LHSW (Lianhe Sowell International Group) Return-on-Tangible-Asset: -4.20% (As of Sep. 2025)

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LHSW Lianhe Sowell International Group Ltd LHSW
20 GF Score
Price $2.28
! 5 Warning Signs
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What is Lianhe Sowell International Group Return-on-Tangible-Asset?

Lianhe Sowell International Group LHSW -2.98% 20 Return-on-Tangible-Asset is -4.20% as of Sep. 2025. GuruFocus rates LHSW with a GF Score™ of 20/100. The stock has 5 warning signs investors should review. Among 2,886 Software companies, Lianhe Sowell International Group ranks better than 56.72% 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. Lianhe Sowell International Group's annualized Net Income for the quarter that ended in Sep. 2025 was $-1.47 Mil. Lianhe Sowell International Group's average total tangible assets for the quarter that ended in Sep. 2025 was $34.94 Mil. Therefore, Lianhe Sowell International Group's annualized Return-on-Tangible-Asset for the quarter that ended in Sep. 2025 was -4.20%.

The historical rank and industry rank for Lianhe Sowell International Group's Return-on-Tangible-Asset or its related term are showing as below:

LHSW' s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -14.77   Med: 16.22   Max: 27.11
Current: 3.76

During the past 4 years, Lianhe Sowell International Group's highest Return-on-Tangible-Asset was 27.11%. The lowest was -14.77%. And the median was 16.22%.

LHSW's Return-on-Tangible-Asset is ranked better than
56.72% of 2886 companies
in the Software industry
Industry Median: 2.055 vs LHSW: 3.76

Lianhe Sowell International Group  (NAS:LHSW) 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.


Lianhe Sowell International Group Return-on-Tangible-Asset Related Terms


Lianhe Sowell International Group Return-on-Tangible-Asset Historical Data

* Premium members only.

The historical data trend for Lianhe Sowell International Group'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.

Lianhe Sowell International Group Return-on-Tangible-Asset Chart

Lianhe Sowell International Group Annual Data
Trend Mar22 Mar23 Mar24 Mar25
Return-on-Tangible-Asset
-14.77 27.11 19.88 12.55

Lianhe Sowell International Group Semi-Annual Data
Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25
Return-on-Tangible-Asset Get a 7-Day Free Trial 26.66 14.72 12.32 14.42 -4.20

LHSW vs HUBC, TGCB, OLB: Return-on-Tangible-Asset Comparison

For the Software - Infrastructure subindustry, Lianhe Sowell International Group'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.


Lianhe Sowell International Group Return-on-Tangible-Asset vs Software Industry

For the Software industry and Technology sector, Lianhe Sowell International Group's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where Lianhe Sowell International Group's Return-on-Tangible-Asset falls into.


LHSW
20GF Score
Lianhe Sowell International Group Ltd LHSW
Return-on-Tangible-Asset is just one metric. See GF Score™, valuation, warning signs, and more.
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Lianhe Sowell International Group Return-on-Tangible-Asset Calculation

Lianhe Sowell International Group's annualized Return-on-Tangible-Asset for the fiscal year that ended in Mar. 2025 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=3.125/( (19.118+30.687)/ 2 )
=3.125/24.9025
=12.55 %

Lianhe Sowell International Group's annualized Return-on-Tangible-Asset for the quarter that ended in Sep. 2025 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(Q: Sep. 2025 )  (Q: Mar. 2025 )(Q: Sep. 2025 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(Q: Sep. 2025 )  (Q: Mar. 2025 )(Q: Sep. 2025 )
=-1.466/( (30.687+39.183)/ 2 )
=-1.466/34.935
=-4.20 %

* 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 (Sep. 2025) net income data.

What does a Return-on-Tangible-Asset of -4.20% mean?
Lianhe Sowell International Group (LHSW) has a Return-on-Tangible-Asset of -4.20% as of Sep. 2025. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Lianhe Sowell International Group and its competitors. According to the industry distribution chart, Lianhe Sowell International Group ranks #1249 out of 2886 companies in the Software industry, placing it in the top 43.3%.
Is Lianhe Sowell International Group's Return-on-Tangible-Asset too high?
Lianhe Sowell International Group's current Return-on-Tangible-Asset is -4.20%. Based on the distribution chart, Lianhe Sowell International Group ranks #1249 out of 2886 companies in the Software industry, which is above the industry midpoint. Overall, Lianhe Sowell International Group has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Lianhe Sowell International Group's Return-on-Tangible-Asset compare to HUBC and TGCB?
According to the Software industry distribution chart, Lianhe Sowell International Group ranks #1249 out of 2886 companies for Return-on-Tangible-Asset. This puts Lianhe Sowell International Group in the upper half of its industry. The industry median Return-on-Tangible-Asset is 2.06. 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 a Software company?
The median Return-on-Tangible-Asset among Software companies is 2.06, based on 2,886 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. 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 Lianhe Sowell International Group and its competitors. For the Software industry, the median Return-on-Tangible-Asset is 2.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lianhe Sowell International Group's current Return-on-Tangible-Asset is -4.20%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lianhe Sowell International Group stock overvalued right now?
Lianhe Sowell International Group (LHSW) has a current Return-on-Tangible-Asset of -4.20%. The current Return-on-Tangible-Asset is -4.20%. Lianhe Sowell International Group's overall GF Score™ is 20/100 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 Lianhe Sowell International Group (LHSW), the current Return-on-Tangible-Asset is -4.20% as of Sep. 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.

Lianhe Sowell International Group Business Description

Address No. 3388 Binhai Avenue, 15th Floor, Sannuo Smart Building, Binhai Community, Nanshan District, Shenzhen, CHN
Lianhe Sowell International Group Ltd is a holding company and operates its business through its subsidiary. It is a provider of machine vision products and solutions in China that invent and integrate technologies and solutions that address some of the critical manufacturing and distribution challenges, such as precision and accuracy required in manufacturing of electronic products. The company categorize machine vision products in four categories based on their application settings: Industrial Machine Vision, Artificial Intelligence (Face Recognition and AI Behavior Analysis), Intelligent Weak Current (Building Intelligence and Intelligent Transportation) and Electronic Customs Clearance.
20GF Score

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

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