Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Muthoot Finance's 5-Year RORE % for the quarter that ended in Jun. 2026 was 30.30%.
The industry rank for Muthoot Finance's 5-Year RORE % or its related term are showing as below:
BOM:533398's 5-Year RORE % is ranked better than 75.81% of 496
companies
in the Credit Services industry
Industry Median: 8.71
vs BOM:533398: 30.30
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 5-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Muthoot Finance 5-Year RORE % Related Terms
Muthoot Finance 5-Year RORE % Historical Data
* Premium members only.
The historical data trend for Muthoot Finance's 5-Year RORE % 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.
BOM:533398 vs V, MA, AXP: 5-Year RORE % Comparison
For the Credit Services subindustry, Muthoot Finance's 5-Year RORE %, along with its competitors' market caps and 5-Year RORE % 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.
Muthoot Finance 5-Year RORE % vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Muthoot Finance's 5-Year RORE % distribution charts can be found below:
* The bar in red indicates where Muthoot Finance's 5-Year RORE % 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 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Jun. 2026 and 5-year before.
Muthoot Finance (BOM:533398) has a 5-Year RORE % of 30.30 as of Jun. 2026. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Muthoot Finance and its competitors. According to the industry distribution chart, Muthoot Finance ranks #120 out of 496 companies in the Credit Services industry, placing it in the top 24.2%.
Is Muthoot Finance's 5-Year RORE % too high?
Muthoot Finance's current 5-Year RORE % is 30.30. The Credit Services industry median 5-Year RORE % is 8.71. Muthoot Finance's value of 30.30 is 247.9% above this industry median. Based on the distribution chart, Muthoot Finance ranks #120 out of 496 companies in the Credit Services industry, which is in the top quartile — a strong position relative to peers. Overall, Muthoot Finance has a GF Score™ of 78/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Muthoot Finance's 5-Year RORE % compare to V and MA?
According to the Credit Services industry distribution chart, Muthoot Finance ranks #120 out of 496 companies for 5-Year RORE %. This places Muthoot Finance in the top 24% of its industry — outperforming the majority of peers. The industry median 5-Year RORE % is 8.71. Muthoot Finance's value of 30.30 is 247.9% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year RORE % for a Credit Services company?
The median 5-Year RORE % among Credit Services companies is 8.71, based on 496 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Muthoot Finance's current 5-Year RORE % of 30.30 is 247.9% 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 5-Year RORE % mean?
A high 5-Year RORE % can signal that a stock is expensive relative to its fundamentals. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Muthoot Finance and its competitors. For the Credit Services industry, the median 5-Year RORE % is 8.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Muthoot Finance's current 5-Year RORE % is 30.30. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Muthoot Finance stock overvalued right now?
Based on GuruFocus' analysis, Muthoot Finance (BOM:533398) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹3,931.02, compared to a current price of ₹2,840.00 — trading 27.8% below its estimated fair value. The current 5-Year RORE % is 30.30 and 247.9% above the Credit Services industry median of 8.71. Muthoot Finance's overall GF Score™ is 78/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year RORE % calculated?
5-Year RORE % is calculated from a company's financial statements. For Muthoot Finance (BOM:533398), the current 5-Year RORE % is 30.30 as of Jun. 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 Muthoot Finance (BOM:533398) Overvalued in 2026?
Based on GuruFocus' analysis, Muthoot Finance stock appears to be undervalued.
The current stock price of ₹2,840.00 is trading 27.8% below its estimated GF Value™ of ₹3,931.02.
GuruFocus considers Muthoot Finance to be Modestly Undervalued.
Key valuation signals for BOM:533398:
5-Year RORE %: 30.30
GF Value™: ₹3,931.02 vs. price of ₹2,840.00 (27.8% below fair value)
Industry Position: 247.9% above the Credit Services median (#120 of 496)
No single metric tells the full story. See the BOM:533398 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Muthoot Finance Ltd is a non-deposit-taking, non-banking financial company with thousands of branches in India. The company's main business is providing personal and business loans to individuals who do not have access to formal credit. The loans are typically secured by gold jewelry. The company also offers some microfinance loans and housing loans to customer segments and areas that are underserved by banks. Interest income accounts for nearly all the company's revenue. It has operations in Sri Lanka and India, with India providing almost all the company's revenue.
78GF Score
Get the complete analysis for BOM:533398
5-Year RORE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BOM:533398 has been successfully added to your 
