Renheng Enterprise Holdings (HKSE:03628) Return-on-Tangible-Equity: 1.25% (As of Dec. 2025) — 105% Above Median

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HKSE:03628 Renheng Enterprise Holdings Ltd HKSE:03628
61 GF Score
Price HK$0.20
GF Value HK$0.17
Valuation Modestly Overvalued
! 5 Warning Signs
View Full Analysis

What is Renheng Enterprise Holdings Return-on-Tangible-Equity?

Renheng Enterprise Holdings HKSE:03628 61 Return-on-Tangible-Equity is 1.25% as of Dec. 2025, which is 105% above its 10-year median of 0.61. GuruFocus rates HKSE:03628 with a GF Score™ of 61/100 and a GF Value™ of HK$0.17 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 2,982 Industrial Products companies, Renheng Enterprise Holdings ranks better than 62.61% 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. Renheng Enterprise Holdings's annualized net income for the quarter that ended in Dec. 2025 was HK$1.8 Mil. Renheng Enterprise Holdings's average shareholder tangible equity for the quarter that ended in Dec. 2025 was HK$143.8 Mil. Therefore, Renheng Enterprise Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 1.25%.

The historical rank and industry rank for Renheng Enterprise Holdings's Return-on-Tangible-Equity or its related term are showing as below:

HKSE:03628' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -11.05   Med: 0.61   Max: 11.55
Current: 10.07

During the past 13 years, Renheng Enterprise Holdings's highest Return-on-Tangible-Equity was 11.55%. The lowest was -11.05%. And the median was 0.61%.

HKSE:03628's Return-on-Tangible-Equity is ranked better than
62.61% of 2982 companies
in the Industrial Products industry
Industry Median: 7.055 vs HKSE:03628: 10.07

Renheng Enterprise Holdings  (HKSE:03628) 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.


Renheng Enterprise Holdings Return-on-Tangible-Equity Related Terms


Renheng Enterprise Holdings Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Renheng Enterprise Holdings'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.

Renheng Enterprise Holdings Return-on-Tangible-Equity Chart

Renheng Enterprise Holdings 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 0.59 -2.02 11.55 5.60 10.23

Renheng Enterprise Holdings Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 21.98 11.92 -0.81 19.29 1.25

HKSE:03628 vs GEV, ETN, PH: Return-on-Tangible-Equity Comparison

For the Specialty Industrial Machinery subindustry, Renheng Enterprise Holdings'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.


Renheng Enterprise Holdings Return-on-Tangible-Equity vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Renheng Enterprise Holdings's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Renheng Enterprise Holdings's Return-on-Tangible-Equity falls into.


HKSE:03628
61GF Score
Renheng Enterprise Holdings Ltd HKSE:03628
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Renheng Enterprise Holdings Return-on-Tangible-Equity Calculation

Renheng Enterprise Holdings'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 )
=13.955/( (128.011+144.822 )/ 2 )
=13.955/136.4165
=10.23 %

Renheng Enterprise Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=1.794/( (142.829+144.822)/ 2 )
=1.794/143.8255
=1.25 %

* 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 1.25% mean?
Renheng Enterprise Holdings (HKSE:03628) has a Return-on-Tangible-Equity of 1.25% 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 Renheng Enterprise Holdings and its competitors. This is 105% above median its historical median of 0.61. According to the industry distribution chart, Renheng Enterprise Holdings ranks #1115 out of 2982 companies in the Industrial Products industry, placing it in the top 37.4%.
Is Renheng Enterprise Holdings' Return-on-Tangible-Equity too high?
Renheng Enterprise Holdings' current Return-on-Tangible-Equity of 1.25% is 105% above median its 10-year median of 0.61. The Industrial Products industry median Return-on-Tangible-Equity is 7.06. Renheng Enterprise Holdings' value of 1.25% is 82.3% below this industry median. Based on the distribution chart, Renheng Enterprise Holdings ranks #1115 out of 2982 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Renheng Enterprise Holdings has a GF Score™ of 61/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Renheng Enterprise Holdings' Return-on-Tangible-Equity compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Renheng Enterprise Holdings ranks #1115 out of 2982 companies for Return-on-Tangible-Equity. This puts Renheng Enterprise Holdings in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.06. Renheng Enterprise Holdings' value of 1.25% is 82.3% below this benchmark. While the company's 10-year median is 0.61 vs. the industry median of 7.06, Renheng Enterprise Holdings 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 an Industrial Products company?
The median Return-on-Tangible-Equity among Industrial Products companies is 7.06, based on 2,982 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. Renheng Enterprise Holdings's current Return-on-Tangible-Equity of 1.25% is 82.3% 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 Renheng Enterprise Holdings and its competitors. For the Industrial Products industry, the median Return-on-Tangible-Equity is 7.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Renheng Enterprise Holdings's current Return-on-Tangible-Equity is 1.25%, which is 105% above median its own 10-year median of 0.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Renheng Enterprise Holdings stock overvalued right now?
Based on GuruFocus' analysis, Renheng Enterprise Holdings (HKSE:03628) is currently considered Modestly Overvalued. The stock's GF Value™ is HK$0.17, compared to a current price of HK$0.20 — trading 17.6% above its estimated fair value. The current Return-on-Tangible-Equity is 1.25%, which is 105% above median its 10-year median of 0.61 and 82.3% below the Industrial Products industry median of 7.06. Renheng Enterprise Holdings' overall GF Score™ is 61/100 with 5 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 Renheng Enterprise Holdings (HKSE:03628), the current Return-on-Tangible-Equity is 1.25% 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 Renheng Enterprise Holdings (HKSE:03628) Overvalued in 2026?

Based on GuruFocus' analysis, Renheng Enterprise Holdings stock appears to be overvalued. The current stock price of HK$0.20 is trading 17.6% above its estimated GF Value™ of HK$0.17. GuruFocus considers Renheng Enterprise Holdings to be Modestly Overvalued.

Key valuation signals for HKSE:03628:

  • Return-on-Tangible-Equity: 1.25% (105% above median its 10-year median of 0.61)
  • GF Value™: HK$0.17 vs. price of HK$0.20 (17.6% above fair value)
  • GF Score™: 61/100 with 5 warning signs
  • Industry Position: 82.3% below the Industrial Products median (#1115 of 2982)

No single metric tells the full story. See the HKSE:03628 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Renheng Enterprise Holdings Business Description

Address 16 Harcourt Road, Room 3805, 38th Floor, Far East Finance Centre, Admiralty, Hong Kong, HKG
Renheng Enterprise Holdings Ltd is an investment holding company that along with its subsidiaries, is engaged in the manufacture and sale of tobacco machinery products in the PRC. The company mainly produces three types of cataloged special-purpose tobacco machinery products, namely casing and flavoring systems, pneumatic feeding systems, and pre-pressing packing machines. It is also engaged in providing maintenance, overhaul, and modification services for tobacco machinery products. The company generates a majority of its revenue from construction contracts for casing and flavouring systems. All of the Group's revenue are derived in the PRC.
61GF Score

Get the complete analysis for HKSE:03628

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

HK$0.20
Price
HK$0.17
GF Value