Luxshare Precision Industry Co (HKSE:02475) Return-on-Tangible-Equity: 19.83% (As of Jun. 2026) — 15% Below Median

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HKSE:02475 Luxshare Precision Industry Co Ltd HKSE:02475
70 GF Score
Price HK$63.50
GF Value HK$64.76
Valuation Fairly Valued
! 6 Warning Signs
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What is Luxshare Precision Industry Co Return-on-Tangible-Equity?

Luxshare Precision Industry Co HKSE:02475 +0.79% 70 Return-on-Tangible-Equity is 19.83% as of Jun. 2026, which is 15% below its 10-year median of 23.38. GuruFocus rates HKSE:02475 with a GF Score™ of 70/100 and a GF Value™ of HK$64.76 (Fairly Valued). The stock has 6 warning signs investors should review. Among 2,379 Hardware companies, Luxshare Precision Industry Co ranks better than 85.88% 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. Luxshare Precision Industry Co's annualized net income for the quarter that ended in Jun. 2026 was HK$19,354 Mil. Luxshare Precision Industry Co's average shareholder tangible equity for the quarter that ended in Jun. 2026 was HK$97,605 Mil. Therefore, Luxshare Precision Industry Co's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 was 19.83%.

The historical rank and industry rank for Luxshare Precision Industry Co's Return-on-Tangible-Equity or its related term are showing as below:

HKSE:02475' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 15.45   Med: 23.38   Max: 32.1
Current: 22.69

During the past 13 years, Luxshare Precision Industry Co's highest Return-on-Tangible-Equity was 32.10%. The lowest was 15.45%. And the median was 23.38%.

HKSE:02475's Return-on-Tangible-Equity is ranked better than
85.88% of 2379 companies
in the Hardware industry
Industry Median: 6.26 vs HKSE:02475: 22.69

Luxshare Precision Industry Co  (HKSE:02475) 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.


Luxshare Precision Industry Co Return-on-Tangible-Equity Related Terms


Luxshare Precision Industry Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Luxshare Precision Industry 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.

Luxshare Precision Industry Co Return-on-Tangible-Equity Chart

Luxshare Precision Industry 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 24.75 24.23 23.38 22.68 23.51

Luxshare Precision Industry 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 21.26 27.22 26.80 18.38 19.83

HKSE:02475 vs APH, GLW, TEL: Return-on-Tangible-Equity Comparison

For the Electronic Components subindustry, Luxshare Precision Industry 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.


Luxshare Precision Industry Co Return-on-Tangible-Equity vs Hardware Industry

For the Hardware industry and Technology sector, Luxshare Precision Industry Co's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Luxshare Precision Industry Co's Return-on-Tangible-Equity falls into.


HKSE:02475
70GF Score
Luxshare Precision Industry Co Ltd HKSE:02475
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Luxshare Precision Industry Co Return-on-Tangible-Equity Calculation

Luxshare Precision Industry 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 )
=18338.183/( (69024.694+86988.717 )/ 2 )
=18338.183/78006.7055
=23.51 %

Luxshare Precision Industry 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 )
=19354.484/( (93944.449+101265.797)/ 2 )
=19354.484/97605.123
=19.83 %

