Zibuyu Group (HKSE:02420) ROA %: 24.24% (As of Dec. 2025) — 42% Above Median

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HKSE:02420 Zibuyu Group Ltd HKSE:02420
92 GF Score
Price HK$3.96
GF Value HK$6.13
Valuation Possible Value Trap
! 4 Warning Signs
View Full Analysis

What is Zibuyu Group ROA %?

Zibuyu Group HKSE:02420 +4.21% 92 ROA % is 24.24% as of Dec. 2025, which is 42% above its 10-year median of 17.08. GuruFocus rates HKSE:02420 with a GF Score™ of 92/100 and a GF Value™ of HK$6.13 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 1,136 Retail - Cyclical companies, Zibuyu Group ranks better than 96.92% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Zibuyu Group's annualized Net Income for the quarter that ended in Dec. 2025 was HK$361 Mil. Zibuyu Group's average Total Assets over the quarter that ended in Dec. 2025 was HK$1,489 Mil. Therefore, Zibuyu Group's annualized ROA % for the quarter that ended in Dec. 2025 was 24.24%.

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

HKSE:02420' s ROA % Range Over the Past 10 Years
Min: -23.29   Med: 17.08   Max: 24.43
Current: 21.51

During the past 7 years, Zibuyu Group's highest ROA % was 24.43%. The lowest was -23.29%. And the median was 17.08%.

HKSE:02420's ROA % is ranked better than
96.92% of 1136 companies
in the Retail - Cyclical industry
Industry Median: 2.73 vs HKSE:02420: 21.51

Zibuyu Group  (HKSE:02420) 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
=360.816/1488.5675
=(Net Income / Revenue)*(Revenue / Total Assets)
=(360.816 / 5963.128)*(5963.128 / 1488.5675)
=Net Margin %*Asset Turnover
=6.05 %*4.006
=24.24 %

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.


Zibuyu Group ROA % Related Terms


Zibuyu Group ROA % Historical Data

* Premium members only.

The historical data trend for Zibuyu 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.

Zibuyu Group ROA % Chart

Zibuyu Group Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROA %
Get a 7-Day Free Trial 24.43 8.93 -23.29 15.12 21.57

Zibuyu Group Semi-Annual Data
Dec19 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 -49.46 19.88 11.78 18.34 24.24

HKSE:02420 vs AMZN, BABA, PDD: ROA % Comparison

For the Internet Retail subindustry, Zibuyu 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.


Zibuyu Group ROA % vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Zibuyu Group's ROA % distribution charts can be found below:

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


HKSE:02420
92GF Score
Zibuyu Group Ltd HKSE:02420
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Zibuyu Group ROA % Calculation

Zibuyu 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 )
=297.409/( (1152.645+1605.392)/ 2 )
=297.409/1379.0185
=21.57 %

Zibuyu 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 )
=360.816/( (1371.743+1605.392)/ 2 )
=360.816/1488.5675
=24.24 %

* 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 24.24% mean?
Zibuyu Group (HKSE:02420) has a ROA % of 24.24% 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 Zibuyu Group and its competitors. This is 42% above median its historical median of 17.08. According to the industry distribution chart, Zibuyu Group ranks #35 out of 1136 companies in the Retail - Cyclical industry, placing it in the top 3.1%.
Is Zibuyu Group's ROA % too high?
Zibuyu Group's current ROA % of 24.24% is 42% above median its 10-year median of 17.08. The Retail - Cyclical industry median ROA % is 2.73. Zibuyu Group's value of 24.24% is 787.9% above this industry median. Based on the distribution chart, Zibuyu Group ranks #35 out of 1136 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Zibuyu Group has a GF Score™ of 92/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Zibuyu Group's ROA % compare to AMZN and BABA?
According to the Retail - Cyclical industry distribution chart, Zibuyu Group ranks #35 out of 1136 companies for ROA %. This places Zibuyu Group in the top 3% of its industry — outperforming the majority of peers. The industry median ROA % is 2.73. Zibuyu Group's value of 24.24% is 787.9% above this benchmark. While the company's 10-year median is 17.08 vs. the industry median of 2.73, Zibuyu Group 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 Retail - Cyclical company?
The median ROA % among Retail - Cyclical companies is 2.73, based on 1,136 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. Zibuyu Group's current ROA % of 24.24% is 787.9% 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 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 Zibuyu Group and its competitors. For the Retail - Cyclical industry, the median ROA % is 2.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zibuyu Group's current ROA % is 24.24%, which is 42% above median its own 10-year median of 17.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zibuyu Group stock overvalued right now?
Based on GuruFocus' analysis, Zibuyu Group (HKSE:02420) is currently considered Possible Value Trap. The stock's GF Value™ is HK$6.13, compared to a current price of HK$3.96 — trading 35.4% below its estimated fair value. The current ROA % is 24.24%, which is 42% above median its 10-year median of 17.08 and 787.9% above the Retail - Cyclical industry median of 2.73. Zibuyu Group's overall GF Score™ is 92/100 with 4 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 Zibuyu Group (HKSE:02420), the current ROA % is 24.24% 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 Zibuyu Group (HKSE:02420) Overvalued in 2026?

Based on GuruFocus' analysis, Zibuyu Group stock appears to be undervalued. The current stock price of HK$3.96 is trading 35.4% below its estimated GF Value™ of HK$6.13. GuruFocus considers Zibuyu Group to be Possible Value Trap.

Key valuation signals for HKSE:02420:

  • ROA %: 24.24% (42% above median its 10-year median of 17.08)
  • GF Value™: HK$6.13 vs. price of HK$3.96 (35.4% below fair value)
  • GF Score™: 92/100 with 4 warning signs
  • Industry Position: 787.9% above the Retail - Cyclical median (#35 of 1136)

No single metric tells the full story. See the HKSE:02420 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Zibuyu Group Business Description

Address Xincheng Road, Nanyuan Street, No. 108, Room 410, Linping District, Zhejiang Province, Hangzhou, CHN
Zibuyu Group Ltd is an investment holding company, and its subsidiaries are engaged in the design, procurement, and sale of apparel, footwear, and related products. The group sources products from OEM suppliers based on its designs and sells them globally through third-party e-commerce platforms and its self-operated online stores. Its sales channels include platforms such as Amazon, TikTok, Temu, and other third-party e-commerce platforms, as well as its own online stores. Its geographical segments include North America, Asia, Europe, and Others.
92GF Score

Get the complete analysis for HKSE:02420

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

HK$3.96
Price
HK$6.13
GF Value