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Hexing Electrical CoSHSE:603556 -2.57%78 Return-on-Tangible-Equity is 13.50% as of Jun. 2026, which is 21% above its 10-year median of 11.19. GuruFocus rates SHSE:603556 with a GF Score™ of 78/100 and a GF Value™ of ¥39.11 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 2,982 Industrial Products companies, Hexing Electrical Co ranks better than 60.23% 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. Hexing Electrical Co's annualized net income for the quarter that ended in Jun. 2026 was ¥931 Mil. Hexing Electrical Co's average shareholder tangible equity for the quarter that ended in Jun. 2026 was ¥6,897 Mil. Therefore, Hexing Electrical Co's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 was 13.50%.
The historical rank and industry rank for Hexing Electrical Co's Return-on-Tangible-Equity or its related term are showing as below:
SHSE:603556'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 5.98 Med: 11.19 Max: 18.5
Current: 9.5
During the past 13 years, Hexing Electrical Co's highest Return-on-Tangible-Equity was 18.50%. The lowest was 5.98%. And the median was 11.19%.
SHSE:603556's Return-on-Tangible-Equity is ranked better than 60.23% of 2982
companies
in the Industrial Products industry
Industry Median: 7.055
vs SHSE:603556: 9.50
Hexing Electrical Co (SHSE:603556) 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.
Hexing Electrical Co Return-on-Tangible-Equity Related Terms
Hexing Electrical Co Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Hexing Electrical 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.
Hexing Electrical Co Return-on-Tangible-Equity Chart
SHSE:603556 vs VRT, BE: Return-on-Tangible-Equity Comparison
For the Electrical Equipment & Parts subindustry, Hexing Electrical 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.
Hexing Electrical Co Return-on-Tangible-Equity vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, Hexing Electrical Co's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Hexing Electrical 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 (Jun. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 13.50% mean?
Hexing Electrical Co (SHSE:603556) has a Return-on-Tangible-Equity of 13.50% as of Jun. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Hexing Electrical Co and its competitors. This is 21% above median its historical median of 11.19. Over the past decade, Hexing Electrical Co's Return-on-Tangible-Equity has ranged from 5.98 to 18.50. According to the industry distribution chart, Hexing Electrical Co ranks #1186 out of 2982 companies in the Industrial Products industry, placing it in the top 39.8%.
Is Hexing Electrical Co's Return-on-Tangible-Equity too high?
Hexing Electrical Co's current Return-on-Tangible-Equity of 13.50% is 21% above median its 10-year median of 11.19. Over the past 10 years, this metric has ranged from a low of 5.98 to a high of 18.50. The Industrial Products industry median Return-on-Tangible-Equity is 7.06. Hexing Electrical Co's value of 13.50% is 91.4% above this industry median. Based on the distribution chart, Hexing Electrical Co ranks #1186 out of 2982 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Hexing Electrical Co has a GF Score™ of 78/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hexing Electrical Co's Return-on-Tangible-Equity compare to VRT and BE?
According to the Industrial Products industry distribution chart, Hexing Electrical Co ranks #1186 out of 2982 companies for Return-on-Tangible-Equity. This puts Hexing Electrical Co in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.06. Hexing Electrical Co's value of 13.50% is 91.4% above this benchmark. Historically, Hexing Electrical Co's own Return-on-Tangible-Equity has ranged from 5.98 to 18.50 over the past decade. While the company's 10-year median is 11.19 vs. the industry median of 7.06, Hexing Electrical 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 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. Hexing Electrical Co's current Return-on-Tangible-Equity of 13.50% is 91.4% 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 Hexing Electrical Co 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. Hexing Electrical Co's current Return-on-Tangible-Equity is 13.50%, which is 21% above median its own 10-year median of 11.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hexing Electrical Co stock overvalued right now?
Based on GuruFocus' analysis, Hexing Electrical Co (SHSE:603556) is currently considered Significantly Undervalued. The stock's GF Value™ is ¥39.11, compared to a current price of ¥25.75 — trading 34.2% below its estimated fair value. The current Return-on-Tangible-Equity is 13.50%, which is 21% above median its 10-year median of 11.19 and 91.4% above the Industrial Products industry median of 7.06. Hexing Electrical Co's overall GF Score™ is 78/100 with 1 warning sign 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 Hexing Electrical Co (SHSE:603556), the current Return-on-Tangible-Equity is 13.50% as of Jun. 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 Hexing Electrical Co (SHSE:603556) Overvalued in 2026?
Based on GuruFocus' analysis, Hexing Electrical Co stock appears to be undervalued.
The current stock price of ¥25.75 is trading 34.2% below its estimated GF Value™ of ¥39.11.
GuruFocus considers Hexing Electrical Co to be Significantly Undervalued.
Key valuation signals for SHSE:603556:
Return-on-Tangible-Equity: 13.50% (21% above median its 10-year median of 11.19)
GF Value™: ¥39.11 vs. price of ¥25.75 (34.2% below fair value)
Industry Position: 91.4% above the Industrial Products median (#1186 of 2982)
No single metric tells the full story. See the SHSE:603556 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hexing Electrical Co Ltd is manufacturers and solution providers in smart metering products and systems. The company offers a product such as Gateway Communication Device, Smart Cluster Metering Cabinet, ANSI Meter Test Equipment, Conventional Meter Matrix and Smart Meter Matrix. Geographically operates through China.
78GF Score
Get the complete analysis for SHSE:603556
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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