Hubei Zhenhua Chemical Co (SHSE:603067) Return-on-Tangible-Equity: 15.60% (As of Mar. 2026) — 10% Above Median

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SHSE:603067 Hubei Zhenhua Chemical Co Ltd SHSE:603067
70 GF Score
Price ¥32.94
GF Value ¥10.63
Valuation Significantly Overvalued
! 5 Warning Signs
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What is Hubei Zhenhua Chemical Co Return-on-Tangible-Equity?

Hubei Zhenhua Chemical Co SHSE:603067 +5.92% 70 Return-on-Tangible-Equity is 15.60% as of Mar. 2026, which is 10% above its 10-year median of 14.16. GuruFocus rates SHSE:603067 with a GF Score™ of 70/100 and a GF Value™ of ¥10.63 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 1,570 Chemicals companies, Hubei Zhenhua Chemical Co ranks better than 89.94% 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. Hubei Zhenhua Chemical Co's annualized net income for the quarter that ended in Mar. 2026 was ¥486 Mil. Hubei Zhenhua Chemical Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ¥3,118 Mil. Therefore, Hubei Zhenhua Chemical Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 15.60%.

The historical rank and industry rank for Hubei Zhenhua Chemical Co's Return-on-Tangible-Equity or its related term are showing as below:

SHSE:603067' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 9.6   Med: 14.16   Max: 22.29
Current: 21.43

During the past 13 years, Hubei Zhenhua Chemical Co's highest Return-on-Tangible-Equity was 22.29%. The lowest was 9.60%. And the median was 14.16%.

SHSE:603067's Return-on-Tangible-Equity is ranked better than
89.94% of 1570 companies
in the Chemicals industry
Industry Median: 5.88 vs SHSE:603067: 21.43

Hubei Zhenhua Chemical Co  (SHSE:603067) 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.


Hubei Zhenhua Chemical Co Return-on-Tangible-Equity Related Terms


Hubei Zhenhua Chemical Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Hubei Zhenhua Chemical 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.

Hubei Zhenhua Chemical Co Return-on-Tangible-Equity Chart

Hubei Zhenhua Chemical 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 18.51 19.80 15.52 17.61 22.29

Hubei Zhenhua Chemical Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 16.07 23.86 14.26 31.98 15.60

SHSE:603067 vs DOW: Return-on-Tangible-Equity Comparison

For the Chemicals subindustry, Hubei Zhenhua Chemical 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.


Hubei Zhenhua Chemical Co Return-on-Tangible-Equity vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Hubei Zhenhua Chemical Co's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Hubei Zhenhua Chemical Co's Return-on-Tangible-Equity falls into.


SHSE:603067
70GF Score
Hubei Zhenhua Chemical Co Ltd SHSE:603067
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Hubei Zhenhua Chemical Co Return-on-Tangible-Equity Calculation

Hubei Zhenhua Chemical 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 )
=659.036/( (2861.776+3052.802 )/ 2 )
=659.036/2957.289
=22.29 %

Hubei Zhenhua Chemical Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=486.468/( (3052.802+3182.423)/ 2 )
=486.468/3117.6125
=15.60 %

* 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 15.60% mean?
Hubei Zhenhua Chemical Co (SHSE:603067) has a Return-on-Tangible-Equity of 15.60% 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 Hubei Zhenhua Chemical Co and its competitors. This is 10% above median its historical median of 14.16. Over the past decade, Hubei Zhenhua Chemical Co's Return-on-Tangible-Equity has ranged from 9.60 to 22.29. According to the industry distribution chart, Hubei Zhenhua Chemical Co ranks #158 out of 1570 companies in the Chemicals industry, placing it in the top 10.1%.
Is Hubei Zhenhua Chemical Co's Return-on-Tangible-Equity too high?
Hubei Zhenhua Chemical Co's current Return-on-Tangible-Equity of 15.60% is 10% above median its 10-year median of 14.16. Over the past 10 years, this metric has ranged from a low of 9.60 to a high of 22.29. The Chemicals industry median Return-on-Tangible-Equity is 5.88. Hubei Zhenhua Chemical Co's value of 15.60% is 165.3% above this industry median. Based on the distribution chart, Hubei Zhenhua Chemical Co ranks #158 out of 1570 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Hubei Zhenhua Chemical Co has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hubei Zhenhua Chemical Co's Return-on-Tangible-Equity compare to DOW?
According to the Chemicals industry distribution chart, Hubei Zhenhua Chemical Co ranks #158 out of 1570 companies for Return-on-Tangible-Equity. This places Hubei Zhenhua Chemical Co in the top 10% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.88. Hubei Zhenhua Chemical Co's value of 15.60% is 165.3% above this benchmark. Historically, Hubei Zhenhua Chemical Co's own Return-on-Tangible-Equity has ranged from 9.60 to 22.29 over the past decade. While the company's 10-year median is 14.16 vs. the industry median of 5.88, Hubei Zhenhua Chemical 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 Chemicals company?
The median Return-on-Tangible-Equity among Chemicals companies is 5.88, based on 1,570 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. Hubei Zhenhua Chemical Co's current Return-on-Tangible-Equity of 15.60% is 165.3% 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 Hubei Zhenhua Chemical Co and its competitors. For the Chemicals industry, the median Return-on-Tangible-Equity is 5.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hubei Zhenhua Chemical Co's current Return-on-Tangible-Equity is 15.60%, which is 10% above median its own 10-year median of 14.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hubei Zhenhua Chemical Co stock overvalued right now?
Based on GuruFocus' analysis, Hubei Zhenhua Chemical Co (SHSE:603067) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥10.63, compared to a current price of ¥32.94 — trading 209.9% above its estimated fair value. The current Return-on-Tangible-Equity is 15.60%, which is 10% above median its 10-year median of 14.16 and 165.3% above the Chemicals industry median of 5.88. Hubei Zhenhua Chemical Co's overall GF Score™ is 70/100 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 Hubei Zhenhua Chemical Co (SHSE:603067), the current Return-on-Tangible-Equity is 15.60% 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 Hubei Zhenhua Chemical Co (SHSE:603067) Overvalued in 2026?

Based on GuruFocus' analysis, Hubei Zhenhua Chemical Co stock appears to be overvalued. The current stock price of ¥32.94 is trading 209.9% above its estimated GF Value™ of ¥10.63. GuruFocus considers Hubei Zhenhua Chemical Co to be Significantly Overvalued.

Key valuation signals for SHSE:603067:

  • Return-on-Tangible-Equity: 15.60% (10% above median its 10-year median of 14.16)
  • GF Value™: ¥10.63 vs. price of ¥32.94 (209.9% above fair value)
  • GF Score™: 70/100 with 5 warning signs
  • Industry Position: 165.3% above the Chemicals median (#158 of 1570)

No single metric tells the full story. See the SHSE:603067 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hubei Zhenhua Chemical Co Business Description

Address No.:668, Huangshi Road, Xisaishan District, Huangshi, CHN, 435001
Hubei Zhenhua Chemical Co Ltd is mainly engaged in research and development, production and sales of chromium salt products in China. Its products portfolio includes sodium dichromate, chromic anhydride, crystalline chromic anhydride, liquid chromic anhydride, chrome green, potassium dichromate, basic chromium sulfate, vitamin K3, yuan Ming powder, aluminum hydroxide and other products.
70GF Score

Get the complete analysis for SHSE:603067

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

¥32.94
Price
¥10.63
GF Value