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Beijing Xunzhong Communication Technology CoHKSE:02597 +0.75%19 Return-on-Tangible-Equity is 9.00% as of Dec. 2025, which is 3% above its 10-year median of 8.70. GuruFocus rates HKSE:02597 with a GF Score™ of 19/100. The stock has 2 warning signs investors should review. Among 326 Telecommunication Services companies, Beijing Xunzhong Communication Technology Co ranks worse than 62.88% on this metric.
HKSE:02597's Return-on-Tangible-Equity is ranked worse than 62.88% of 326
companies
in the Telecommunication Services industry
Industry Median: 14.66
vs HKSE:02597: 7.48
Beijing Xunzhong Communication Technology Co (HKSE:02597) 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.
Beijing Xunzhong Communication Technology Co Return-on-Tangible-Equity Related Terms
Beijing Xunzhong Communication Technology 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.
Beijing Xunzhong Communication Technology Co Return-on-Tangible-Equity Chart
Beijing Xunzhong Communication Technology Co Annual Data
Trend
Dec22
Dec23
Dec24
Dec25
Return-on-Tangible-Equity
10.75
10.31
6.51
7.09
Beijing Xunzhong Communication Technology Co Semi-Annual Data
HKSE:02597 vs VZ, TMUS, T: Return-on-Tangible-Equity Comparison
For the Telecom Services subindustry, Beijing Xunzhong Communication Technology 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.
Beijing Xunzhong Communication Technology Co Return-on-Tangible-Equity vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Beijing Xunzhong Communication Technology Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Beijing Xunzhong Communication Technology 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 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 9.00% mean?
Beijing Xunzhong Communication Technology Co (HKSE:02597) has a Return-on-Tangible-Equity of 9.00% 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 Beijing Xunzhong Communication Technology Co and its competitors. This is near median its historical median of 8.70. Over the past decade, Beijing Xunzhong Communication Technology Co's Return-on-Tangible-Equity has ranged from 6.51 to 10.75. According to the industry distribution chart, Beijing Xunzhong Communication Technology Co ranks #205 out of 326 companies in the Telecommunication Services industry, placing it in the top 62.9%.
Is Beijing Xunzhong Communication Technology Co's Return-on-Tangible-Equity too high?
Beijing Xunzhong Communication Technology Co's current Return-on-Tangible-Equity of 9.00% is near median its 10-year median of 8.70. Over the past 10 years, this metric has ranged from a low of 6.51 to a high of 10.75. The Telecommunication Services industry median Return-on-Tangible-Equity is 14.66. Beijing Xunzhong Communication Technology Co's value of 9.00% is 38.6% below this industry median. Based on the distribution chart, Beijing Xunzhong Communication Technology Co ranks #205 out of 326 companies in the Telecommunication Services industry, which is below the industry midpoint. Overall, Beijing Xunzhong Communication Technology Co has a GF Score™ of 19/100, reflecting its overall financial health beyond just this single metric.
How does Beijing Xunzhong Communication Technology Co's Return-on-Tangible-Equity compare to VZ and TMUS?
According to the Telecommunication Services industry distribution chart, Beijing Xunzhong Communication Technology Co ranks #205 out of 326 companies for Return-on-Tangible-Equity. This places Beijing Xunzhong Communication Technology Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 14.66. Beijing Xunzhong Communication Technology Co's value of 9.00% is 38.6% below this benchmark. Historically, Beijing Xunzhong Communication Technology Co's own Return-on-Tangible-Equity has ranged from 6.51 to 10.75 over the past decade. While the company's 10-year median is 8.70 vs. the industry median of 14.66, Beijing Xunzhong Communication Technology Co has consistently been below 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 Telecommunication Services company?
The median Return-on-Tangible-Equity among Telecommunication Services companies is 14.66, based on 326 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. Beijing Xunzhong Communication Technology Co's current Return-on-Tangible-Equity of 9.00% is 38.6% 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 Beijing Xunzhong Communication Technology Co and its competitors. For the Telecommunication Services industry, the median Return-on-Tangible-Equity is 14.66 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Beijing Xunzhong Communication Technology Co's current Return-on-Tangible-Equity is 9.00%, which is near median its own 10-year median of 8.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Beijing Xunzhong Communication Technology Co stock overvalued right now?
Beijing Xunzhong Communication Technology Co (HKSE:02597) has a current Return-on-Tangible-Equity of 9.00%. The current Return-on-Tangible-Equity is 9.00%, which is near median its 10-year median of 8.70 and 38.6% below the Telecommunication Services industry median of 14.66. Beijing Xunzhong Communication Technology Co's overall GF Score™ is 19/100 with 2 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 Beijing Xunzhong Communication Technology Co (HKSE:02597), the current Return-on-Tangible-Equity is 9.00% 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.
Beijing Xunzhong Communication Technology Co Ltd is a cloud-based communication service provider. Communications Platform as a Service, also known as CPaaS, is at the core of its business. On its cloud-based CPaaS platform, its customers, principally internet companies, software and information technology companies, and financial institutions, have convenient access to a vast array of integrated telecommunications resources, covering voice, messaging, and mobile data capabilities, which the company sources from majorly telecommunications operators and other service providers in China.
19GF Score
Get the complete analysis for HKSE:02597
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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