Emkay Taps and Cutting Tools (NSE:EMKAYTOOLS) ROE %: 3.95% (As of Mar. 2026) — 76% Below Median

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NSE:EMKAYTOOLS Emkay Taps and Cutting Tools Ltd NSE:EMKAYTOOLS
66 GF Score
Price ₹95.50
GF Value ₹195.36
Valuation Possible Value Trap
! 1 Warning Sign
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What is Emkay Taps and Cutting Tools ROE %?

Emkay Taps and Cutting Tools NSE:EMKAYTOOLS 66 ROE % is 3.95% as of Mar. 2026, which is 76% below its 10-year median of 16.46. GuruFocus rates NSE:EMKAYTOOLS with a GF Score™ of 66/100 and a GF Value™ of ₹195.36 (Possible Value Trap). The stock has 1 warning sign investors should review. Among 3,024 Industrial Products companies, Emkay Taps and Cutting Tools ranks worse than 67.72% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Emkay Taps and Cutting Tools's annualized net income for the quarter that ended in Mar. 2026 was ₹115.6 Mil. Emkay Taps and Cutting Tools's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was ₹2,929.2 Mil. Therefore, Emkay Taps and Cutting Tools's annualized ROE % for the quarter that ended in Mar. 2026 was 3.94%.

The historical rank and industry rank for Emkay Taps and Cutting Tools's ROE % or its related term are showing as below:

NSE:EMKAYTOOLS' s ROE % Range Over the Past 10 Years
Min: 1.98   Med: 16.46   Max: 27.4
Current: 1.98

During the past 13 years, Emkay Taps and Cutting Tools's highest ROE % was 27.40%. The lowest was 1.98%. And the median was 16.46%.

NSE:EMKAYTOOLS's ROE % is ranked worse than
67.72% of 3024 companies
in the Industrial Products industry
Industry Median: 6.16 vs NSE:EMKAYTOOLS: 1.98

Emkay Taps and Cutting Tools  (NSE:EMKAYTOOLS) 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:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=115.55/2929.1535
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(115.55 / 9.226)*(9.226 / 2965.3235)*(2965.3235 / 2929.1535)
=Net Margin %*Asset Turnover*Equity Multiplier
=1252.44 %*0.0031*1.0123
=ROA %*Equity Multiplier
=3.88 %*1.0123
=3.94 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=115.55/2929.1535
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (115.55 / 139.048) * (139.048 / -28.182) * (-28.182 / 9.226) * (9.226 / 2965.3235) * (2965.3235 / 2929.1535)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.831 * -4.9339 * -305.46 % * 0.0031 * 1.0123
=3.94 %

Note: The net income data used here is two times the semi-annual (Mar. 2026) net income data. The Revenue data used here is two times the semi-annual (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.


Emkay Taps and Cutting Tools ROE % Related Terms


Emkay Taps and Cutting Tools ROE % Historical Data

* Premium members only.

The historical data trend for Emkay Taps and Cutting Tools'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.

Emkay Taps and Cutting Tools ROE % Chart

Emkay Taps and Cutting Tools Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 21.79 21.90 27.71 9.20 2.78

Emkay Taps and Cutting Tools Semi-Annual Data
Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 29.72 21.59 -5.13 1.62 3.95

NSE:EMKAYTOOLS vs SNA, RBC, LECO: ROE % Comparison

For the Tools & Accessories subindustry, Emkay Taps and Cutting Tools'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.


Emkay Taps and Cutting Tools ROE % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Emkay Taps and Cutting Tools's ROE % distribution charts can be found below:

* The bar in red indicates where Emkay Taps and Cutting Tools's ROE % falls into.


NSE:EMKAYTOOLS
66GF Score
Emkay Taps and Cutting Tools Ltd NSE:EMKAYTOOLS
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Emkay Taps and Cutting Tools ROE % Calculation

Emkay Taps and Cutting Tools's annualized ROE % for the fiscal year that ended in Mar. 2026 is calculated as

ROE %=Net Income (A: Mar. 2026 )/( (Total Stockholders Equity (A: Mar. 2025 )+Total Stockholders Equity (A: Mar. 2026 ))/ count )
=81.131/( (2876.91+2958.041)/ 2 )
=81.131/2917.4755
=2.78 %

Emkay Taps and Cutting Tools's annualized ROE % for the quarter that ended in Mar. 2026 is calculated as

ROE %=Net Income (Q: Mar. 2026 )/( (Total Stockholders Equity (Q: Sep. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=115.55/( (2900.266+2958.041)/ 2 )
=115.55/2929.1535
=3.94 %

