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ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. LX Technology Group's annualizedNet Income for the quarter that ended in Dec. 2025 was HK$17 Mil.
LX Technology Group's average Total Assets over the quarter that ended in Dec. 2025 was HK$1,995 Mil. Therefore, LX Technology Group's annualized ROA % for the quarter that ended in Dec. 2025 was 0.87%.
The historical rank and industry rank for LX Technology Group's ROA % or its related term are showing as below:
HKSE:02436'
s ROA % Range Over the Past 10 Years
Min: -42.96 Med: -8.02 Max: 7.01
Current: 0.77
During the past 7 years, LX Technology Group's highest ROA % was 7.01%. The lowest was -42.96%. And the median was -8.02%.
HKSE:02436's ROA % is ranked worse than 60.98% of 2501
companies
in the Hardware industry
Industry Median: 2.28
vs HKSE:02436: 0.77
LX Technology Group (HKSE:02436) 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.
LX Technology Group ROA % Related Terms
LX Technology Group ROA % Historical Data
* Premium members only.
The historical data trend for LX Technology 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.
For the Computer Hardware subindustry, LX Technology 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.
LX Technology Group ROA % vs Hardware Industry
For the Hardware industry and Technology sector, LX Technology Group's ROA % distribution charts can be found below:
* The bar in red indicates where LX Technology Group'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.
LX Technology Group (HKSE:02436) has a ROA % of 0.87% 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 LX Technology Group and its competitors. According to the industry distribution chart, LX Technology Group ranks #1525 out of 2501 companies in the Hardware industry, placing it in the top 61%.
Is LX Technology Group's ROA % too high?
LX Technology Group's current ROA % is 0.87%. The Hardware industry median ROA % is 2.28. LX Technology Group's value of 0.87% is 61.8% below this industry median. Based on the distribution chart, LX Technology Group ranks #1525 out of 2501 companies in the Hardware industry, which is below the industry midpoint. Overall, LX Technology Group has a GF Score™ of 60/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does LX Technology Group's ROA % compare to SNDK and DELL?
According to the Hardware industry distribution chart, LX Technology Group ranks #1525 out of 2501 companies for ROA %. This places LX Technology Group in the lower half of its industry. The industry median ROA % is 2.28. LX Technology Group's value of 0.87% is 61.8% below this benchmark. 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 2.28, based on 2,501 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. LX Technology Group's current ROA % of 0.87% is 61.8% 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 LX Technology Group and its competitors. For the Hardware industry, the median ROA % is 2.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LX Technology Group's current ROA % is 0.87%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LX Technology Group stock overvalued right now?
Based on GuruFocus' analysis, LX Technology Group (HKSE:02436) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$6.67, compared to a current price of HK$18.50 — trading 177.4% above its estimated fair value. The current ROA % is 0.87% and 61.8% below the Hardware industry median of 2.28. LX Technology Group's overall GF Score™ is 60/100 with 6 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 LX Technology Group (HKSE:02436), the current ROA % is 0.87% 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 LX Technology Group (HKSE:02436) Overvalued in 2026?
Based on GuruFocus' analysis, LX Technology Group stock appears to be overvalued.
The current stock price of HK$18.50 is trading 177.4% above its estimated GF Value™ of HK$6.67.
GuruFocus considers LX Technology Group to be Significantly Overvalued.
Key valuation signals for HKSE:02436:
ROA %: 0.87%
GF Value™: HK$6.67 vs. price of HK$18.50 (177.4% above fair value)
Industry Position: 61.8% below the Hardware median (#1525 of 2501)
No single metric tells the full story. See the HKSE:02436 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
LX Technology Group Ltd is a device as a service provider in China. It is principally engaged in the sales of refurbished de-commissioned IT devices to, among others, resellers of IT devices, and the provision of the device and IT technical subscription services to SMEs in China. The service line of the company are the Device recycling business, Device subscription services and IT technical subscription services. from which the company earns maximum revenue from the Device recycling business.
60GF Score
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