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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. LX Technology Group's annualized net income for the quarter that ended in Dec. 2025 was HK$17 Mil. LX Technology Group's average shareholder tangible equity for the quarter that ended in Dec. 2025 was HK$745 Mil. Therefore, LX Technology Group's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 2.34%.
The historical rank and industry rank for LX Technology Group's Return-on-Tangible-Equity or its related term are showing as below:
HKSE:02436'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -667.66 Med: -8.27 Max: 171.91
Current: 2.03
During the past 7 years, LX Technology Group's highest Return-on-Tangible-Equity was 171.91%. The lowest was -667.66%. And the median was -8.27%.
HKSE:02436's Return-on-Tangible-Equity is ranked worse than 63.01% of 2382
companies
in the Hardware industry
Industry Median: 5.38
vs HKSE:02436: 2.03
LX Technology Group (HKSE:02436) 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.
LX Technology Group Return-on-Tangible-Equity Related Terms
LX Technology Group Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for LX Technology Group'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.
LX Technology Group Return-on-Tangible-Equity Chart
HKSE:02436 vs DELL, ANET, SNDK: Return-on-Tangible-Equity Comparison
For the Computer Hardware subindustry, LX Technology 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.
LX Technology Group Return-on-Tangible-Equity vs Hardware Industry
For the Hardware industry and Technology sector, LX Technology Group's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where LX Technology 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 2.34% mean?
LX Technology Group (HKSE:02436) has a Return-on-Tangible-Equity of 2.34% 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 LX Technology Group and its competitors. According to the industry distribution chart, LX Technology Group ranks #1501 out of 2382 companies in the Hardware industry, placing it in the top 63%.
Is LX Technology Group's Return-on-Tangible-Equity too high?
LX Technology Group's current Return-on-Tangible-Equity is 2.34%. The Hardware industry median Return-on-Tangible-Equity is 5.38. LX Technology Group's value of 2.34% is 56.5% below this industry median. Based on the distribution chart, LX Technology Group ranks #1501 out of 2382 companies in the Hardware industry, which is below the industry midpoint. Overall, LX Technology Group has a GF Score™ of 61/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does LX Technology Group's Return-on-Tangible-Equity compare to DELL and ANET?
According to the Hardware industry distribution chart, LX Technology Group ranks #1501 out of 2382 companies for Return-on-Tangible-Equity. This places LX Technology Group in the lower half of its industry. The industry median Return-on-Tangible-Equity is 5.38. LX Technology Group's value of 2.34% is 56.5% 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 Hardware company?
The median Return-on-Tangible-Equity among Hardware companies is 5.38, based on 2,382 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. LX Technology Group's current Return-on-Tangible-Equity of 2.34% is 56.5% 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 LX Technology Group and its competitors. For the Hardware industry, the median Return-on-Tangible-Equity is 5.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LX Technology Group's current Return-on-Tangible-Equity is 2.34%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LX Technology Group stock overvalued right now?
Based on GuruFocus' analysis, LX Technology Group (HKSE:02436) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$6.72, compared to a current price of HK$20.24 — trading 201.2% above its estimated fair value. The current Return-on-Tangible-Equity is 2.34% and 56.5% below the Hardware industry median of 5.38. LX Technology Group's overall GF Score™ is 61/100 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 LX Technology Group (HKSE:02436), the current Return-on-Tangible-Equity is 2.34% 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 LX Technology Group (HKSE:02436) Overvalued in 2026?
Based on GuruFocus' analysis, LX Technology Group stock appears to be overvalued.
The current stock price of HK$20.24 is trading 201.2% above its estimated GF Value™ of HK$6.72.
GuruFocus considers LX Technology Group to be Significantly Overvalued.
Key valuation signals for HKSE:02436:
Return-on-Tangible-Equity: 2.34%
GF Value™: HK$6.72 vs. price of HK$20.24 (201.2% above fair value)
Industry Position: 56.5% below the Hardware median (#1501 of 2382)
No single metric tells the full story. See the HKSE:02436 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
LX Technology Group Ltd is a device as a service provider in China. It is principally engaged in the sales of refurbished de-commissioned IT devices to, among others, resellers of IT devices, and the provision of the device and IT technical subscription services to SMEs in China. The service line of the company are the Device recycling business, Device subscription services and IT technical subscription services. from which the company earns maximum revenue from the Device recycling business.
61GF Score
Get the complete analysis for HKSE:02436
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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