* 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 two times the semi-annual (Mar. 2026) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 3.95% mean?
Emkay Taps and Cutting Tools (NSE:EMKAYTOOLS) has a ROE % of 3.95% 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 Emkay Taps and Cutting Tools and its competitors. This is 76% below median its historical median of 16.46. Over the past decade, Emkay Taps and Cutting Tools' ROE % has ranged from 1.98 to 27.40. According to the industry distribution chart, Emkay Taps and Cutting Tools ranks #2048 out of 3024 companies in the Industrial Products industry, placing it in the top 67.7%.
Is Emkay Taps and Cutting Tools' ROE % too high?
Emkay Taps and Cutting Tools' current ROE % of 3.95% is 76% below median its 10-year median of 16.46. Over the past 10 years, this metric has ranged from a low of 1.98 to a high of 27.40. The Industrial Products industry median ROE % is 6.16. Emkay Taps and Cutting Tools' value of 3.95% is 35.9% below this industry median. Based on the distribution chart, Emkay Taps and Cutting Tools ranks #2048 out of 3024 companies in the Industrial Products industry, which is below the industry midpoint. Overall, Emkay Taps and Cutting Tools has a GF Score™ of 66/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Emkay Taps and Cutting Tools' ROE % compare to SNA and RBC?
According to the Industrial Products industry distribution chart, Emkay Taps and Cutting Tools ranks #2048 out of 3024 companies for ROE %. This places Emkay Taps and Cutting Tools in the lower half of its industry. The industry median ROE % is 6.16. Emkay Taps and Cutting Tools' value of 3.95% is 35.9% below this benchmark. Historically, Emkay Taps and Cutting Tools' own ROE % has ranged from 1.98 to 27.40 over the past decade. While the company's 10-year median is 16.46 vs. the industry median of 6.16, Emkay Taps and Cutting Tools 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 an Industrial Products company?
The median ROE % among Industrial Products companies is 6.16, based on 3,024 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. Emkay Taps and Cutting Tools's current ROE % of 3.95% is 35.9% 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 Emkay Taps and Cutting Tools and its competitors. For the Industrial Products industry, the median ROE % is 6.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Emkay Taps and Cutting Tools's current ROE % is 3.95%, which is 76% below median its own 10-year median of 16.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Emkay Taps and Cutting Tools stock overvalued right now?
Based on GuruFocus' analysis, Emkay Taps and Cutting Tools (NSE:EMKAYTOOLS) is currently considered Possible Value Trap. The stock's GF Value™ is ₹195.36, compared to a current price of ₹95.50 — trading 51.1% below its estimated fair value. The current ROE % is 3.95%, which is 76% below median its 10-year median of 16.46 and 35.9% below the Industrial Products industry median of 6.16. Emkay Taps and Cutting Tools' overall GF Score™ is 66/100 with 1 warning sign 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 Emkay Taps and Cutting Tools (NSE:EMKAYTOOLS), the current ROE % is 3.95% 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 Emkay Taps and Cutting Tools (NSE:EMKAYTOOLS) Overvalued in 2026?

Based on GuruFocus' analysis, Emkay Taps and Cutting Tools stock appears to be undervalued. The current stock price of ₹95.50 is trading 51.1% below its estimated GF Value™ of ₹195.36. GuruFocus considers Emkay Taps and Cutting Tools to be Possible Value Trap.

Key valuation signals for NSE:EMKAYTOOLS:

  • ROE %: 3.95% (76% below median its 10-year median of 16.46)
  • GF Value™: ₹195.36 vs. price of ₹95.50 (51.1% below fair value)
  • GF Score™: 66/100 with 1 warning sign
  • Industry Position: 35.9% below the Industrial Products median (#2048 of 3024)

No single metric tells the full story. See the NSE:EMKAYTOOLS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Emkay Taps and Cutting Tools Business Description

Address Plot No. B-27 and B-27/1, MIDC Hingna Industrial Estate, Nagpur, MH, IND, 440016
Emkay Taps and Cutting Tools Ltd is engaged in manufacturing and selling taps and cutting tools. The company operates two main segments: the manufacturing of taps and cutting tools, and the production of power through windmills. The majority of its revenue is generated from the tools segment. It runs two wind farm projects located in Shivapura Kavalu Village, Belur Taluka, Hassan District, Karnataka, and Kita & Ugawa, Jaisalmer District, Rajasthan.
66GF Score

Get the complete analysis for NSE:EMKAYTOOLS

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹95.50
Price
₹195.36
GF Value