China Hongqiao Group (HKSE:01378) ROA %: 8.72% (As of Dec. 2025) — 55% Above 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.

HKSE:01378 China Hongqiao Group Ltd HKSE:01378
90 GF Score
Price HK$22.66
GF Value HK$14.69
Valuation Significantly Overvalued
! 2 Warning Signs
View Full Analysis

What is China Hongqiao Group ROA %?

China Hongqiao Group HKSE:01378 +2.53% 90 ROA % is 8.72% as of Dec. 2025, which is 55% above its 10-year median of 5.61. GuruFocus rates HKSE:01378 with a GF Score™ of 90/100 and a GF Value™ of HK$14.69 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 2,664 Metals & Mining companies, China Hongqiao Group ranks better than 88.44% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. China Hongqiao Group's annualized Net Income for the quarter that ended in Dec. 2025 was HK$22,702 Mil. China Hongqiao Group's average Total Assets over the quarter that ended in Dec. 2025 was HK$260,400 Mil. Therefore, China Hongqiao Group's annualized ROA % for the quarter that ended in Dec. 2025 was 8.72%.

The historical rank and industry rank for China Hongqiao Group's ROA % or its related term are showing as below:

HKSE:01378' s ROA % Range Over the Past 10 Years
Min: 3.16   Med: 5.61   Max: 10.3
Current: 9.74

During the past 13 years, China Hongqiao Group's highest ROA % was 10.30%. The lowest was 3.16%. And the median was 5.61%.

HKSE:01378's ROA % is ranked better than
88.44% of 2664 companies
in the Metals & Mining industry
Industry Median: -16.9 vs HKSE:01378: 9.74

China Hongqiao Group  (HKSE:01378) 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 bank’s 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:

ROA %(Q: Dec. 2025 )
=Net Income/Total Assets
=22702.232/260400.0275
=(Net Income / Revenue)*(Revenue / Total Assets)
=(22702.232 / 179660.636)*(179660.636 / 260400.0275)
=Net Margin %*Asset Turnover
=12.64 %*0.6899
=8.72 %

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.


China Hongqiao Group ROA % Related Terms


China Hongqiao Group ROA % Historical Data

* Premium members only.

The historical data trend for China Hongqiao Group'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.

China Hongqiao Group ROA % Chart

China Hongqiao Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.83 4.44 5.88 10.30 9.70

China Hongqiao Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROA % 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 9.24 8.78 11.89 10.93 8.72

HKSE:01378 vs AA, CENX, CSTM: ROA % Comparison

For the Aluminum subindustry, China Hongqiao Group'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.


China Hongqiao Group ROA % vs Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, China Hongqiao Group's ROA % distribution charts can be found below:

* The bar in red indicates where China Hongqiao Group's ROA % falls into.


HKSE:01378
90GF Score
China Hongqiao Group Ltd HKSE:01378
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

China Hongqiao Group ROA % Calculation

China Hongqiao Group's annualized ROA % for the fiscal year that ended in Dec. 2025 is calculated as:

ROA %=Net Income (A: Dec. 2025 )/( (Total Assets (A: Dec. 2024 )+Total Assets (A: Dec. 2025 ))/ count )
=25006.674/( (244673.103+271076.364)/ 2 )
=25006.674/257874.7335
=9.70 %

China Hongqiao Group's annualized ROA % for the quarter that ended in Dec. 2025 is calculated as:

ROA %=Net Income (Q: Dec. 2025 )/( (Total Assets (Q: Jun. 2025 )+Total Assets (Q: Dec. 2025 ))/ count )
=22702.232/( (249723.691+271076.364)/ 2 )
=22702.232/260400.0275
=8.72 %

* 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.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 8.72% mean?
China Hongqiao Group (HKSE:01378) has a ROA % of 8.72% 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 China Hongqiao Group and its competitors. This is 55% above median its historical median of 5.61. Over the past decade, China Hongqiao Group's ROA % has ranged from 3.16 to 10.30. According to the industry distribution chart, China Hongqiao Group ranks #308 out of 2664 companies in the Metals & Mining industry, placing it in the top 11.6%.
Is China Hongqiao Group's ROA % too high?
China Hongqiao Group's current ROA % of 8.72% is 55% above median its 10-year median of 5.61. Over the past 10 years, this metric has ranged from a low of 3.16 to a high of 10.30. Based on the distribution chart, China Hongqiao Group ranks #308 out of 2664 companies in the Metals & Mining industry, which is in the top quartile — a strong position relative to peers. Overall, China Hongqiao Group has a GF Score™ of 90/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does China Hongqiao Group's ROA % compare to AA and CENX?
According to the Metals & Mining industry distribution chart, China Hongqiao Group ranks #308 out of 2664 companies for ROA %. This places China Hongqiao Group in the top 12% of its industry — outperforming the majority of peers. Historically, China Hongqiao Group's own ROA % has ranged from 3.16 to 10.30 over the past decade. 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 Metals & Mining company?
A good ROA % depends on the Metals & Mining industry context. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. 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 China Hongqiao Group and its competitors. China Hongqiao Group's current ROA % is 8.72%, which is 55% above median its own 10-year median of 5.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Hongqiao Group stock overvalued right now?
Based on GuruFocus' analysis, China Hongqiao Group (HKSE:01378) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$14.69, compared to a current price of HK$22.66 — trading 54.3% above its estimated fair value. The current ROA % is 8.72%, which is 55% above median its 10-year median of 5.61. China Hongqiao Group's overall GF Score™ is 90/100 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 China Hongqiao Group (HKSE:01378), the current ROA % is 8.72% 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 China Hongqiao Group (HKSE:01378) Overvalued in 2026?

Based on GuruFocus' analysis, China Hongqiao Group stock appears to be overvalued. The current stock price of HK$22.66 is trading 54.3% above its estimated GF Value™ of HK$14.69. GuruFocus considers China Hongqiao Group to be Significantly Overvalued.

Key valuation signals for HKSE:01378:

  • ROA %: 8.72% (55% above median its 10-year median of 5.61)
  • GF Value™: HK$14.69 vs. price of HK$22.66 (54.3% above fair value)
  • GF Score™: 90/100 with 2 warning signs

No single metric tells the full story. See the HKSE:01378 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


China Hongqiao Group Business Description

Address Huixian One Road, Zouping Economic Development District, Shandong Province, Zouping, CHN, 256200
China Hongqiao Group Ltd manufactures and sells aluminum products. Its products include molten aluminum alloy, aluminum alloy ingots, aluminum busbars, aluminum alloy processing products, and alumina products. The company has the manufacturing and sale of aluminum products segment. The company's geographical segments are China and Indonesia out of which China accounts for the majority of the revenue.
90GF Score

Get the complete analysis for HKSE:01378

ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$22.66
Price
HK$14.69
GF Value