* 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 19.83% mean?
Luxshare Precision Industry Co (HKSE:02475) has a Return-on-Tangible-Equity of 19.83% 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 Luxshare Precision Industry Co and its competitors. This is 15% below median its historical median of 23.38. Over the past decade, Luxshare Precision Industry Co's Return-on-Tangible-Equity has ranged from 15.45 to 32.10. According to the industry distribution chart, Luxshare Precision Industry Co ranks #336 out of 2379 companies in the Hardware industry, placing it in the top 14.1%.
Is Luxshare Precision Industry Co's Return-on-Tangible-Equity too high?
Luxshare Precision Industry Co's current Return-on-Tangible-Equity of 19.83% is 15% below median its 10-year median of 23.38. Over the past 10 years, this metric has ranged from a low of 15.45 to a high of 32.10. The Hardware industry median Return-on-Tangible-Equity is 6.26. Luxshare Precision Industry Co's value of 19.83% is 216.8% above this industry median. Based on the distribution chart, Luxshare Precision Industry Co ranks #336 out of 2379 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Luxshare Precision Industry Co has a GF Score™ of 70/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Luxshare Precision Industry Co's Return-on-Tangible-Equity compare to APH and GLW?
According to the Hardware industry distribution chart, Luxshare Precision Industry Co ranks #336 out of 2379 companies for Return-on-Tangible-Equity. This places Luxshare Precision Industry Co in the top 14% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 6.26. Luxshare Precision Industry Co's value of 19.83% is 216.8% above this benchmark. Historically, Luxshare Precision Industry Co's own Return-on-Tangible-Equity has ranged from 15.45 to 32.10 over the past decade. While the company's 10-year median is 23.38 vs. the industry median of 6.26, Luxshare Precision Industry 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 Hardware company?
The median Return-on-Tangible-Equity among Hardware companies is 6.26, based on 2,379 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. Luxshare Precision Industry Co's current Return-on-Tangible-Equity of 19.83% is 216.8% 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 Luxshare Precision Industry Co and its competitors. For the Hardware industry, the median Return-on-Tangible-Equity is 6.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Luxshare Precision Industry Co's current Return-on-Tangible-Equity is 19.83%, which is 15% below median its own 10-year median of 23.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Luxshare Precision Industry Co stock overvalued right now?
Based on GuruFocus' analysis, Luxshare Precision Industry Co (HKSE:02475) is currently considered Fairly Valued. The stock's GF Value™ is HK$64.76, compared to a current price of HK$63.50 — trading 1.9% below its estimated fair value. The current Return-on-Tangible-Equity is 19.83%, which is 15% below median its 10-year median of 23.38 and 216.8% above the Hardware industry median of 6.26. Luxshare Precision Industry Co's overall GF Score™ is 70/100 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 Luxshare Precision Industry Co (HKSE:02475), the current Return-on-Tangible-Equity is 19.83% 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 Luxshare Precision Industry Co (HKSE:02475) Overvalued in 2026?

Based on GuruFocus' analysis, Luxshare Precision Industry Co stock appears to be undervalued. The current stock price of HK$63.50 is trading 1.9% below its estimated GF Value™ of HK$64.76. GuruFocus considers Luxshare Precision Industry Co to be Fairly Valued.

Key valuation signals for HKSE:02475:

  • Return-on-Tangible-Equity: 19.83% (15% below median its 10-year median of 23.38)
  • GF Value™: HK$64.76 vs. price of HK$63.50 (1.9% below fair value)
  • GF Score™: 70/100 with 6 warning signs
  • Industry Position: 216.8% above the Hardware median (#336 of 2379)

No single metric tells the full story. See the HKSE:02475 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Luxshare Precision Industry Co Business Description

Other Exchanges 002475:China
Address No. 313 North Ring Road, Qingxi Town, Guangdong, Dongguan, CHN, 523642
Founded in 2004, Luxshare Precision is one of the world's largest manufacturers of cables and connectors and is a major supplier to Apple, which accounts for over 70% of revenue. Of Luxshare's 2025 sales, 80% is derived from the consumer electronics end market, while the remaining 20% is spread across the computer, communication, and automobile verticals. In nonconsumer businesses, Luxshare supplies cooling systems, optical interconnects, cables, power supplies, and other electric hardware. Luxshare employs almost 420,000 people and has manufacturing bases in China, India, and Vietnam. Through acquiring German automotive cabling firm Leoni, it has added 26 more production sites, mainly in Europe and Africa.
70GF Score

Get the complete analysis for HKSE:02475

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

HK$63.50
Price
HK$64.76
GF Value