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Cheng LoongTPE:1904 -1.41%69 Return-on-Tangible-Asset is 3.57% as of Dec. 2025, which is 17% above its 10-year median of 3.06. GuruFocus rates TPE:1904 with a GF Score™ of 69/100 and a GF Value™ of NT$25.95 (Modestly Undervalued). The stock has 11 warning signs investors should review. Among 287 Forest Products companies, Cheng Loong ranks better than 51.57% 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. Cheng Loong's annualizedNet Income for the quarter that ended in Dec. 2025 was NT$2,538 Mil. Cheng Loong's average total tangible assets for the quarter that ended in Dec. 2025 was NT$71,028 Mil. Therefore, Cheng Loong's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2025 was 3.57%.
The historical rank and industry rank for Cheng Loong's Return-on-Tangible-Asset or its related term are showing as below:
TPE:1904'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 0.85 Med: 3.06 Max: 6.23
Current: 1.17
During the past 13 years, Cheng Loong's highest Return-on-Tangible-Asset was 6.23%. The lowest was 0.85%. And the median was 3.06%.
TPE:1904's Return-on-Tangible-Asset is ranked better than 51.57% of 287
companies
in the Forest Products industry
Industry Median: 0.99
vs TPE:1904: 1.17
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.
Cheng Loong Return-on-Tangible-Asset Related Terms
Cheng Loong Return-on-Tangible-Asset Historical Data
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The historical data trend for Cheng Loong'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.
For the Paper & Paper Products subindustry, Cheng Loong'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.
Cheng Loong Return-on-Tangible-Asset vs Forest Products Industry
For the Forest Products industry and Basic Materials sector, Cheng Loong's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Cheng Loong'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 (Dec. 2025) net income data.
What does a Return-on-Tangible-Asset of 3.57% mean?
Cheng Loong (TPE:1904) has a Return-on-Tangible-Asset of 3.57% 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 Cheng Loong and its competitors. This is 17% above median its historical median of 3.06. Over the past decade, Cheng Loong's Return-on-Tangible-Asset has ranged from 0.85 to 6.23. According to the industry distribution chart, Cheng Loong ranks #139 out of 287 companies in the Forest Products industry, placing it in the top 48.4%.
Is Cheng Loong's Return-on-Tangible-Asset too high?
Cheng Loong's current Return-on-Tangible-Asset of 3.57% is 17% above median its 10-year median of 3.06. Over the past 10 years, this metric has ranged from a low of 0.85 to a high of 6.23. The Forest Products industry median Return-on-Tangible-Asset is 0.99. Cheng Loong's value of 3.57% is 260.6% above this industry median. Based on the distribution chart, Cheng Loong ranks #139 out of 287 companies in the Forest Products industry, which is above the industry midpoint. Overall, Cheng Loong has a GF Score™ of 69/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cheng Loong's Return-on-Tangible-Asset compare to competitors?
According to the Forest Products industry distribution chart, Cheng Loong ranks #139 out of 287 companies for Return-on-Tangible-Asset. This puts Cheng Loong in the upper half of its industry. The industry median Return-on-Tangible-Asset is 0.99. Cheng Loong's value of 3.57% is 260.6% above this benchmark. Historically, Cheng Loong's own Return-on-Tangible-Asset has ranged from 0.85 to 6.23 over the past decade. While the company's 10-year median is 3.06 vs. the industry median of 0.99, Cheng Loong 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 Forest Products company?
The median Return-on-Tangible-Asset among Forest Products companies is 0.99, based on 287 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. Cheng Loong's current Return-on-Tangible-Asset of 3.57% is 260.6% 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 Cheng Loong and its competitors. For the Forest Products industry, the median Return-on-Tangible-Asset is 0.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cheng Loong's current Return-on-Tangible-Asset is 3.57%, which is 17% above median its own 10-year median of 3.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cheng Loong stock overvalued right now?
Based on GuruFocus' analysis, Cheng Loong (TPE:1904) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$25.95, compared to a current price of NT$20.95 — trading 19.3% below its estimated fair value. The current Return-on-Tangible-Asset is 3.57%, which is 17% above median its 10-year median of 3.06 and 260.6% above the Forest Products industry median of 0.99. Cheng Loong's overall GF Score™ is 69/100 with 11 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 Cheng Loong (TPE:1904), the current Return-on-Tangible-Asset is 3.57% 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 Cheng Loong (TPE:1904) Overvalued in 2026?
Based on GuruFocus' analysis, Cheng Loong stock appears to be undervalued.
The current stock price of NT$20.95 is trading 19.3% below its estimated GF Value™ of NT$25.95.
GuruFocus considers Cheng Loong to be Modestly Undervalued.
Key valuation signals for TPE:1904:
Return-on-Tangible-Asset: 3.57% (17% above median its 10-year median of 3.06)
GF Value™: NT$25.95 vs. price of NT$20.95 (19.3% below fair value)
Industry Position: 260.6% above the Forest Products median (#139 of 287)
No single metric tells the full story. See the TPE:1904 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cheng Loong Corp manufactures and sells a variety of paper products. The company is engaged in the manufacturing and sale of paper products, materials for paper products, corrugated cartons, and related products. It is also engaged in building commercial and residential premises for rent and sale in partnership with construction companies. The company generates a majority of its revenue from the manufacturing and sale of industrial paper, corrugated containers, and related products. Its geographical segments are Taiwan, which generates key revenue, China, and Southeast Asia.
69GF Score
Get the complete analysis for TPE:1904
Return-on-Tangible-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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