. And the median was 17.63%.
NSE:AARTIIND's ROE % is ranked better than 61.54% of 1586
companies
in the Chemicals industry
Industry Median: 5.185
vs NSE:AARTIIND: 7.28
Aarti Industries (NSE:AARTIIND) 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.
Aarti Industries ROE % Related Terms
Aarti Industries ROE % Historical Data
* Premium members only.
The historical data trend for Aarti Industries'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 Chemicals subindustry, Aarti 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.
Aarti Industries ROE % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Aarti Industries's ROE % distribution charts can be found below:
* The bar in red indicates where Aarti 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.
Aarti Industries (NSE:AARTIIND) has a ROE % of 9.20% 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 Aarti Industries and its competitors. This is 48% below median its historical median of 17.63. Over the past decade, Aarti Industries' ROE % has ranged from 6.08 to 29.57. According to the industry distribution chart, Aarti Industries ranks #610 out of 1586 companies in the Chemicals industry, placing it in the top 38.5%.
Is Aarti Industries' ROE % too high?
Aarti Industries' current ROE % of 9.20% is 48% below median its 10-year median of 17.63. Over the past 10 years, this metric has ranged from a low of 6.08 to a high of 29.57. The Chemicals industry median ROE % is 5.19. Aarti Industries' value of 9.20% is 77.4% above this industry median. Based on the distribution chart, Aarti Industries ranks #610 out of 1586 companies in the Chemicals industry, which is above the industry midpoint. Overall, Aarti Industries has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Aarti Industries' ROE % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Aarti Industries ranks #610 out of 1586 companies for ROE %. This puts Aarti Industries in the upper half of its industry. The industry median ROE % is 5.19. Aarti Industries' value of 9.20% is 77.4% above this benchmark. Historically, Aarti Industries' own ROE % has ranged from 6.08 to 29.57 over the past decade. While the company's 10-year median is 17.63 vs. the industry median of 5.19, Aarti Industries 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 5.19, based on 1,586 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. Aarti Industries's current ROE % of 9.20% is 77.4% 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 Aarti Industries and its competitors. For the Chemicals industry, the median ROE % is 5.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Aarti Industries's current ROE % is 9.20%, which is 48% below median its own 10-year median of 17.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aarti Industries stock overvalued right now?
Based on GuruFocus' analysis, Aarti Industries (NSE:AARTIIND) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹588.29, compared to a current price of ₹466.05 — trading 20.8% below its estimated fair value. The current ROE % is 9.20%, which is 48% below median its 10-year median of 17.63 and 77.4% above the Chemicals industry median of 5.19. Aarti Industries' overall GF Score™ is 86/100 with 7 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 Aarti Industries (NSE:AARTIIND), the current ROE % is 9.20% 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 Aarti Industries (NSE:AARTIIND) Overvalued in 2026?
Based on GuruFocus' analysis, Aarti Industries stock appears to be undervalued.
The current stock price of ₹466.05 is trading 20.8% below its estimated GF Value™ of ₹588.29.
GuruFocus considers Aarti Industries to be Modestly Undervalued.
Key valuation signals for NSE:AARTIIND:
ROE %: 9.20% (48% below median its 10-year median of 17.63)
GF Value™: ₹588.29 vs. price of ₹466.05 (20.8% below fair value)
Industry Position: 77.4% above the Chemicals median (#610 of 1586)
No single metric tells the full story. See the NSE:AARTIIND stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Aarti Industries Ltd manufactures and sells chemicals and chemical-based products. It sells benzene-based chemicals, which are used in agricultural products, dyes and pigments, and flavors and fragrances. The company provides applications for industries spanning agrochemicals, pharmaceuticals, polymers and additives, fertilizers, dyes and pigments, home and personal care (FMCG), energy, and more. The company generates maximum revenue by exporting its products to other countries and the rest through its domestic operations.
86GF Score
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