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Anhui Quanchai Engine CoSHSE:600218 +3.14%60 Return-on-Tangible-Equity is 3.89% as of Mar. 2026, which is 15% above its 10-year median of 3.38. GuruFocus rates SHSE:600218 with a GF Score™ of 60/100 and a GF Value™ of ¥8.61 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 1,281 Vehicles & Parts companies, Anhui Quanchai Engine Co ranks worse than 72.6% 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. Anhui Quanchai Engine Co's annualized net income for the quarter that ended in Mar. 2026 was ¥125 Mil. Anhui Quanchai Engine Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ¥3,208 Mil. Therefore, Anhui Quanchai Engine Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 3.89%.
The historical rank and industry rank for Anhui Quanchai Engine Co's Return-on-Tangible-Equity or its related term are showing as below:
SHSE:600218'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 2.03 Med: 3.38 Max: 8.41
Current: 2.06
During the past 13 years, Anhui Quanchai Engine Co's highest Return-on-Tangible-Equity was 8.41%. The lowest was 2.03%. And the median was 3.38%.
SHSE:600218's Return-on-Tangible-Equity is ranked worse than 72.6% of 1281
companies
in the Vehicles & Parts industry
Industry Median: 7.58
vs SHSE:600218: 2.06
Anhui Quanchai Engine Co (SHSE:600218) 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.
Anhui Quanchai Engine Co Return-on-Tangible-Equity Related Terms
Anhui Quanchai Engine Co Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Anhui Quanchai Engine 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.
Anhui Quanchai Engine Co Return-on-Tangible-Equity Chart
SHSE:600218 vs ORLY, AZO: Return-on-Tangible-Equity Comparison
For the Auto Parts subindustry, Anhui Quanchai Engine 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.
Anhui Quanchai Engine Co Return-on-Tangible-Equity vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Anhui Quanchai Engine Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Anhui Quanchai Engine 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 four times the quarterly (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 3.89% mean?
Anhui Quanchai Engine Co (SHSE:600218) has a Return-on-Tangible-Equity of 3.89% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Anhui Quanchai Engine Co and its competitors. This is 15% above median its historical median of 3.38. Over the past decade, Anhui Quanchai Engine Co's Return-on-Tangible-Equity has ranged from 2.03 to 8.41. According to the industry distribution chart, Anhui Quanchai Engine Co ranks #930 out of 1281 companies in the Vehicles & Parts industry, placing it in the top 72.6%.
Is Anhui Quanchai Engine Co's Return-on-Tangible-Equity too high?
Anhui Quanchai Engine Co's current Return-on-Tangible-Equity of 3.89% is 15% above median its 10-year median of 3.38. Over the past 10 years, this metric has ranged from a low of 2.03 to a high of 8.41. The Vehicles & Parts industry median Return-on-Tangible-Equity is 7.58. Anhui Quanchai Engine Co's value of 3.89% is 48.7% below this industry median. Based on the distribution chart, Anhui Quanchai Engine Co ranks #930 out of 1281 companies in the Vehicles & Parts industry, which is below the industry midpoint. Overall, Anhui Quanchai Engine Co has a GF Score™ of 60/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Anhui Quanchai Engine Co's Return-on-Tangible-Equity compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Anhui Quanchai Engine Co ranks #930 out of 1281 companies for Return-on-Tangible-Equity. This places Anhui Quanchai Engine Co in the lower half of its industry. The industry median Return-on-Tangible-Equity is 7.58. Anhui Quanchai Engine Co's value of 3.89% is 48.7% below this benchmark. Historically, Anhui Quanchai Engine Co's own Return-on-Tangible-Equity has ranged from 2.03 to 8.41 over the past decade. While the company's 10-year median is 3.38 vs. the industry median of 7.58, Anhui Quanchai Engine 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 Vehicles & Parts company?
The median Return-on-Tangible-Equity among Vehicles & Parts companies is 7.58, based on 1,281 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. Anhui Quanchai Engine Co's current Return-on-Tangible-Equity of 3.89% is 48.7% 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 Anhui Quanchai Engine Co and its competitors. For the Vehicles & Parts industry, the median Return-on-Tangible-Equity is 7.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Anhui Quanchai Engine Co's current Return-on-Tangible-Equity is 3.89%, which is 15% above median its own 10-year median of 3.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Anhui Quanchai Engine Co stock overvalued right now?
Based on GuruFocus' analysis, Anhui Quanchai Engine Co (SHSE:600218) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥8.61, compared to a current price of ¥7.23 — trading 16% below its estimated fair value. The current Return-on-Tangible-Equity is 3.89%, which is 15% above median its 10-year median of 3.38 and 48.7% below the Vehicles & Parts industry median of 7.58. Anhui Quanchai Engine Co's overall GF Score™ is 60/100 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 Anhui Quanchai Engine Co (SHSE:600218), the current Return-on-Tangible-Equity is 3.89% as of Mar. 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 Anhui Quanchai Engine Co (SHSE:600218) Overvalued in 2026?
Based on GuruFocus' analysis, Anhui Quanchai Engine Co stock appears to be undervalued.
The current stock price of ¥7.23 is trading 16% below its estimated GF Value™ of ¥8.61.
GuruFocus considers Anhui Quanchai Engine Co to be Modestly Undervalued.
Key valuation signals for SHSE:600218:
Return-on-Tangible-Equity: 3.89% (15% above median its 10-year median of 3.38)
GF Value™: ¥8.61 vs. price of ¥7.23 (16% below fair value)
Industry Position: 48.7% below the Vehicles & Parts median (#930 of 1281)
No single metric tells the full story. See the SHSE:600218 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Anhui Quanchai Engine Co Ltd is engaged in the manufacture and sale of small power multi-cylinder and single cylinder diesel engines in China. The company's engine, with power range of 15 to 380 hp is widely used in automobile, forklift, agricultural equipment, construction machinery and others.
60GF Score
Get the complete analysis for SHSE:600218
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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