Hongchang International CoHCIL 27 Return-on-Tangible-Equity is 3.22% as of Dec. 2025. GuruFocus rates HCIL with a GF Score™ of 27/100. The stock has 6 warning signs investors should review. Among 300 Retail - Defensive companies, Hongchang International Co ranks worse than 63.67% 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. Hongchang International Co's annualized net income for the quarter that ended in Dec. 2025 was $1.22 Mil. Hongchang International Co's average shareholder tangible equity for the quarter that ended in Dec. 2025 was $37.81 Mil. Therefore, Hongchang International Co's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 3.22%.
The historical rank and industry rank for Hongchang International Co's Return-on-Tangible-Equity or its related term are showing as below:
HCIL'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -370.2 Med: -100.58 Max: 6.81
Current: 6.81
During the past 13 years, Hongchang International Co's highest Return-on-Tangible-Equity was 6.81%. The lowest was -370.20%. And the median was -100.58%.
HCIL's Return-on-Tangible-Equity is ranked worse than 63.67% of 300
companies
in the Retail - Defensive industry
Industry Median: 10.975
vs HCIL: 6.81
Hongchang International Co (OTCPK:HCIL) 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.
Hongchang International Co Return-on-Tangible-Equity Related Terms
Hongchang International Co 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.
Hongchang International Co Return-on-Tangible-Equity Chart
HCIL vs TWG, DIT, HFFG: Return-on-Tangible-Equity Comparison
For the Food Distribution subindustry, Hongchang International 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.
Hongchang International Co Return-on-Tangible-Equity vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, Hongchang International Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Hongchang International Co'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 four times the quarterly (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 3.22% mean?
Hongchang International Co (HCIL) has a Return-on-Tangible-Equity of 3.22% 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 Hongchang International Co and its competitors. According to the industry distribution chart, Hongchang International Co ranks #191 out of 300 companies in the Retail - Defensive industry, placing it in the top 63.7%.
Is Hongchang International Co's Return-on-Tangible-Equity too high?
Hongchang International Co's current Return-on-Tangible-Equity is 3.22%. The Retail - Defensive industry median Return-on-Tangible-Equity is 10.98. Hongchang International Co's value of 3.22% is 70.7% below this industry median. Based on the distribution chart, Hongchang International Co ranks #191 out of 300 companies in the Retail - Defensive industry, which is below the industry midpoint. Overall, Hongchang International Co has a GF Score™ of 27/100, reflecting its overall financial health beyond just this single metric.
How does Hongchang International Co's Return-on-Tangible-Equity compare to TWG and DIT?
According to the Retail - Defensive industry distribution chart, Hongchang International Co ranks #191 out of 300 companies for Return-on-Tangible-Equity. This places Hongchang International Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 10.98. Hongchang International Co's value of 3.22% is 70.7% below this benchmark. 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 Retail - Defensive company?
The median Return-on-Tangible-Equity among Retail - Defensive companies is 10.98, based on 300 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. Hongchang International Co's current Return-on-Tangible-Equity of 3.22% is 70.7% below 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 Hongchang International Co and its competitors. For the Retail - Defensive industry, the median Return-on-Tangible-Equity is 10.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hongchang International Co's current Return-on-Tangible-Equity is 3.22%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hongchang International Co stock overvalued right now?
Hongchang International Co (HCIL) has a current Return-on-Tangible-Equity of 3.22%. The current Return-on-Tangible-Equity is 3.22% and 70.7% below the Retail - Defensive industry median of 10.98. Hongchang International Co's overall GF Score™ is 27/100 with 6 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 Hongchang International Co (HCIL), the current Return-on-Tangible-Equity is 3.22% 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.
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