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China Beststudy Education GroupHKSE:03978 -0.37%75 Return-on-Tangible-Equity is 40.05% as of Dec. 2025, which is 139% above its 10-year median of 16.78. GuruFocus rates HKSE:03978 with a GF Score™ of 75/100 and a GF Value™ of HK$7.22 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 248 Education companies, China Beststudy Education Group ranks better than 78.63% on this metric.
The historical rank and industry rank for China Beststudy Education Group's Return-on-Tangible-Equity or its related term are showing as below:
HKSE:03978'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -61.46 Med: 16.78 Max: 44.04
Current: 42.3
During the past 11 years, China Beststudy Education Group's highest Return-on-Tangible-Equity was 44.04%. The lowest was -61.46%. And the median was 16.78%.
HKSE:03978's Return-on-Tangible-Equity is ranked better than 78.63% of 248
companies
in the Education industry
Industry Median: 12.085
vs HKSE:03978: 42.30
China Beststudy Education Group (HKSE:03978) 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.
China Beststudy Education Group Return-on-Tangible-Equity Related Terms
China Beststudy Education Group 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.
China Beststudy Education Group Return-on-Tangible-Equity Chart
HKSE:03978 vs EDU, TAL, LAUR: Return-on-Tangible-Equity Comparison
For the Education & Training Services subindustry, China Beststudy Education 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.
China Beststudy Education Group Return-on-Tangible-Equity vs Education Industry
For the Education industry and Consumer Defensive sector, China Beststudy Education Group's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where China Beststudy Education 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 40.05% mean?
China Beststudy Education Group (HKSE:03978) has a Return-on-Tangible-Equity of 40.05% 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 China Beststudy Education Group and its competitors. This is 139% above median its historical median of 16.78. According to the industry distribution chart, China Beststudy Education Group ranks #53 out of 248 companies in the Education industry, placing it in the top 21.4%.
Is China Beststudy Education Group's Return-on-Tangible-Equity too high?
China Beststudy Education Group's current Return-on-Tangible-Equity of 40.05% is 139% above median its 10-year median of 16.78. The Education industry median Return-on-Tangible-Equity is 12.09. China Beststudy Education Group's value of 40.05% is 231.4% above this industry median. Based on the distribution chart, China Beststudy Education Group ranks #53 out of 248 companies in the Education industry, which is in the top quartile — a strong position relative to peers. Overall, China Beststudy Education Group has a GF Score™ of 75/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does China Beststudy Education Group's Return-on-Tangible-Equity compare to EDU and TAL?
According to the Education industry distribution chart, China Beststudy Education Group ranks #53 out of 248 companies for Return-on-Tangible-Equity. This places China Beststudy Education Group in the top 21% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 12.09. China Beststudy Education Group's value of 40.05% is 231.4% above this benchmark. While the company's 10-year median is 16.78 vs. the industry median of 12.09, China Beststudy Education Group 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 an Education company?
The median Return-on-Tangible-Equity among Education companies is 12.09, based on 248 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. China Beststudy Education Group's current Return-on-Tangible-Equity of 40.05% is 231.4% 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 China Beststudy Education Group and its competitors. For the Education industry, the median Return-on-Tangible-Equity is 12.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Beststudy Education Group's current Return-on-Tangible-Equity is 40.05%, which is 139% above median its own 10-year median of 16.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Beststudy Education Group stock overvalued right now?
Based on GuruFocus' analysis, China Beststudy Education Group (HKSE:03978) is currently considered Significantly Undervalued. The stock's GF Value™ is HK$7.22, compared to a current price of HK$2.69 — trading 62.7% below its estimated fair value. The current Return-on-Tangible-Equity is 40.05%, which is 139% above median its 10-year median of 16.78 and 231.4% above the Education industry median of 12.09. China Beststudy Education Group's overall GF Score™ is 75/100 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 China Beststudy Education Group (HKSE:03978), the current Return-on-Tangible-Equity is 40.05% 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 China Beststudy Education Group (HKSE:03978) Overvalued in 2026?
Based on GuruFocus' analysis, China Beststudy Education Group stock appears to be undervalued.
The current stock price of HK$2.69 is trading 62.7% below its estimated GF Value™ of HK$7.22.
GuruFocus considers China Beststudy Education Group to be Significantly Undervalued.
Key valuation signals for HKSE:03978:
Return-on-Tangible-Equity: 40.05% (139% above median its 10-year median of 16.78)
GF Value™: HK$7.22 vs. price of HK$2.69 (62.7% below fair value)
Industry Position: 231.4% above the Education median (#53 of 248)
No single metric tells the full story. See the HKSE:03978 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China Beststudy Education Group is an investment holding company. Along with its subsidiaries, it is engaged in providing education-related courses, including full-time revision business (equivalent to full-time test preparation programs), talent education, self-study programs, vocational education, and after-school tutoring programs. It generates maximum revenue from the provision of talent education services. Geographically, the company generates a majority of its revenue from Mainland China.
75GF Score
Get the complete analysis for HKSE:03978
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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