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Wai Chi Holdings CoHKSE:01305 86 ROA % is 1.51% as of Dec. 2025, which is 16% below its 10-year median of 1.79. GuruFocus rates HKSE:01305 with a GF Score™ of 86/100 and a GF Value™ of HK$1.08 (Possible Value Trap). The stock has 2 warning signs investors should review. Among 2,499 Hardware companies, Wai Chi Holdings Co ranks worse than 55.58% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Wai Chi Holdings Co's annualizedNet Income for the quarter that ended in Dec. 2025 was HK$44 Mil.
Wai Chi Holdings Co's average Total Assets over the quarter that ended in Dec. 2025 was HK$2,885 Mil. Therefore, Wai Chi Holdings Co's annualized ROA % for the quarter that ended in Dec. 2025 was 1.51%.
The historical rank and industry rank for Wai Chi Holdings Co's ROA % or its related term are showing as below:
HKSE:01305'
s ROA % Range Over the Past 10 Years
Min: 0.41 Med: 1.79 Max: 2.69
Current: 1.77
During the past 13 years, Wai Chi Holdings Co's highest ROA % was 2.69%. The lowest was 0.41%. And the median was 1.79%.
HKSE:01305's ROA % is ranked worse than 55.58% of 2499
companies
in the Hardware industry
Industry Median: 2.61
vs HKSE:01305: 1.77
Wai Chi Holdings Co (HKSE:01305) 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.
Wai Chi Holdings Co ROA % Related Terms
Wai Chi Holdings Co ROA % Historical Data
* Premium members only.
The historical data trend for Wai Chi Holdings Co's ROA % 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.
For the Electronic Components subindustry, Wai Chi Holdings 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.
Wai Chi Holdings Co ROA % vs Hardware Industry
For the Hardware industry and Technology sector, Wai Chi Holdings Co's ROA % distribution charts can be found below:
* The bar in red indicates where Wai Chi Holdings 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.
Wai Chi Holdings Co (HKSE:01305) has a ROA % of 1.51% 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 Wai Chi Holdings Co and its competitors. This is 16% below median its historical median of 1.79. Over the past decade, Wai Chi Holdings Co's ROA % has ranged from 0.41 to 2.69. According to the industry distribution chart, Wai Chi Holdings Co ranks #1389 out of 2499 companies in the Hardware industry, placing it in the top 55.6%.
Is Wai Chi Holdings Co's ROA % too high?
Wai Chi Holdings Co's current ROA % of 1.51% is 16% below median its 10-year median of 1.79. Over the past 10 years, this metric has ranged from a low of 0.41 to a high of 2.69. The Hardware industry median ROA % is 2.61. Wai Chi Holdings Co's value of 1.51% is 42.1% below this industry median. Based on the distribution chart, Wai Chi Holdings Co ranks #1389 out of 2499 companies in the Hardware industry, which is below the industry midpoint. Overall, Wai Chi Holdings Co has a GF Score™ of 86/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Wai Chi Holdings Co's ROA % compare to APH and GLW?
According to the Hardware industry distribution chart, Wai Chi Holdings Co ranks #1389 out of 2499 companies for ROA %. This places Wai Chi Holdings Co in the lower half of its industry. The industry median ROA % is 2.61. Wai Chi Holdings Co's value of 1.51% is 42.1% below this benchmark. Historically, Wai Chi Holdings Co's own ROA % has ranged from 0.41 to 2.69 over the past decade. While the company's 10-year median is 1.79 vs. the industry median of 2.61, Wai Chi Holdings Co has consistently been below 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 2.61, 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. Wai Chi Holdings Co's current ROA % of 1.51% is 42.1% below 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 Wai Chi Holdings Co and its competitors. For the Hardware industry, the median ROA % is 2.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Wai Chi Holdings Co's current ROA % is 1.51%, which is 16% below median its own 10-year median of 1.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Wai Chi Holdings Co stock overvalued right now?
Based on GuruFocus' analysis, Wai Chi Holdings Co (HKSE:01305) is currently considered Possible Value Trap. The stock's GF Value™ is HK$1.08, compared to a current price of HK$0.75 — trading 31% below its estimated fair value. The current ROA % is 1.51%, which is 16% below median its 10-year median of 1.79 and 42.1% below the Hardware industry median of 2.61. Wai Chi Holdings Co's overall GF Score™ is 86/100 with 2 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 Wai Chi Holdings Co (HKSE:01305), the current ROA % is 1.51% 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 Wai Chi Holdings Co (HKSE:01305) Overvalued in 2026?
Based on GuruFocus' analysis, Wai Chi Holdings Co stock appears to be undervalued.
The current stock price of HK$0.75 is trading 31% below its estimated GF Value™ of HK$1.08.
GuruFocus considers Wai Chi Holdings Co to be Possible Value Trap.
Key valuation signals for HKSE:01305:
ROA %: 1.51% (16% below median its 10-year median of 1.79)
GF Value™: HK$1.08 vs. price of HK$0.75 (31% below fair value)
Industry Position: 42.1% below the Hardware median (#1389 of 2499)
No single metric tells the full story. See the HKSE:01305 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Wai Chi Holdings Co Ltd engages in the manufacturing of light-emitting diode (LED) products for public and commercial use. It operates through the following segments: LED Backlight, LED Lighting, and Semiconductor memory chips. The LED backlight segment engages in the manufacturing and trading of LED backlight products in different sizes and applications. The LED lighting segment engages in the manufacturing and trading of LED lighting products for public and commercial use. The Semiconductor memory chips segment engages in the provision of packaging and testing services and related product sourcing business. Geographically, the company receives maximum revenue from the People's Republic of China.
86GF Score
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