CPE Technology Bhd (XKLS:5317) Return-on-Tangible-Equity: 9.62% (As of Jun. 2026) — 22% Below 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.

XKLS:5317 CPE Technology Bhd XKLS:5317
43 GF Score
Price RM1.24
GF Value RM0.93
Valuation Significantly Overvalued
! 9 Warning Signs
View Full Analysis

What is CPE Technology Bhd Return-on-Tangible-Equity?

CPE Technology Bhd XKLS:5317 -1.59% 43 Return-on-Tangible-Equity is 9.62% as of Jun. 2026, which is 22% below its 10-year median of 12.26. GuruFocus rates XKLS:5317 with a GF Score™ of 43/100 and a GF Value™ of RM0.93 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 2,375 Hardware companies, CPE Technology Bhd ranks worse than 53.05% 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. CPE Technology Bhd's annualized net income for the quarter that ended in Jun. 2026 was RM31.8 Mil. CPE Technology Bhd's average shareholder tangible equity for the quarter that ended in Jun. 2026 was RM330.7 Mil. Therefore, CPE Technology Bhd's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 was 9.62%.

The historical rank and industry rank for CPE Technology Bhd's Return-on-Tangible-Equity or its related term are showing as below:

XKLS:5317' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 4.91   Med: 12.26   Max: 42.24
Current: 5.54

During the past 8 years, CPE Technology Bhd's highest Return-on-Tangible-Equity was 42.24%. The lowest was 4.91%. And the median was 12.26%.

XKLS:5317's Return-on-Tangible-Equity is ranked worse than
53.05% of 2375 companies
in the Hardware industry
Industry Median: 6.4 vs XKLS:5317: 5.54

CPE Technology Bhd  (XKLS:5317) 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.


CPE Technology Bhd Return-on-Tangible-Equity Related Terms


CPE Technology Bhd Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for CPE Technology Bhd'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.

CPE Technology Bhd Return-on-Tangible-Equity Chart

CPE Technology Bhd Annual Data
Trend Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25 Jun26
Return-on-Tangible-Equity
Get a 7-Day Free Trial 42.24 25.11 4.91 7.35 5.49

CPE Technology Bhd Quarterly Data
Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.77 4.06 2.21 6.27 9.62

XKLS:5317 vs APH, GLW, TEL: Return-on-Tangible-Equity Comparison

For the Electronic Components subindustry, CPE Technology Bhd'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.


CPE Technology Bhd Return-on-Tangible-Equity vs Hardware Industry

For the Hardware industry and Technology sector, CPE Technology Bhd's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where CPE Technology Bhd's Return-on-Tangible-Equity falls into.


XKLS:5317
43GF Score
CPE Technology Bhd XKLS:5317
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

CPE Technology Bhd Return-on-Tangible-Equity Calculation

CPE Technology Bhd's annualized Return-on-Tangible-Equity for the fiscal year that ended in Jun. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Jun. 2026 )  (A: Jun. 2025 )(A: Jun. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Jun. 2026 )  (A: Jun. 2025 )(A: Jun. 2026 )
=18.185/( (328.275+334.806 )/ 2 )
=18.185/331.5405
=5.49 %

CPE Technology Bhd's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Jun. 2026 )  (Q: Mar. 2026 )(Q: Jun. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Jun. 2026 )  (Q: Mar. 2026 )(Q: Jun. 2026 )
=31.824/( (326.643+334.806)/ 2 )
=31.824/330.7245
=9.62 %

