Hisense Home Appliances Group Co (STU:GKE) Return-on-Tangible-Equity: 25.40% (As of Mar. 2026) — Near Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

STU:GKE Hisense Home Appliances Group Co Ltd STU:GKE
93 GF Score
Price €2.43
GF Value €2.74
Valuation Modestly Undervalued
! 4 Warning Signs
View Full Analysis

What is Hisense Home Appliances Group Co Return-on-Tangible-Equity?

Hisense Home Appliances Group Co STU:GKE -3.19% 93 Return-on-Tangible-Equity is 25.40% as of Mar. 2026, which is 6% above its 10-year median of 23.99. GuruFocus rates STU:GKE with a GF Score™ of 93/100 and a GF Value™ of €2.74 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 421 Furnishings, Fixtures & Appliances companies, Hisense Home Appliances Group Co ranks better than 83.85% 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. Hisense Home Appliances Group Co's annualized net income for the quarter that ended in Mar. 2026 was €519 Mil. Hisense Home Appliances Group Co's average shareholder tangible equity for the quarter that ended in Mar. 2026 was €2,045 Mil. Therefore, Hisense Home Appliances Group Co's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 25.40%.

The historical rank and industry rank for Hisense Home Appliances Group Co's Return-on-Tangible-Equity or its related term are showing as below:

STU:GKE' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 11.88   Med: 23.99   Max: 40.42
Current: 19.88

During the past 13 years, Hisense Home Appliances Group Co's highest Return-on-Tangible-Equity was 40.42%. The lowest was 11.88%. And the median was 23.99%.

STU:GKE's Return-on-Tangible-Equity is ranked better than
83.85% of 421 companies
in the Furnishings, Fixtures & Appliances industry
Industry Median: 5.07 vs STU:GKE: 19.88

Hisense Home Appliances Group Co  (STU:GKE) 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.


Hisense Home Appliances Group Co Return-on-Tangible-Equity Related Terms


Hisense Home Appliances Group Co Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Hisense Home Appliances Group 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.

Hisense Home Appliances Group Co Return-on-Tangible-Equity Chart

Hisense Home Appliances Group 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 12.45 15.49 25.36 26.17 20.57

Hisense Home Appliances Group 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 30.93 25.12 19.70 9.64 25.40

STU:GKE vs SN, SGI, MHK: Return-on-Tangible-Equity Comparison

For the Furnishings, Fixtures & Appliances subindustry, Hisense Home Appliances Group 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.


Hisense Home Appliances Group Co Return-on-Tangible-Equity vs Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Hisense Home Appliances Group Co's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Hisense Home Appliances Group Co's Return-on-Tangible-Equity falls into.


STU:GKE
93GF Score
Hisense Home Appliances Group Co Ltd STU:GKE
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Hisense Home Appliances Group Co Return-on-Tangible-Equity Calculation

Hisense Home Appliances Group 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 )
=386.378/( (1813.064+1943.756 )/ 2 )
=386.378/1878.41
=20.57 %

Hisense Home Appliances Group 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 )
=519.444/( (1943.756+2146.393)/ 2 )
=519.444/2045.0745
=25.40 %

