Luzhou Xinglu Water (Group) Co (FRA:2LX) Return-on-Tangible-Asset: 1.35% (As of Dec. 2025) — 73% Below Median

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FRA:2LX Luzhou Xinglu Water (Group) Co Ltd FRA:2LX
52 GF Score
Price €0.05
GF Value €0.06
! 5 Warning Signs
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What is Luzhou Xinglu Water (Group) Co Return-on-Tangible-Asset?

Luzhou Xinglu Water (Group) Co FRA:2LX -4.42% 52 Return-on-Tangible-Asset is 1.35% as of Dec. 2025, which is 73% below its 10-year median of 5.08. GuruFocus rates FRA:2LX with a GF Score™ of 52/100 and a GF Value™ of €0.06. The stock has 5 warning signs investors should review. Among 510 Utilities - Regulated companies, Luzhou Xinglu Water (Group) Co ranks worse than 71.57% on this metric.

Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Luzhou Xinglu Water (Group) Co's annualized Net Income for the quarter that ended in Dec. 2025 was €9.3 Mil. Luzhou Xinglu Water (Group) Co's average total tangible assets for the quarter that ended in Dec. 2025 was €688.9 Mil. Therefore, Luzhou Xinglu Water (Group) Co's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was 1.35%.

The historical rank and industry rank for Luzhou Xinglu Water (Group) Co's Return-on-Tangible-Asset or its related term are showing as below:

FRA:2LX' s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 1.94   Med: 5.08   Max: 8.28
Current: 1.94

During the past 13 years, Luzhou Xinglu Water (Group) Co's highest Return-on-Tangible-Asset was 8.28%. The lowest was 1.94%. And the median was 5.08%.

FRA:2LX's Return-on-Tangible-Asset is ranked worse than
71.57% of 510 companies
in the Utilities - Regulated industry
Industry Median: 3.36 vs FRA:2LX: 1.94

Luzhou Xinglu Water (Group) Co  (FRA:2LX) Return-on-Tangible-Asset Explanation

Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.


Be Aware

Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the company’s earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a company’s tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.


Luzhou Xinglu Water (Group) Co Return-on-Tangible-Asset Related Terms


Luzhou Xinglu Water (Group) Co Return-on-Tangible-Asset Historical Data

* Premium members only.

The historical data trend for Luzhou Xinglu Water (Group) Co's Return-on-Tangible-Asset 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.

Luzhou Xinglu Water (Group) Co Return-on-Tangible-Asset Chart

Luzhou Xinglu Water (Group) Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Asset
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.50 3.53 3.65 3.22 1.86

Luzhou Xinglu Water (Group) Co Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Return-on-Tangible-Asset 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 4.63 2.30 4.13 2.38 1.35

FRA:2LX vs AWK, WTRG, AWR: Return-on-Tangible-Asset Comparison

For the Utilities - Regulated Water subindustry, Luzhou Xinglu Water (Group) Co's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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.


Luzhou Xinglu Water (Group) Co Return-on-Tangible-Asset vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Luzhou Xinglu Water (Group) Co's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where Luzhou Xinglu Water (Group) Co's Return-on-Tangible-Asset falls into.


FRA:2LX
52GF Score
Luzhou Xinglu Water (Group) Co Ltd FRA:2LX
Return-on-Tangible-Asset is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Luzhou Xinglu Water (Group) Co Return-on-Tangible-Asset Calculation

Luzhou Xinglu Water (Group) Co's annualized Return-on-Tangible-Asset for the fiscal year that ended in Dec. 2025 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=13.24/( (740.797+682.746)/ 2 )
=13.24/711.7715
=1.86 %

Luzhou Xinglu Water (Group) Co's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=9.296/( (695.097+682.746)/ 2 )
=9.296/688.9215
=1.35 %

* 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 Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is two times the semi-annual (Dec. 2025) net income data.