* 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 9.62% mean?
CPE Technology Bhd (XKLS:5317) has a Return-on-Tangible-Equity of 9.62% 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 CPE Technology Bhd and its competitors. This is 22% below median its historical median of 12.26. Over the past decade, CPE Technology Bhd's Return-on-Tangible-Equity has ranged from 4.91 to 42.24. According to the industry distribution chart, CPE Technology Bhd ranks #1260 out of 2375 companies in the Hardware industry, placing it in the top 53.1%.
Is CPE Technology Bhd's Return-on-Tangible-Equity too high?
CPE Technology Bhd's current Return-on-Tangible-Equity of 9.62% is 22% below median its 10-year median of 12.26. Over the past 10 years, this metric has ranged from a low of 4.91 to a high of 42.24. The Hardware industry median Return-on-Tangible-Equity is 6.40. CPE Technology Bhd's value of 9.62% is 50.3% above this industry median. Based on the distribution chart, CPE Technology Bhd ranks #1260 out of 2375 companies in the Hardware industry, which is below the industry midpoint. Overall, CPE Technology Bhd has a GF Score™ of 43/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does CPE Technology Bhd's Return-on-Tangible-Equity compare to APH and GLW?
According to the Hardware industry distribution chart, CPE Technology Bhd ranks #1260 out of 2375 companies for Return-on-Tangible-Equity. This places CPE Technology Bhd in the lower half of its industry. The industry median Return-on-Tangible-Equity is 6.40. CPE Technology Bhd's value of 9.62% is 50.3% above this benchmark. Historically, CPE Technology Bhd's own Return-on-Tangible-Equity has ranged from 4.91 to 42.24 over the past decade. While the company's 10-year median is 12.26 vs. the industry median of 6.40, CPE Technology Bhd 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 Hardware company?
The median Return-on-Tangible-Equity among Hardware companies is 6.40, based on 2,375 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. CPE Technology Bhd's current Return-on-Tangible-Equity of 9.62% is 50.3% 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 CPE Technology Bhd and its competitors. For the Hardware industry, the median Return-on-Tangible-Equity is 6.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CPE Technology Bhd's current Return-on-Tangible-Equity is 9.62%, which is 22% below median its own 10-year median of 12.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CPE Technology Bhd stock overvalued right now?
Based on GuruFocus' analysis, CPE Technology Bhd (XKLS:5317) is currently considered Significantly Overvalued. The stock's GF Value™ is RM0.93, compared to a current price of RM1.24 — trading 33.3% above its estimated fair value. The current Return-on-Tangible-Equity is 9.62%, which is 22% below median its 10-year median of 12.26 and 50.3% above the Hardware industry median of 6.40. CPE Technology Bhd's overall GF Score™ is 43/100 with 9 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 CPE Technology Bhd (XKLS:5317), the current Return-on-Tangible-Equity is 9.62% 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 CPE Technology Bhd (XKLS:5317) Overvalued in 2026?

Based on GuruFocus' analysis, CPE Technology Bhd stock appears to be overvalued. The current stock price of RM1.24 is trading 33.3% above its estimated GF Value™ of RM0.93. GuruFocus considers CPE Technology Bhd to be Significantly Overvalued.

Key valuation signals for XKLS:5317:

  • Return-on-Tangible-Equity: 9.62% (22% below median its 10-year median of 12.26)
  • GF Value™: RM0.93 vs. price of RM1.24 (33.3% above fair value)
  • GF Score™: 43/100 with 9 warning signs
  • Industry Position: 50.3% above the Hardware median (#1260 of 2375)

No single metric tells the full story. See the XKLS:5317 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


CPE Technology Bhd Business Description

Address No. 6, Jalan Indah Gemilang 5, Taman Perindustrian Gemilang, Ulu Tiram, JHR, MYS, 81800
CPE Technology Bhd is an investment holding company that focuses on manufacturing precision-machined parts and components through its subsidiaries. The company is involved in precision machining and mechanical sub-assembly, including CNC turning and milling, turn-mill, and finishing processes. It also engages in trading precision machine parts and components. The company uses computer numerically controlled machinery integrated with CAD/CAM software to manufacture parts and assemblies used in sectors such as consumer electronics and semiconductors, automotive components, health and science, among others. Geographically, the company generates the majority of its revenue from the United States, with the rest coming from Singapore, Malaysia, Italy, Japan, Thailand, and other regions.
43GF Score

Get the complete analysis for XKLS:5317

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

RM1.24
Price
RM0.93
GF Value