* 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 25.40% mean?
Hisense Home Appliances Group Co (STU:GKE) has a Return-on-Tangible-Equity of 25.40% 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 Hisense Home Appliances Group Co and its competitors. This is near median its historical median of 23.99. Over the past decade, Hisense Home Appliances Group Co's Return-on-Tangible-Equity has ranged from 11.88 to 40.42. According to the industry distribution chart, Hisense Home Appliances Group Co ranks #68 out of 421 companies in the Furnishings, Fixtures & Appliances industry, placing it in the top 16.2%.
Is Hisense Home Appliances Group Co's Return-on-Tangible-Equity too high?
Hisense Home Appliances Group Co's current Return-on-Tangible-Equity of 25.40% is near median its 10-year median of 23.99. Over the past 10 years, this metric has ranged from a low of 11.88 to a high of 40.42. The Furnishings, Fixtures & Appliances industry median Return-on-Tangible-Equity is 5.07. Hisense Home Appliances Group Co's value of 25.40% is 401% above this industry median. Based on the distribution chart, Hisense Home Appliances Group Co ranks #68 out of 421 companies in the Furnishings, Fixtures & Appliances industry, which is in the top quartile — a strong position relative to peers. Overall, Hisense Home Appliances Group Co has a GF Score™ of 93/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hisense Home Appliances Group Co's Return-on-Tangible-Equity compare to SN and SGI?
According to the Furnishings, Fixtures & Appliances industry distribution chart, Hisense Home Appliances Group Co ranks #68 out of 421 companies for Return-on-Tangible-Equity. This places Hisense Home Appliances Group Co in the top 16% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.07. Hisense Home Appliances Group Co's value of 25.40% is 401% above this benchmark. Historically, Hisense Home Appliances Group Co's own Return-on-Tangible-Equity has ranged from 11.88 to 40.42 over the past decade. While the company's 10-year median is 23.99 vs. the industry median of 5.07, Hisense Home Appliances Group 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 Furnishings, Fixtures & Appliances company?
The median Return-on-Tangible-Equity among Furnishings, Fixtures & Appliances companies is 5.07, based on 421 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. Hisense Home Appliances Group Co's current Return-on-Tangible-Equity of 25.40% is 401% 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 Hisense Home Appliances Group Co and its competitors. For the Furnishings, Fixtures & Appliances industry, the median Return-on-Tangible-Equity is 5.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hisense Home Appliances Group Co's current Return-on-Tangible-Equity is 25.40%, which is near median its own 10-year median of 23.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hisense Home Appliances Group Co stock overvalued right now?
Based on GuruFocus' analysis, Hisense Home Appliances Group Co (STU:GKE) is currently considered Modestly Undervalued. The stock's GF Value™ is €2.74, compared to a current price of €2.43 — trading 11.3% below its estimated fair value. The current Return-on-Tangible-Equity is 25.40%, which is near median its 10-year median of 23.99 and 401% above the Furnishings, Fixtures & Appliances industry median of 5.07. Hisense Home Appliances Group Co's overall GF Score™ is 93/100 with 4 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 Hisense Home Appliances Group Co (STU:GKE), the current Return-on-Tangible-Equity is 25.40% 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 Hisense Home Appliances Group Co (STU:GKE) Overvalued in 2026?

Based on GuruFocus' analysis, Hisense Home Appliances Group Co stock appears to be undervalued. The current stock price of €2.43 is trading 11.3% below its estimated GF Value™ of €2.74. GuruFocus considers Hisense Home Appliances Group Co to be Modestly Undervalued.

Key valuation signals for STU:GKE:

  • Return-on-Tangible-Equity: 25.40% (near median its 10-year median of 23.99)
  • GF Value™: €2.74 vs. price of €2.43 (11.3% below fair value)
  • GF Score™: 93/100 with 4 warning signs
  • Industry Position: 401% above the Furnishings, Fixtures & Appliances median (#68 of 421)

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


Hisense Home Appliances Group Co Business Description

Address No. 8 Ronggang Road, Ronggui Street, Shunde District, Guangdong Province, Foshan, CHN, 528303
Hisense Home Appliances Group Co Ltd is a manufacturer of white household electrical appliances in the People's Republic of China, with eight brand names, namely Hisense, Ronshen, KELON, HITACHI, YORK, Gorenje, ASKO, and SANDEN. The company produces refrigerators, air-conditioners, freezers, washing machines, and Kitchen electrical appliances. The businesses of the Company are set out as follows: HVAC Business Work; Refrigerator and Washing Machine Business Work; Automotive Air Conditioner Compressor and Integrated Thermal Management System Business Work; Smart Home Business Work; Overseas Markets for Home Appliances Business Work and Implementing the Manufacturing Work. The majority of the its revenue is generated from China.
93GF Score

Get the complete analysis for STU:GKE

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

€2.43
Price
€2.74
GF Value