What does a Return-on-Tangible-Asset of 1.35% mean?
Luzhou Xinglu Water (Group) Co (FRA:2LX) has a Return-on-Tangible-Asset of 1.35% as of Dec. 2025. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Luzhou Xinglu Water (Group) Co and its competitors. This is 73% below median its historical median of 5.08. Over the past decade, Luzhou Xinglu Water (Group) Co's Return-on-Tangible-Asset has ranged from 1.94 to 8.28. According to the industry distribution chart, Luzhou Xinglu Water (Group) Co ranks #365 out of 510 companies in the Utilities - Regulated industry, placing it in the top 71.6%.
Is Luzhou Xinglu Water (Group) Co's Return-on-Tangible-Asset too high?
Luzhou Xinglu Water (Group) Co's current Return-on-Tangible-Asset of 1.35% is 73% below median its 10-year median of 5.08. Over the past 10 years, this metric has ranged from a low of 1.94 to a high of 8.28. The Utilities - Regulated industry median Return-on-Tangible-Asset is 3.36. Luzhou Xinglu Water (Group) Co's value of 1.35% is 59.8% below this industry median. Based on the distribution chart, Luzhou Xinglu Water (Group) Co ranks #365 out of 510 companies in the Utilities - Regulated industry, which is below the industry midpoint. Overall, Luzhou Xinglu Water (Group) Co has a GF Score™ of 52/100, reflecting its overall financial health beyond just this single metric.
How does Luzhou Xinglu Water (Group) Co's Return-on-Tangible-Asset compare to AWK and WTRG?
According to the Utilities - Regulated industry distribution chart, Luzhou Xinglu Water (Group) Co ranks #365 out of 510 companies for Return-on-Tangible-Asset. This places Luzhou Xinglu Water (Group) Co in the lower half of its industry. The industry median Return-on-Tangible-Asset is 3.36. Luzhou Xinglu Water (Group) Co's value of 1.35% is 59.8% below this benchmark. Historically, Luzhou Xinglu Water (Group) Co's own Return-on-Tangible-Asset has ranged from 1.94 to 8.28 over the past decade. While the company's 10-year median is 5.08 vs. the industry median of 3.36, Luzhou Xinglu Water (Group) 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 Return-on-Tangible-Asset for an Utilities - Regulated company?
The median Return-on-Tangible-Asset among Utilities - Regulated companies is 3.36, based on 510 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Luzhou Xinglu Water (Group) Co's current Return-on-Tangible-Asset of 1.35% is 59.8% 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 Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Luzhou Xinglu Water (Group) Co and its competitors. For the Utilities - Regulated industry, the median Return-on-Tangible-Asset is 3.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Luzhou Xinglu Water (Group) Co's current Return-on-Tangible-Asset is 1.35%, which is 73% below median its own 10-year median of 5.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Luzhou Xinglu Water (Group) Co stock overvalued right now?
Luzhou Xinglu Water (Group) Co (FRA:2LX) has a current Return-on-Tangible-Asset of 1.35%. The stock's GF Value™ is €0.06, compared to a current price of €0.05 — trading 10% below its estimated fair value. The current Return-on-Tangible-Asset is 1.35%, which is 73% below median its 10-year median of 5.08 and 59.8% below the Utilities - Regulated industry median of 3.36. Luzhou Xinglu Water (Group) Co's overall GF Score™ is 52/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For Luzhou Xinglu Water (Group) Co (FRA:2LX), the current Return-on-Tangible-Asset is 1.35% 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 Luzhou Xinglu Water (Group) Co (FRA:2LX) Overvalued in 2026?

Based on GuruFocus' analysis, Luzhou Xinglu Water (Group) Co stock appears to be undervalued. The current stock price of €0.05 is trading 10% below its estimated GF Value™ of €0.06.

Key valuation signals for FRA:2LX:

  • Return-on-Tangible-Asset: 1.35% (73% below median its 10-year median of 5.08)
  • GF Value™: €0.06 vs. price of €0.05 (10% below fair value)
  • GF Score™: 52/100 with 5 warning signs
  • Industry Position: 59.8% below the Utilities - Regulated median (#365 of 510)

No single metric tells the full story. See the FRA:2LX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Luzhou Xinglu Water (Group) Co Business Description

Other Exchanges 02281:Hong Kong
Address No. 16, Baizi Road, Jiangyang District, Sichuan Province, Luzhou, CHN
Luzhou Xinglu Water (Group) Co Ltd is a China-based company that engages in the provision of integrated municipal water-related public utility services. The company is engaged in the provision of tap water supply and related installation and maintenance services, wastewater treatment services, and construction services. It operates through two main segments: the Tap Water Supply and Wastewater Treatment segments. The company derives maximum revenue from the Water Water Treatment segment. Geographically, it operates in the People's Republic of China.
52GF Score

Get the complete analysis for FRA:2LX

Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€0.05
Price
€0.06
GF Value