Arun Valley Hydro Power Co (XNEP:AHPC) ROE %: 4.98% (As of Jan. 2026) — Near Median


XNEP:AHPC Arun Valley Hydro Power Co Ltd XNEP:AHPC
93 GF Score
Price NPR261.50
GF Value NPR322.29
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Arun Valley Hydro Power Co ROE %?

Arun Valley Hydro Power Co XNEP:AHPC +0.54% 93 ROE % is 4.98% as of Jan. 2026, which is 9% below its 10-year median of 5.50. GuruFocus rates XNEP:AHPC with a GF Score™ of 93/100 and a GF Value™ of NPR322.29 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 503 Utilities - Regulated companies, Arun Valley Hydro Power Co ranks worse than 54.67% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Arun Valley Hydro Power Co's annualized net income for the quarter that ended in Jan. 2026 was NPR219.0 Mil. Arun Valley Hydro Power Co's average Total Stockholders Equity over the quarter that ended in Jan. 2026 was NPR4,400.1 Mil. Therefore, Arun Valley Hydro Power Co's annualized ROE % for the quarter that ended in Jan. 2026 was 4.98%.

The historical rank and industry rank for Arun Valley Hydro Power Co's ROE % or its related term are showing as below:

XNEP:AHPC' s ROE % Range Over the Past 10 Years
Min: 0.02   Med: 5.5   Max: 10.59
Current: 7.93

During the past 12 years, Arun Valley Hydro Power Co's highest ROE % was 10.59%. The lowest was 0.02%. And the median was 5.50%.

XNEP:AHPC's ROE % is ranked worse than
54.67% of 503 companies
in the Utilities - Regulated industry
Industry Median: 8.68 vs XNEP:AHPC: 7.93

Arun Valley Hydro Power Co  (XNEP:AHPC) 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: Jan. 2026 )
=Net Income/Total Stockholders Equity
=218.96/4400.143
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(218.96 / 342.216)*(342.216 / 4788.636)*(4788.636 / 4400.143)
=Net Margin %*Asset Turnover*Equity Multiplier
=63.98 %*0.0715*1.0883
=ROA %*Equity Multiplier
=4.57 %*1.0883
=4.98 %

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: Jan. 2026 )
=Net Income/Total Stockholders Equity
=218.96/4400.143
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (218.96 / 253.004) * (253.004 / 200.032) * (200.032 / 342.216) * (342.216 / 4788.636) * (4788.636 / 4400.143)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8654 * 1.2648 * 58.45 % * 0.0715 * 1.0883
=4.98 %

Note: The net income data used here is four times the quarterly (Jan. 2026) net income data. The Revenue data used here is four times the quarterly (Jan. 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.


Arun Valley Hydro Power Co ROE % Related Terms


Arun Valley Hydro Power Co ROE % Historical Data

* Premium members only.

The historical data trend for Arun Valley Hydro Power Co'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.

Arun Valley Hydro Power Co ROE % Chart

Arun Valley Hydro Power Co Annual Data
Trend Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24 Jul25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.61 4.61 2.67 0.02 10.59

Arun Valley Hydro Power Co Quarterly Data
Jul20 Apr21 Jul21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26
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 Premium Member Only Premium Member Only 8.00 14.26 8.58 4.19 4.98

XNEP:AHPC vs NEE, SO, DUK: ROE % Comparison

For the Utilities - Regulated Electric subindustry, Arun Valley Hydro Power Co'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.


Arun Valley Hydro Power Co ROE % vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Arun Valley Hydro Power Co's ROE % distribution charts can be found below:

* The bar in red indicates where Arun Valley Hydro Power Co's ROE % falls into.


XNEP:AHPC
93GF Score
Arun Valley Hydro Power Co Ltd XNEP:AHPC
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Arun Valley Hydro Power Co ROE % Calculation

Arun Valley Hydro Power Co's annualized ROE % for the fiscal year that ended in Jul. 2025 is calculated as

ROE %=Net Income (A: Jul. 2025 )/( (Total Stockholders Equity (A: Jul. 2024 )+Total Stockholders Equity (A: Jul. 2025 ))/ count )
=433.255/( (3877.977+4305.333)/ 2 )
=433.255/4091.655
=10.59 %

Arun Valley Hydro Power Co's annualized ROE % for the quarter that ended in Jan. 2026 is calculated as

