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The historical rank and industry rank for Shandong Donghong Pipe Industry Co's Return-on-Tangible-Asset or its related term are showing as below:
SHSE:603856'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 4.17 Med: 7.83 Max: 13.33
Current: 6.96
During the past 13 years, Shandong Donghong Pipe Industry Co's highest Return-on-Tangible-Asset was 13.33%. The lowest was 4.17%. And the median was 7.83%.
SHSE:603856's Return-on-Tangible-Asset is ranked better than 74.26% of 1787
companies
in the Construction industry
Industry Median: 3.08
vs SHSE:603856: 6.96
Shandong Donghong Pipe Industry Co (SHSE:603856) 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 companys 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 companys 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.
Shandong Donghong Pipe Industry Co Return-on-Tangible-Asset Related Terms
Shandong Donghong Pipe Industry Co Return-on-Tangible-Asset Historical Data
* 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.
Shandong Donghong Pipe Industry Co Return-on-Tangible-Asset Chart
SHSE:603856 vs TT, JCI, CARR: Return-on-Tangible-Asset Comparison
For the Building Products & Equipment subindustry, Shandong Donghong Pipe Industry 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.
Shandong Donghong Pipe Industry Co Return-on-Tangible-Asset vs Construction Industry
For the Construction industry and Industrials sector, Shandong Donghong Pipe Industry Co's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Shandong Donghong Pipe Industry Co's Return-on-Tangible-Asset 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 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 four times the quarterly (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 4.75% mean?
Shandong Donghong Pipe Industry Co (SHSE:603856) has a Return-on-Tangible-Asset of 4.75% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Shandong Donghong Pipe Industry Co and its competitors. This is 39% below median its historical median of 7.83. Over the past decade, Shandong Donghong Pipe Industry Co's Return-on-Tangible-Asset has ranged from 4.17 to 13.33. According to the industry distribution chart, Shandong Donghong Pipe Industry Co ranks #460 out of 1787 companies in the Construction industry, placing it in the top 25.7%.
Is Shandong Donghong Pipe Industry Co's Return-on-Tangible-Asset too high?
Shandong Donghong Pipe Industry Co's current Return-on-Tangible-Asset of 4.75% is 39% below median its 10-year median of 7.83. Over the past 10 years, this metric has ranged from a low of 4.17 to a high of 13.33. The Construction industry median Return-on-Tangible-Asset is 3.08. Shandong Donghong Pipe Industry Co's value of 4.75% is 54.2% above this industry median. Based on the distribution chart, Shandong Donghong Pipe Industry Co ranks #460 out of 1787 companies in the Construction industry, which is above the industry midpoint. Overall, Shandong Donghong Pipe Industry Co has a GF Score™ of 80/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Shandong Donghong Pipe Industry Co's Return-on-Tangible-Asset compare to TT and JCI?
According to the Construction industry distribution chart, Shandong Donghong Pipe Industry Co ranks #460 out of 1787 companies for Return-on-Tangible-Asset. This puts Shandong Donghong Pipe Industry Co in the upper half of its industry. The industry median Return-on-Tangible-Asset is 3.08. Shandong Donghong Pipe Industry Co's value of 4.75% is 54.2% above this benchmark. Historically, Shandong Donghong Pipe Industry Co's own Return-on-Tangible-Asset has ranged from 4.17 to 13.33 over the past decade. While the company's 10-year median is 7.83 vs. the industry median of 3.08, Shandong Donghong Pipe Industry Co 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 Return-on-Tangible-Asset for a Construction company?
The median Return-on-Tangible-Asset among Construction companies is 3.08, based on 1,787 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. Shandong Donghong Pipe Industry Co's current Return-on-Tangible-Asset of 4.75% is 54.2% 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 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 Shandong Donghong Pipe Industry Co and its competitors. For the Construction industry, the median Return-on-Tangible-Asset is 3.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shandong Donghong Pipe Industry Co's current Return-on-Tangible-Asset is 4.75%, which is 39% below median its own 10-year median of 7.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shandong Donghong Pipe Industry Co stock overvalued right now?
Based on GuruFocus' analysis, Shandong Donghong Pipe Industry Co (SHSE:603856) is currently considered Modestly Overvalued. The stock's GF Value™ is ¥9.30, compared to a current price of ¥11.41 — trading 22.7% above its estimated fair value. The current Return-on-Tangible-Asset is 4.75%, which is 39% below median its 10-year median of 7.83 and 54.2% above the Construction industry median of 3.08. Shandong Donghong Pipe Industry Co's overall GF Score™ is 80/100 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 Shandong Donghong Pipe Industry Co (SHSE:603856), the current Return-on-Tangible-Asset is 4.75% as of Mar. 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 Shandong Donghong Pipe Industry Co (SHSE:603856) Overvalued in 2026?
Based on GuruFocus' analysis, Shandong Donghong Pipe Industry Co stock appears to be overvalued.
The current stock price of ¥11.41 is trading 22.7% above its estimated GF Value™ of ¥9.30.
GuruFocus considers Shandong Donghong Pipe Industry Co to be Modestly Overvalued.
Key valuation signals for SHSE:603856:
Return-on-Tangible-Asset: 4.75% (39% below median its 10-year median of 7.83)
GF Value™: ¥9.30 vs. price of ¥11.41 (22.7% above fair value)
Industry Position: 54.2% above the Construction median (#460 of 1787)
No single metric tells the full story. See the SHSE:603856 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shandong Donghong Pipe Industry Co Ltd is engaged in the research and development, manufacturing and service of an intelligent pipeline system in China. Its products line includes steel mesh skeleton plastic composite pipes, super wear-resisting composite pipes, HDPE gas pipes, plastic-coated steel pipes, polyethylene pipes for underground coal mining, and other products.
80GF 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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