The historical rank and industry rank for Divgi TorqTransfer Systems's ROE % or its related term are showing as below:
NSE:DIVGIITTS'
s ROE % Range Over the Past 10 Years
Min: 4.14 Med: 11.48 Max: 15.05
Current: 7.65
During the past 7 years, Divgi TorqTransfer Systems's highest ROE % was 15.05%. The lowest was 4.14%. And the median was 11.48%.
NSE:DIVGIITTS's ROE % is ranked better than 54.66% of 1308
companies
in the Vehicles & Parts industry
Industry Median: 6.62
vs NSE:DIVGIITTS: 7.65
Divgi TorqTransfer Systems (NSE:DIVGIITTS) 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 Parts subindustry, Divgi TorqTransfer Systems'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.
Divgi TorqTransfer Systems ROE % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Divgi TorqTransfer Systems's ROE % distribution charts can be found below:
* The bar in red indicates where Divgi TorqTransfer Systems'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.
Divgi TorqTransfer Systems (NSE:DIVGIITTS) has a ROE % of 9.74% 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 Divgi TorqTransfer Systems and its competitors. This is 15% below median its historical median of 11.48. Over the past decade, Divgi TorqTransfer Systems' ROE % has ranged from 4.14 to 15.05. According to the industry distribution chart, Divgi TorqTransfer Systems ranks #593 out of 1308 companies in the Vehicles & Parts industry, placing it in the top 45.3%.
Is Divgi TorqTransfer Systems' ROE % too high?
Divgi TorqTransfer Systems' current ROE % of 9.74% is 15% below median its 10-year median of 11.48. Over the past 10 years, this metric has ranged from a low of 4.14 to a high of 15.05. The Vehicles & Parts industry median ROE % is 6.62. Divgi TorqTransfer Systems' value of 9.74% is 47.1% above this industry median. Based on the distribution chart, Divgi TorqTransfer Systems ranks #593 out of 1308 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, Divgi TorqTransfer Systems has a GF Score™ of 79/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Divgi TorqTransfer Systems' ROE % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Divgi TorqTransfer Systems ranks #593 out of 1308 companies for ROE %. This puts Divgi TorqTransfer Systems in the upper half of its industry. The industry median ROE % is 6.62. Divgi TorqTransfer Systems' value of 9.74% is 47.1% above this benchmark. Historically, Divgi TorqTransfer Systems' own ROE % has ranged from 4.14 to 15.05 over the past decade. While the company's 10-year median is 11.48 vs. the industry median of 6.62, Divgi TorqTransfer Systems 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 6.62, 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. Divgi TorqTransfer Systems's current ROE % of 9.74% is 47.1% 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 Divgi TorqTransfer Systems and its competitors. For the Vehicles & Parts industry, the median ROE % is 6.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Divgi TorqTransfer Systems's current ROE % is 9.74%, which is 15% below median its own 10-year median of 11.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Divgi TorqTransfer Systems stock overvalued right now?
Based on GuruFocus' analysis, Divgi TorqTransfer Systems (NSE:DIVGIITTS) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹1,063.56, compared to a current price of ₹855.25 — trading 19.6% below its estimated fair value. The current ROE % is 9.74%, which is 15% below median its 10-year median of 11.48 and 47.1% above the Vehicles & Parts industry median of 6.62. Divgi TorqTransfer Systems' overall GF Score™ is 79/100 with 5 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 Divgi TorqTransfer Systems (NSE:DIVGIITTS), the current ROE % is 9.74% 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 Divgi TorqTransfer Systems (NSE:DIVGIITTS) Overvalued in 2026?
Based on GuruFocus' analysis, Divgi TorqTransfer Systems stock appears to be undervalued.
The current stock price of ₹855.25 is trading 19.6% below its estimated GF Value™ of ₹1,063.56.
GuruFocus considers Divgi TorqTransfer Systems to be Modestly Undervalued.
Key valuation signals for NSE:DIVGIITTS:
ROE %: 9.74% (15% below median its 10-year median of 11.48)
GF Value™: ₹1,063.56 vs. price of ₹855.25 (19.6% below fair value)
Industry Position: 47.1% above the Vehicles & Parts median (#593 of 1308)
No single metric tells the full story. See the NSE:DIVGIITTS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Divgi TorqTransfer Systems Ltd is engaged in the business as an automotive component entity. It develops and provides system-level transfer cases, torque couplers, and dual clutch automatic transmission solutions. The Company operates only in one business segment, viz. Auto Components and Parts. The secondary segment is based on geographical demarcation, i.e., domestic and exports. The company gained the majority of its revenue from India, followed by the USA, Mexico, and Sweden.
79GF Score
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