Henan Tongxin Transmission Co (BJSE:920454) Return-on-Tangible-Equity: 8.39% (As of Jun. 2026) — 19% Below Median

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BJSE:920454 Henan Tongxin Transmission Co Ltd BJSE:920454
83 GF Score
Price ¥10.96
GF Value ¥13.69
Valuation Modestly Undervalued
! 4 Warning Signs
View Full Analysis

What is Henan Tongxin Transmission Co Return-on-Tangible-Equity?

Henan Tongxin Transmission Co BJSE:920454 83 Return-on-Tangible-Equity is 8.39% as of Jun. 2026, which is 19% below its 10-year median of 10.38. GuruFocus rates BJSE:920454 with a GF Score™ of 83/100 and a GF Value™ of ¥13.69 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 1,285 Vehicles & Parts companies, Henan Tongxin Transmission Co ranks better than 54.24% on this metric.

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Henan Tongxin Transmission Co's annualized net income for the quarter that ended in Jun. 2026 was ¥26.7 Mil. Henan Tongxin Transmission Co's average shareholder tangible equity for the quarter that ended in Jun. 2026 was ¥319.0 Mil. Therefore, Henan Tongxin Transmission Co's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 was 8.39%.

The historical rank and industry rank for Henan Tongxin Transmission Co's Return-on-Tangible-Equity or its related term are showing as below:

BJSE:920454' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 6.89   Med: 10.38   Max: 21.39
Current: 8.67

During the past 13 years, Henan Tongxin Transmission Co's highest Return-on-Tangible-Equity was 21.39%. The lowest was 6.89%. And the median was 10.38%.

BJSE:920454's Return-on-Tangible-Equity is ranked better than
54.24% of 1285 companies
in the Vehicles & Parts industry
Industry Median: 7.88 vs BJSE:920454: 8.67

Henan Tongxin Transmission Co  (BJSE:920454) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Henan Tongxin Transmission Co Return-on-Tangible-Equity Related Terms


Henan Tongxin Transmission Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Henan Tongxin Transmission Co's Return-on-Tangible-Equity 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.

Henan Tongxin Transmission Co Return-on-Tangible-Equity Chart

Henan Tongxin Transmission Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.08 6.89 7.30 7.66 8.76

Henan Tongxin Transmission Co Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Return-on-Tangible-Equity 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 10.11 9.73 7.10 9.35 8.39

BJSE:920454 vs ORLY, AZO: Return-on-Tangible-Equity Comparison

For the Auto Parts subindustry, Henan Tongxin Transmission Co's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.


Henan Tongxin Transmission Co Return-on-Tangible-Equity vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Henan Tongxin Transmission Co's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Henan Tongxin Transmission Co's Return-on-Tangible-Equity falls into.


BJSE:920454
83GF Score
Henan Tongxin Transmission Co Ltd BJSE:920454
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Henan Tongxin Transmission Co Return-on-Tangible-Equity Calculation

Henan Tongxin Transmission Co's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=27.248/( (305.533+316.387 )/ 2 )
=27.248/310.96
=8.76 %

Henan Tongxin Transmission Co's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Jun. 2026 )  (Q: Mar. 2026 )(Q: Jun. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Jun. 2026 )  (Q: Mar. 2026 )(Q: Jun. 2026 )
=26.748/( (323.975+313.953)/ 2 )
=26.748/318.964
=8.39 %

* 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-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Jun. 2026) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 8.39% mean?
Henan Tongxin Transmission Co (BJSE:920454) has a Return-on-Tangible-Equity of 8.39% as of Jun. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Henan Tongxin Transmission Co and its competitors. This is 19% below median its historical median of 10.38. Over the past decade, Henan Tongxin Transmission Co's Return-on-Tangible-Equity has ranged from 6.89 to 21.39. According to the industry distribution chart, Henan Tongxin Transmission Co ranks #588 out of 1285 companies in the Vehicles & Parts industry, placing it in the top 45.8%.
Is Henan Tongxin Transmission Co's Return-on-Tangible-Equity too high?
Henan Tongxin Transmission Co's current Return-on-Tangible-Equity of 8.39% is 19% below median its 10-year median of 10.38. Over the past 10 years, this metric has ranged from a low of 6.89 to a high of 21.39. The Vehicles & Parts industry median Return-on-Tangible-Equity is 7.88. Henan Tongxin Transmission Co's value of 8.39% is 6.5% above this industry median. Based on the distribution chart, Henan Tongxin Transmission Co ranks #588 out of 1285 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, Henan Tongxin Transmission Co has a GF Score™ of 83/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Henan Tongxin Transmission Co's Return-on-Tangible-Equity compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Henan Tongxin Transmission Co ranks #588 out of 1285 companies for Return-on-Tangible-Equity. This puts Henan Tongxin Transmission Co in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.88. Henan Tongxin Transmission Co's value of 8.39% is 6.5% above this benchmark. Historically, Henan Tongxin Transmission Co's own Return-on-Tangible-Equity has ranged from 6.89 to 21.39 over the past decade. While the company's 10-year median is 10.38 vs. the industry median of 7.88, Henan Tongxin Transmission 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-Equity for a Vehicles & Parts company?
The median Return-on-Tangible-Equity among Vehicles & Parts companies is 7.88, based on 1,285 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Henan Tongxin Transmission Co's current Return-on-Tangible-Equity of 8.39% is 6.5% 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-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Henan Tongxin Transmission Co and its competitors. For the Vehicles & Parts industry, the median Return-on-Tangible-Equity is 7.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Henan Tongxin Transmission Co's current Return-on-Tangible-Equity is 8.39%, which is 19% below median its own 10-year median of 10.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Henan Tongxin Transmission Co stock overvalued right now?
Based on GuruFocus' analysis, Henan Tongxin Transmission Co (BJSE:920454) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥13.69, compared to a current price of ¥10.96 — trading 19.9% below its estimated fair value. The current Return-on-Tangible-Equity is 8.39%, which is 19% below median its 10-year median of 10.38 and 6.5% above the Vehicles & Parts industry median of 7.88. Henan Tongxin Transmission Co's overall GF Score™ is 83/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Henan Tongxin Transmission Co (BJSE:920454), the current Return-on-Tangible-Equity is 8.39% 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 Henan Tongxin Transmission Co (BJSE:920454) Overvalued in 2026?

Based on GuruFocus' analysis, Henan Tongxin Transmission Co stock appears to be undervalued. The current stock price of ¥10.96 is trading 19.9% below its estimated GF Value™ of ¥13.69. GuruFocus considers Henan Tongxin Transmission Co to be Modestly Undervalued.

Key valuation signals for BJSE:920454:

  • Return-on-Tangible-Equity: 8.39% (19% below median its 10-year median of 10.38)
  • GF Value™: ¥13.69 vs. price of ¥10.96 (19.9% below fair value)
  • GF Score™: 83/100 with 4 warning signs
  • Industry Position: 6.5% above the Vehicles & Parts median (#588 of 1285)

No single metric tells the full story. See the BJSE:920454 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Henan Tongxin Transmission Co Business Description

Address South of Changqing Street, Economic and Technological Development Zone, Weidu District, Henan Province, Xuchang City, CHN, 461000
Henan Tongxin Transmission Co Ltd engages in the research and development, production, and sales of all kinds of automobile drive shafts, providing comprehensive one-stop solutions for industry customers. Its product offerings comprise Drive shaft with support (front axle), Telescopic Drive Shaft (Rear Shaft), Coupled drive shafts, Wing drive shafts, and spare parts.
83GF Score

Get the complete analysis for BJSE:920454

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

¥10.96
Price
¥13.69
GF Value