The historical rank and industry rank for Sharda Motor Industries's ROE % or its related term are showing as below:
NSE:SHARDAMOTR'
s ROE % Range Over the Past 10 Years
Min: 12.49 Med: 23.77 Max: 33.97
Current: 32.82
During the past 13 years, Sharda Motor Industries's highest ROE % was 33.97%. The lowest was 12.49%. And the median was 23.77%.
NSE:SHARDAMOTR's ROE % is ranked better than 96.56% of 1308
companies
in the Vehicles & Parts industry
Industry Median: 6.62
vs NSE:SHARDAMOTR: 32.82
Sharda Motor Industries (NSE:SHARDAMOTR) 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 (Dec. 2025) net income data. The Revenue data used here is four times the quarterly (Dec. 2025) 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, Sharda Motor 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.
Sharda Motor Industries ROE % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Sharda Motor Industries's ROE % distribution charts can be found below:
* The bar in red indicates where Sharda Motor 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 (Dec. 2025) net income data.
ROE % is displayed in the 30-year financial page.
Sharda Motor Industries (NSE:SHARDAMOTR) has a ROE % of 28.47% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Sharda Motor Industries and its competitors. This is 20% above median its historical median of 23.77. Over the past decade, Sharda Motor Industries' ROE % has ranged from 12.49 to 33.97. According to the industry distribution chart, Sharda Motor Industries ranks #45 out of 1308 companies in the Vehicles & Parts industry, placing it in the top 3.4%.
Is Sharda Motor Industries' ROE % too high?
Sharda Motor Industries' current ROE % of 28.47% is 20% above median its 10-year median of 23.77. Over the past 10 years, this metric has ranged from a low of 12.49 to a high of 33.97. The Vehicles & Parts industry median ROE % is 6.62. Sharda Motor Industries' value of 28.47% is 330.1% above this industry median. Based on the distribution chart, Sharda Motor Industries ranks #45 out of 1308 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Sharda Motor Industries has a GF Score™ of 92/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Sharda Motor Industries' ROE % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Sharda Motor Industries ranks #45 out of 1308 companies for ROE %. This places Sharda Motor Industries in the top 3% of its industry — outperforming the majority of peers. The industry median ROE % is 6.62. Sharda Motor Industries' value of 28.47% is 330.1% above this benchmark. Historically, Sharda Motor Industries' own ROE % has ranged from 12.49 to 33.97 over the past decade. While the company's 10-year median is 23.77 vs. the industry median of 6.62, Sharda Motor 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 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. Sharda Motor Industries's current ROE % of 28.47% is 330.1% 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 Sharda Motor Industries 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. Sharda Motor Industries's current ROE % is 28.47%, which is 20% above median its own 10-year median of 23.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sharda Motor Industries stock overvalued right now?
Based on GuruFocus' analysis, Sharda Motor Industries (NSE:SHARDAMOTR) is currently considered Fairly Valued. The stock's GF Value™ is ₹925.16, compared to a current price of ₹869.00 — trading 6.1% below its estimated fair value. The current ROE % is 28.47%, which is 20% above median its 10-year median of 23.77 and 330.1% above the Vehicles & Parts industry median of 6.62. Sharda Motor Industries' overall GF Score™ is 92/100. 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 Sharda Motor Industries (NSE:SHARDAMOTR), the current ROE % is 28.47% as of Dec. 2025. 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 Sharda Motor Industries (NSE:SHARDAMOTR) Overvalued in 2026?
Based on GuruFocus' analysis, Sharda Motor Industries stock appears to be undervalued.
The current stock price of ₹869.00 is trading 6.1% below its estimated GF Value™ of ₹925.16.
GuruFocus considers Sharda Motor Industries to be Fairly Valued.
Key valuation signals for NSE:SHARDAMOTR:
ROE %: 28.47% (20% above median its 10-year median of 23.77)
GF Value™: ₹925.16 vs. price of ₹869.00 (6.1% below fair value)
Industry Position: 330.1% above the Vehicles & Parts median (#45 of 1308)
No single metric tells the full story. See the NSE:SHARDAMOTR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sharda Motor Industries Ltd is engaged in the manufacturing and assembly of auto components and white goods components. Its product portfolio includes exhaust systems, catalytic converters, suspension systems, sheet metal components, and plastic parts for the automotive and white goods industries. It operates in a single segment which is manufacturing and trading of auto component parts. Geographically, the company caters to both Indian and international markets and derives a majority of its revenue from its business in India.
92GF Score
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