Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Hebei Yichen Industrial GroupFRA:HE2 -4.17%70 Return-on-Tangible-Equity is 20.07% as of Dec. 2025, which is 81% above its 10-year median of 11.06. GuruFocus rates FRA:HE2 with a GF Score™ of 70/100 and a GF Value™ of €0.45 (Possible Value Trap). The stock has 3 warning signs investors should review. Among 977 Transportation companies, Hebei Yichen Industrial Group ranks better than 62.74% 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. Hebei Yichen Industrial Group's annualized net income for the quarter that ended in Dec. 2025 was €57.2 Mil. Hebei Yichen Industrial Group's average shareholder tangible equity for the quarter that ended in Dec. 2025 was €284.8 Mil. Therefore, Hebei Yichen Industrial Group's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 20.07%.
The historical rank and industry rank for Hebei Yichen Industrial Group's Return-on-Tangible-Equity or its related term are showing as below:
FRA:HE2'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -2.26 Med: 11.06 Max: 24.12
Current: 12.54
During the past 13 years, Hebei Yichen Industrial Group's highest Return-on-Tangible-Equity was 24.12%. The lowest was -2.26%. And the median was 11.06%.
FRA:HE2's Return-on-Tangible-Equity is ranked better than 62.74% of 977
companies
in the Transportation industry
Industry Median: 9
vs FRA:HE2: 12.54
Hebei Yichen Industrial Group (FRA:HE2) 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.
Hebei Yichen Industrial Group Return-on-Tangible-Equity Related Terms
Hebei Yichen Industrial Group Return-on-Tangible-Equity 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.
Hebei Yichen Industrial Group Return-on-Tangible-Equity Chart
FRA:HE2 vs UNP, CSX, NSC: Return-on-Tangible-Equity Comparison
For the Railroads subindustry, Hebei Yichen Industrial Group'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.
Hebei Yichen Industrial Group Return-on-Tangible-Equity vs Transportation Industry
For the Transportation industry and Industrials sector, Hebei Yichen Industrial Group's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Hebei Yichen Industrial Group's Return-on-Tangible-Equity 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-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 two times the semi-annual (Dec. 2025) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 20.07% mean?
Hebei Yichen Industrial Group (FRA:HE2) has a Return-on-Tangible-Equity of 20.07% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Hebei Yichen Industrial Group and its competitors. This is 81% above median its historical median of 11.06. According to the industry distribution chart, Hebei Yichen Industrial Group ranks #364 out of 977 companies in the Transportation industry, placing it in the top 37.3%.
Is Hebei Yichen Industrial Group's Return-on-Tangible-Equity too high?
Hebei Yichen Industrial Group's current Return-on-Tangible-Equity of 20.07% is 81% above median its 10-year median of 11.06. The Transportation industry median Return-on-Tangible-Equity is 9.00. Hebei Yichen Industrial Group's value of 20.07% is 123% above this industry median. Based on the distribution chart, Hebei Yichen Industrial Group ranks #364 out of 977 companies in the Transportation industry, which is above the industry midpoint. Overall, Hebei Yichen Industrial Group has a GF Score™ of 70/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Hebei Yichen Industrial Group's Return-on-Tangible-Equity compare to UNP and CSX?
According to the Transportation industry distribution chart, Hebei Yichen Industrial Group ranks #364 out of 977 companies for Return-on-Tangible-Equity. This puts Hebei Yichen Industrial Group in the upper half of its industry. The industry median Return-on-Tangible-Equity is 9.00. Hebei Yichen Industrial Group's value of 20.07% is 123% above this benchmark. While the company's 10-year median is 11.06 vs. the industry median of 9.00, Hebei Yichen Industrial Group 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 Transportation company?
The median Return-on-Tangible-Equity among Transportation companies is 9.00, based on 977 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. Hebei Yichen Industrial Group's current Return-on-Tangible-Equity of 20.07% is 123% 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 Hebei Yichen Industrial Group and its competitors. For the Transportation industry, the median Return-on-Tangible-Equity is 9.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hebei Yichen Industrial Group's current Return-on-Tangible-Equity is 20.07%, which is 81% above median its own 10-year median of 11.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hebei Yichen Industrial Group stock overvalued right now?
Based on GuruFocus' analysis, Hebei Yichen Industrial Group (FRA:HE2) is currently considered Possible Value Trap. The stock's GF Value™ is €0.45, compared to a current price of €0.03 — trading 92.3% below its estimated fair value. The current Return-on-Tangible-Equity is 20.07%, which is 81% above median its 10-year median of 11.06 and 123% above the Transportation industry median of 9.00. Hebei Yichen Industrial Group's overall GF Score™ is 70/100 with 3 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 Hebei Yichen Industrial Group (FRA:HE2), the current Return-on-Tangible-Equity is 20.07% 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 Hebei Yichen Industrial Group (FRA:HE2) Overvalued in 2026?
Based on GuruFocus' analysis, Hebei Yichen Industrial Group stock appears to be undervalued.
The current stock price of €0.03 is trading 92.3% below its estimated GF Value™ of €0.45.
GuruFocus considers Hebei Yichen Industrial Group to be Possible Value Trap.
Key valuation signals for FRA:HE2:
Return-on-Tangible-Equity: 20.07% (81% above median its 10-year median of 11.06)
GF Value™: €0.45 vs. price of €0.03 (92.3% below fair value)
Industry Position: 123% above the Transportation median (#364 of 977)
No single metric tells the full story. See the FRA:HE2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hebei Yichen Industrial Group Business Description
Hebei Yichen Industrial Group Corp Ltd is engaged in research and development, manufacturing and sales of rail fastening system products, welding wire products and railway sleeper products. Its products include Spring bar IV fastening system, Spring bar V fastening system, WJ-7 fastening system, DT-VI2 fastening system, WJ-2 fastening system, Double layer non-linear shock absorber fastening system, among others. It operates in three business segments, including rail fastening system products; welding wire products; and railway sleeper products.
70GF Score
Get the complete analysis for FRA:HE2
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:HE2 has been successfully added to your 
