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.
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.
Shenzhen SDMC Technology CoHKSE:00901 +5.15%20 ROA % is 11.18% as of Dec. 2025, which is 4% above its 10-year median of 10.79. GuruFocus rates HKSE:00901 with a GF Score™ of 20/100. The stock has 3 warning signs investors should review. Among 2,499 Hardware companies, Shenzhen SDMC Technology Co ranks better than 88% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Shenzhen SDMC Technology Co's annualizedNet Income for the quarter that ended in Dec. 2025 was HK$300 Mil.
Shenzhen SDMC Technology Co's average Total Assets over the quarter that ended in Dec. 2025 was HK$2,687 Mil. Therefore, Shenzhen SDMC Technology Co's annualized ROA % for the quarter that ended in Dec. 2025 was 11.18%.
The historical rank and industry rank for Shenzhen SDMC Technology Co's ROA % or its related term are showing as below:
HKSE:00901'
s ROA % Range Over the Past 10 Years
Min: 6.7 Med: 10.79 Max: 16.9
Current: 10.18
During the past 4 years, Shenzhen SDMC Technology Co's highest ROA % was 16.90%. The lowest was 6.70%. And the median was 10.79%.
HKSE:00901's ROA % is ranked better than 88% of 2499
companies
in the Hardware industry
Industry Median: 2.31
vs HKSE:00901: 10.18
Shenzhen SDMC Technology Co (HKSE:00901) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) revenue 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.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
* 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.
For the Communication Equipment subindustry, Shenzhen SDMC Technology Co's ROA %, along with its competitors' market caps and ROA % 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.
Shenzhen SDMC Technology Co ROA % vs Hardware Industry
For the Hardware industry and Technology sector, Shenzhen SDMC Technology Co's ROA % distribution charts can be found below:
* The bar in red indicates where Shenzhen SDMC Technology Co's ROA % 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 ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is two times the semi-annual (Dec. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Shenzhen SDMC Technology Co (HKSE:00901) has a ROA % of 11.18% as of Dec. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Shenzhen SDMC Technology Co and its competitors. This is near median its historical median of 10.79. Over the past decade, Shenzhen SDMC Technology Co's ROA % has ranged from 6.70 to 16.90. According to the industry distribution chart, Shenzhen SDMC Technology Co ranks #300 out of 2499 companies in the Hardware industry, placing it in the top 12%.
Is Shenzhen SDMC Technology Co's ROA % too high?
Shenzhen SDMC Technology Co's current ROA % of 11.18% is near median its 10-year median of 10.79. Over the past 10 years, this metric has ranged from a low of 6.70 to a high of 16.90. The Hardware industry median ROA % is 2.31. Shenzhen SDMC Technology Co's value of 11.18% is 384% above this industry median. Based on the distribution chart, Shenzhen SDMC Technology Co ranks #300 out of 2499 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Shenzhen SDMC Technology Co has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Shenzhen SDMC Technology Co's ROA % compare to CSCO and MSI?
According to the Hardware industry distribution chart, Shenzhen SDMC Technology Co ranks #300 out of 2499 companies for ROA %. This places Shenzhen SDMC Technology Co in the top 12% of its industry — outperforming the majority of peers. The industry median ROA % is 2.31. Shenzhen SDMC Technology Co's value of 11.18% is 384% above this benchmark. Historically, Shenzhen SDMC Technology Co's own ROA % has ranged from 6.70 to 16.90 over the past decade. While the company's 10-year median is 10.79 vs. the industry median of 2.31, Shenzhen SDMC Technology 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 ROA % for a Hardware company?
The median ROA % among Hardware companies is 2.31, based on 2,499 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Shenzhen SDMC Technology Co's current ROA % of 11.18% is 384% 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 ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Shenzhen SDMC Technology Co and its competitors. For the Hardware industry, the median ROA % is 2.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shenzhen SDMC Technology Co's current ROA % is 11.18%, which is near median its own 10-year median of 10.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shenzhen SDMC Technology Co stock overvalued right now?
Shenzhen SDMC Technology Co (HKSE:00901) has a current ROA % of 11.18%. The current ROA % is 11.18%, which is near median its 10-year median of 10.79 and 384% above the Hardware industry median of 2.31. Shenzhen SDMC Technology Co's overall GF Score™ is 20/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Shenzhen SDMC Technology Co (HKSE:00901), the current ROA % is 11.18% 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.
Shenzhen SDMC Technology Co Ltd is principally engaged in (i) sales of digital video products and network communication products, and (ii) provision of system platforms and services. The majority of revenue was mainly generated from sales of hardware products, namely digital video devices and network communication devices. Its other hardware products include media streaming terminals, speakers, projectors, cameras, optical network terminals, Wi-Fi routers, and cable modems. The company also develops system platforms including Cedar, XHome, and XMediaTV. Geographically, the maximum revenue is generated from Asia.
20GF Score
Get the complete analysis for HKSE:00901
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
HKSE:00901 has been successfully added to your 
