Cheerwin Group (HKSE:06601) ROA %: 2.67% (As of Dec. 2025) — 55% Below Median

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HKSE:06601 Cheerwin Group Ltd HKSE:06601
90 GF Score
Price HK$2.30
GF Value HK$2.70
Valuation Modestly Undervalued
! 1 Warning Sign
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What is Cheerwin Group ROA %?

Cheerwin Group HKSE:06601 90 ROA % is 2.67% as of Dec. 2025, which is 55% below its 10-year median of 5.92. GuruFocus rates HKSE:06601 with a GF Score™ of 90/100 and a GF Value™ of HK$2.70 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 2,000 Consumer Packaged Goods companies, Cheerwin Group ranks better than 65.95% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Cheerwin Group's annualized Net Income for the quarter that ended in Dec. 2025 was HK$111 Mil. Cheerwin Group's average Total Assets over the quarter that ended in Dec. 2025 was HK$4,154 Mil. Therefore, Cheerwin Group's annualized ROA % for the quarter that ended in Dec. 2025 was 2.67%.

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

HKSE:06601' s ROA % Range Over the Past 10 Years
Min: 1.8   Med: 5.92   Max: 16.39
Current: 5.95

During the past 9 years, Cheerwin Group's highest ROA % was 16.39%. The lowest was 1.80%. And the median was 5.92%.

HKSE:06601's ROA % is ranked better than
65.95% of 2000 companies
in the Consumer Packaged Goods industry
Industry Median: 3.36 vs HKSE:06601: 5.95

Cheerwin Group  (HKSE:06601) 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
=110.744/4153.8595
=(Net Income / Revenue)*(Revenue / Total Assets)
=(110.744 / 1434.872)*(1434.872 / 4153.8595)
=Net Margin %*Asset Turnover
=7.72 %*0.3454
=2.67 %

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.


Cheerwin Group ROA % Related Terms


Cheerwin Group ROA % Historical Data

* Premium members only.

The historical data trend for Cheerwin 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.

Cheerwin Group ROA % Chart

Cheerwin Group Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROA %
Get a 7-Day Free Trial Premium Member Only 3.70 1.80 4.67 5.26 5.92

Cheerwin Group Semi-Annual Data
Dec17 Dec18 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 2.11 9.49 1.28 9.39 2.67

HKSE:06601 vs PG, CL, KVUE: ROA % Comparison

For the Household & Personal Products subindustry, Cheerwin 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.


Cheerwin Group ROA % vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Cheerwin Group's ROA % distribution charts can be found below:

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


HKSE:06601
90GF Score
Cheerwin Group Ltd HKSE:06601
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
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Cheerwin Group ROA % Calculation

Cheerwin 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 )
=247.11/( (4058.972+4288.664)/ 2 )
=247.11/4173.818
=5.92 %

Cheerwin 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 )
=110.744/( (4019.055+4288.664)/ 2 )
=110.744/4153.8595
=2.67 %

* 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 2.67% mean?
Cheerwin Group (HKSE:06601) has a ROA % of 2.67% 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 Cheerwin Group and its competitors. This is 55% below median its historical median of 5.92. Over the past decade, Cheerwin Group's ROA % has ranged from 1.80 to 16.39. According to the industry distribution chart, Cheerwin Group ranks #681 out of 2000 companies in the Consumer Packaged Goods industry, placing it in the top 34%.
Is Cheerwin Group's ROA % too high?
Cheerwin Group's current ROA % of 2.67% is 55% below median its 10-year median of 5.92. Over the past 10 years, this metric has ranged from a low of 1.80 to a high of 16.39. The Consumer Packaged Goods industry median ROA % is 3.36. Cheerwin Group's value of 2.67% is 20.5% below this industry median. Based on the distribution chart, Cheerwin Group ranks #681 out of 2000 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, Cheerwin Group has a GF Score™ of 90/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cheerwin Group's ROA % compare to PG and CL?
According to the Consumer Packaged Goods industry distribution chart, Cheerwin Group ranks #681 out of 2000 companies for ROA %. This puts Cheerwin Group in the upper half of its industry. The industry median ROA % is 3.36. Cheerwin Group's value of 2.67% is 20.5% below this benchmark. Historically, Cheerwin Group's own ROA % has ranged from 1.80 to 16.39 over the past decade. While the company's 10-year median is 5.92 vs. the industry median of 3.36, Cheerwin Group 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 Consumer Packaged Goods company?
The median ROA % among Consumer Packaged Goods companies is 3.36, based on 2,000 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. Cheerwin Group's current ROA % of 2.67% is 20.5% 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 Cheerwin Group and its competitors. For the Consumer Packaged Goods industry, the median ROA % is 3.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cheerwin Group's current ROA % is 2.67%, which is 55% below median its own 10-year median of 5.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cheerwin Group stock overvalued right now?
Based on GuruFocus' analysis, Cheerwin Group (HKSE:06601) is currently considered Modestly Undervalued. The stock's GF Value™ is HK$2.70, compared to a current price of HK$2.30 — trading 14.8% below its estimated fair value. The current ROA % is 2.67%, which is 55% below median its 10-year median of 5.92 and 20.5% below the Consumer Packaged Goods industry median of 3.36. Cheerwin Group's overall GF Score™ is 90/100 with 1 warning sign 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 Cheerwin Group (HKSE:06601), the current ROA % is 2.67% 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 Cheerwin Group (HKSE:06601) Overvalued in 2026?

Based on GuruFocus' analysis, Cheerwin Group stock appears to be undervalued. The current stock price of HK$2.30 is trading 14.8% below its estimated GF Value™ of HK$2.70. GuruFocus considers Cheerwin Group to be Modestly Undervalued.

Key valuation signals for HKSE:06601:

  • ROA %: 2.67% (55% below median its 10-year median of 5.92)
  • GF Value™: HK$2.70 vs. price of HK$2.30 (14.8% below fair value)
  • GF Score™: 90/100 with 1 warning sign
  • Industry Position: 20.5% below the Consumer Packaged Goods median (#681 of 2000)

No single metric tells the full story. See the HKSE:06601 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Cheerwin Group Business Description

Address No. 2, Luju Road, 5th Floor, North Podium Building, Liwan District, Guangdong Province, Guangzhou, CHN, 510370
Cheerwin Group Ltd is an investment holding company. It is mainly engaged in the manufacturing and trading of household insecticides and repellents, household cleaning, air care, personal care, pet stores and pet products, and other products in China. The company's revenue is geographically derived from the PRC.
90GF Score

Get the complete analysis for HKSE:06601

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

HK$2.30
Price
HK$2.70
GF Value