ROE %=Net Income (Q: Jan. 2026 )/( (Total Stockholders Equity (Q: Oct. 2025 )+Total Stockholders Equity (Q: Jan. 2026 ))/ count )
=218.96/( (4350.293+4449.993)/ 2 )
=218.96/4400.143
=4.98 %

* 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 (Jan. 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 4.98% mean?
Arun Valley Hydro Power Co (XNEP:AHPC) has a ROE % of 4.98% as of Jan. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Arun Valley Hydro Power Co and its competitors. This is near median its historical median of 5.50. Over the past decade, Arun Valley Hydro Power Co's ROE % has ranged from 0.02 to 10.59. According to the industry distribution chart, Arun Valley Hydro Power Co ranks #275 out of 503 companies in the Utilities - Regulated industry, placing it in the top 54.7%.
Is Arun Valley Hydro Power Co's ROE % too high?
Arun Valley Hydro Power Co's current ROE % of 4.98% is near median its 10-year median of 5.50. Over the past 10 years, this metric has ranged from a low of 0.02 to a high of 10.59. The Utilities - Regulated industry median ROE % is 8.68. Arun Valley Hydro Power Co's value of 4.98% is 42.6% below this industry median. Based on the distribution chart, Arun Valley Hydro Power Co ranks #275 out of 503 companies in the Utilities - Regulated industry, which is below the industry midpoint. Overall, Arun Valley Hydro Power Co has a GF Score™ of 93/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arun Valley Hydro Power Co's ROE % compare to NEE and SO?
According to the Utilities - Regulated industry distribution chart, Arun Valley Hydro Power Co ranks #275 out of 503 companies for ROE %. This places Arun Valley Hydro Power Co in the lower half of its industry. The industry median ROE % is 8.68. Arun Valley Hydro Power Co's value of 4.98% is 42.6% below this benchmark. Historically, Arun Valley Hydro Power Co's own ROE % has ranged from 0.02 to 10.59 over the past decade. While the company's 10-year median is 5.50 vs. the industry median of 8.68, Arun Valley Hydro Power Co 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 Utilities - Regulated company?
The median ROE % among Utilities - Regulated companies is 8.68, based on 503 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. Arun Valley Hydro Power Co's current ROE % of 4.98% is 42.6% 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 Arun Valley Hydro Power Co and its competitors. For the Utilities - Regulated industry, the median ROE % is 8.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arun Valley Hydro Power Co's current ROE % is 4.98%, which is near median its own 10-year median of 5.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arun Valley Hydro Power Co stock overvalued right now?
Based on GuruFocus' analysis, Arun Valley Hydro Power Co (XNEP:AHPC) is currently considered Modestly Undervalued. The stock's GF Value™ is NPR322.29, compared to a current price of NPR261.50 — trading 18.9% below its estimated fair value. The current ROE % is 4.98%, which is near median its 10-year median of 5.50 and 42.6% below the Utilities - Regulated industry median of 8.68. Arun Valley Hydro Power Co's overall GF Score™ is 93/100 with 4 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 Arun Valley Hydro Power Co (XNEP:AHPC), the current ROE % is 4.98% as of Jan. 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 Arun Valley Hydro Power Co (XNEP:AHPC) Overvalued in 2026?

Based on GuruFocus' analysis, Arun Valley Hydro Power Co stock appears to be undervalued. The current stock price of NPR261.50 is trading 18.9% below its estimated GF Value™ of NPR322.29. GuruFocus considers Arun Valley Hydro Power Co to be Modestly Undervalued.

Key valuation signals for XNEP:AHPC:

  • ROE %: 4.98% (near median its 10-year median of 5.50)
  • GF Value™: NPR322.29 vs. price of NPR261.50 (18.9% below fair value)
  • GF Score™: 93/100 with 4 warning signs
  • Industry Position: 42.6% below the Utilities - Regulated median (#275 of 503)

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


Arun Valley Hydro Power Co Business Description

Address Trade Tower Nepal, 2nd Floor, Thapathali, Kathmandu, NPL
Arun Valley Hydro Power Co Ltd is a hydropower company. The company develops, builds, owns, and operates hydropower projects. Its projects include Pilowa Solar PV Project. The company is engaged in one segment, i.e. Generation and sale of electricity.
93GF Score

Get the complete analysis for XNEP:AHPC

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

NPR261.50
Price
NPR322.29
GF Value