KMC (Kuei Meng) InternationalTPE:5306 68 Return-on-Tangible-Equity is 9.78% as of Dec. 2025, which is 64% below its 10-year median of 26.99. GuruFocus rates TPE:5306 with a GF Score™ of 68/100 and a GF Value™ of NT$116.47 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 1,283 Vehicles & Parts companies, KMC (Kuei Meng) International ranks better than 70.77% 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. KMC (Kuei Meng) International's annualized net income for the quarter that ended in Dec. 2025 was NT$701 Mil. KMC (Kuei Meng) International's average shareholder tangible equity for the quarter that ended in Dec. 2025 was NT$7,171 Mil. Therefore, KMC (Kuei Meng) International's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 9.78%.
The historical rank and industry rank for KMC (Kuei Meng) International's Return-on-Tangible-Equity or its related term are showing as below:
TPE:5306'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 12.17 Med: 26.99 Max: 40.72
Current: 13.8
During the past 13 years, KMC (Kuei Meng) International's highest Return-on-Tangible-Equity was 40.72%. The lowest was 12.17%. And the median was 26.99%.
TPE:5306's Return-on-Tangible-Equity is ranked better than 70.77% of 1283
companies
in the Vehicles & Parts industry
Industry Median: 7.47
vs TPE:5306: 13.80
KMC (Kuei Meng) International (TPE:5306) 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.
KMC (Kuei Meng) International Return-on-Tangible-Equity Related Terms
KMC (Kuei Meng) International 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.
KMC (Kuei Meng) International Return-on-Tangible-Equity Chart
TPE:5306 vs ORLY, AZO: Return-on-Tangible-Equity Comparison
For the Auto Parts subindustry, KMC (Kuei Meng) International'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.
KMC (Kuei Meng) International Return-on-Tangible-Equity vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, KMC (Kuei Meng) International's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where KMC (Kuei Meng) International'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 (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 9.78% mean?
KMC (Kuei Meng) International (TPE:5306) has a Return-on-Tangible-Equity of 9.78% 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 KMC (Kuei Meng) International and its competitors. This is 64% below median its historical median of 26.99. Over the past decade, KMC (Kuei Meng) International's Return-on-Tangible-Equity has ranged from 12.17 to 40.72. According to the industry distribution chart, KMC (Kuei Meng) International ranks #375 out of 1283 companies in the Vehicles & Parts industry, placing it in the top 29.2%.
Is KMC (Kuei Meng) International's Return-on-Tangible-Equity too high?
KMC (Kuei Meng) International's current Return-on-Tangible-Equity of 9.78% is 64% below median its 10-year median of 26.99. Over the past 10 years, this metric has ranged from a low of 12.17 to a high of 40.72. The Vehicles & Parts industry median Return-on-Tangible-Equity is 7.47. KMC (Kuei Meng) International's value of 9.78% is 30.9% above this industry median. Based on the distribution chart, KMC (Kuei Meng) International ranks #375 out of 1283 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, KMC (Kuei Meng) International has a GF Score™ of 68/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does KMC (Kuei Meng) International's Return-on-Tangible-Equity compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, KMC (Kuei Meng) International ranks #375 out of 1283 companies for Return-on-Tangible-Equity. This puts KMC (Kuei Meng) International in the upper half of its industry. The industry median Return-on-Tangible-Equity is 7.47. KMC (Kuei Meng) International's value of 9.78% is 30.9% above this benchmark. Historically, KMC (Kuei Meng) International's own Return-on-Tangible-Equity has ranged from 12.17 to 40.72 over the past decade. While the company's 10-year median is 26.99 vs. the industry median of 7.47, KMC (Kuei Meng) International 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 Vehicles & Parts company?
The median Return-on-Tangible-Equity among Vehicles & Parts companies is 7.47, based on 1,283 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. KMC (Kuei Meng) International's current Return-on-Tangible-Equity of 9.78% is 30.9% 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 KMC (Kuei Meng) International and its competitors. For the Vehicles & Parts industry, the median Return-on-Tangible-Equity is 7.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. KMC (Kuei Meng) International's current Return-on-Tangible-Equity is 9.78%, which is 64% below median its own 10-year median of 26.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is KMC (Kuei Meng) International stock overvalued right now?
Based on GuruFocus' analysis, KMC (Kuei Meng) International (TPE:5306) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$116.47, compared to a current price of NT$86.50 — trading 25.7% below its estimated fair value. The current Return-on-Tangible-Equity is 9.78%, which is 64% below median its 10-year median of 26.99 and 30.9% above the Vehicles & Parts industry median of 7.47. KMC (Kuei Meng) International's overall GF Score™ is 68/100 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 KMC (Kuei Meng) International (TPE:5306), the current Return-on-Tangible-Equity is 9.78% 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 KMC (Kuei Meng) International (TPE:5306) Overvalued in 2026?
Based on GuruFocus' analysis, KMC (Kuei Meng) International stock appears to be undervalued.
The current stock price of NT$86.50 is trading 25.7% below its estimated GF Value™ of NT$116.47.
GuruFocus considers KMC (Kuei Meng) International to be Modestly Undervalued.
Key valuation signals for TPE:5306:
Return-on-Tangible-Equity: 9.78% (64% below median its 10-year median of 26.99)
GF Value™: NT$116.47 vs. price of NT$86.50 (25.7% below fair value)
Industry Position: 30.9% above the Vehicles & Parts median (#375 of 1283)
No single metric tells the full story. See the TPE:5306 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
KMC (Kuei Meng) International Business Description
KMC (Kuei Meng) International Inc is engaged in manufacturing and selling various types of chains, motorcycle components, and vehicle components. The products of the company include Bicycle chains, Motorcycle parts, Garage door openers, and others.
68GF Score
Get the complete analysis for TPE:5306
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