HKSE:08049's ROA % is ranked better than 74.28% of 1003
companies
in the Drug Manufacturers industry
Industry Median: 2.72
vs HKSE:08049: 7.67
Jilin Province Huinan Changlong Bio-pharmacy Co (HKSE:08049) 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.
Jilin Province Huinan Changlong Bio-pharmacy Co ROA % Related Terms
Jilin Province Huinan Changlong Bio-pharmacy Co ROA % Historical 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.
Jilin Province Huinan Changlong Bio-pharmacy Co ROA % Chart
Jilin Province Huinan Changlong Bio-pharmacy Co Annual Data
For the Drug Manufacturers - Specialty & Generic subindustry, Jilin Province Huinan Changlong Bio-pharmacy 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.
Jilin Province Huinan Changlong Bio-pharmacy Co ROA % vs Drug Manufacturers Industry
* 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.
Jilin Province Huinan Changlong Bio-pharmacy Co (HKSE:08049) has a ROA % of 7.25% 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 Jilin Province Huinan Changlong Bio-pharmacy Co and its competitors. This is 10% below median its historical median of 8.05. Over the past decade, Jilin Province Huinan Changlong Bio-pharmacy Co's ROA % has ranged from 6.25 to 13.93. According to the industry distribution chart, Jilin Province Huinan Changlong Bio-pharmacy Co ranks #258 out of 1003 companies in the Drug Manufacturers industry, placing it in the top 25.7%.
Is Jilin Province Huinan Changlong Bio-pharmacy Co's ROA % too high?
Jilin Province Huinan Changlong Bio-pharmacy Co's current ROA % of 7.25% is 10% below median its 10-year median of 8.05. Over the past 10 years, this metric has ranged from a low of 6.25 to a high of 13.93. The Drug Manufacturers industry median ROA % is 2.72. Jilin Province Huinan Changlong Bio-pharmacy Co's value of 7.25% is 166.5% above this industry median. Based on the distribution chart, Jilin Province Huinan Changlong Bio-pharmacy Co ranks #258 out of 1003 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Jilin Province Huinan Changlong Bio-pharmacy Co has a GF Score™ of 81/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Jilin Province Huinan Changlong Bio-pharmacy Co's ROA % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Jilin Province Huinan Changlong Bio-pharmacy Co ranks #258 out of 1003 companies for ROA %. This puts Jilin Province Huinan Changlong Bio-pharmacy Co in the upper half of its industry. The industry median ROA % is 2.72. Jilin Province Huinan Changlong Bio-pharmacy Co's value of 7.25% is 166.5% above this benchmark. Historically, Jilin Province Huinan Changlong Bio-pharmacy Co's own ROA % has ranged from 6.25 to 13.93 over the past decade. While the company's 10-year median is 8.05 vs. the industry median of 2.72, Jilin Province Huinan Changlong Bio-pharmacy Co 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 Drug Manufacturers company?
The median ROA % among Drug Manufacturers companies is 2.72, based on 1,003 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. Jilin Province Huinan Changlong Bio-pharmacy Co's current ROA % of 7.25% is 166.5% 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 Jilin Province Huinan Changlong Bio-pharmacy Co and its competitors. For the Drug Manufacturers industry, the median ROA % is 2.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Jilin Province Huinan Changlong Bio-pharmacy Co's current ROA % is 7.25%, which is 10% below median its own 10-year median of 8.05. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Jilin Province Huinan Changlong Bio-pharmacy Co stock overvalued right now?
Based on GuruFocus' analysis, Jilin Province Huinan Changlong Bio-pharmacy Co (HKSE:08049) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$1.66, compared to a current price of HK$2.31 — trading 39.2% above its estimated fair value. The current ROA % is 7.25%, which is 10% below median its 10-year median of 8.05 and 166.5% above the Drug Manufacturers industry median of 2.72. Jilin Province Huinan Changlong Bio-pharmacy Co's overall GF Score™ is 81/100 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 Jilin Province Huinan Changlong Bio-pharmacy Co (HKSE:08049), the current ROA % is 7.25% 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 Jilin Province Huinan Changlong Bio-pharmacy Co (HKSE:08049) Overvalued in 2026?
Based on GuruFocus' analysis, Jilin Province Huinan Changlong Bio-pharmacy Co stock appears to be overvalued.
The current stock price of HK$2.31 is trading 39.2% above its estimated GF Value™ of HK$1.66.
GuruFocus considers Jilin Province Huinan Changlong Bio-pharmacy Co to be Significantly Overvalued.
Key valuation signals for HKSE:08049:
ROA %: 7.25% (10% below median its 10-year median of 8.05)
GF Value™: HK$1.66 vs. price of HK$2.31 (39.2% above fair value)
Industry Position: 166.5% above the Drug Manufacturers median (#258 of 1003)
No single metric tells the full story. See the HKSE:08049 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Jilin Province Huinan Changlong Bio-pharmacy Co Business Description
Jilin Province Huinan Changlong Bio-pharmacy Co Ltd is principally engaged in the manufacture and distribution of Chinese medicines and pharmaceutical products in the PRC under the brand names of Changlong and Qing Tong. The company has only one business segment. It generates revenue from the Sales of Chinese medicines and pharmaceutical products. Geographically, it derives its entire revenue from the PRC.
81GF Score
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ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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