Ching Chan Optical Technology Co (ROCO:2070) ROA %: 10.40% (As of Dec. 2025) — 70% Above Median


ROCO:2070 Ching Chan Optical Technology Co Ltd ROCO:2070
77 GF Score
Price NT$63.10
GF Value NT$42.14
Valuation Significantly Overvalued
! 1 Warning Sign
View Full Analysis

What is Ching Chan Optical Technology Co ROA %?

Ching Chan Optical Technology Co ROCO:2070 +1.45% 77 ROA % is 10.40% as of Dec. 2025, which is 70% above its 10-year median of 6.11. GuruFocus rates ROCO:2070 with a GF Score™ of 77/100 and a GF Value™ of NT$42.14 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 3,074 Industrial Products companies, Ching Chan Optical Technology Co ranks better than 69.36% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Ching Chan Optical Technology Co's annualized Net Income for the quarter that ended in Dec. 2025 was NT$150.4 Mil. Ching Chan Optical Technology Co's average Total Assets over the quarter that ended in Dec. 2025 was NT$1,445.3 Mil. Therefore, Ching Chan Optical Technology Co's annualized ROA % for the quarter that ended in Dec. 2025 was 10.40%.

The historical rank and industry rank for Ching Chan Optical Technology Co's ROA % or its related term are showing as below:

ROCO:2070' s ROA % Range Over the Past 10 Years
Min: -3.28   Med: 6.11   Max: 7.32
Current: 5.79

During the past 13 years, Ching Chan Optical Technology Co's highest ROA % was 7.32%. The lowest was -3.28%. And the median was 6.11%.

ROCO:2070's ROA % is ranked better than
69.36% of 3074 companies
in the Industrial Products industry
Industry Median: 3.02 vs ROCO:2070: 5.79

Ching Chan Optical Technology Co  (ROCO:2070) 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
=150.356/1445.271
=(Net Income / Revenue)*(Revenue / Total Assets)
=(150.356 / 851.136)*(851.136 / 1445.271)
=Net Margin %*Asset Turnover
=17.67 %*0.5889
=10.40 %

Note: The Net Income data used here is four times the quarterly (Dec. 2025) net income data. The Revenue data used here is four times the quarterly (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.


Ching Chan Optical Technology Co ROA % Related Terms


Ching Chan Optical Technology Co ROA % Historical Data

* Premium members only.

The historical data trend for Ching Chan Optical Technology Co'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.

Ching Chan Optical Technology Co ROA % Chart

Ching Chan Optical Technology Co 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 6.31 6.12 5.63 7.32 6.10

Ching Chan Optical Technology Co Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 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 7.62 4.59 0.70 7.14 10.40

ROCO:2070 vs GEV, ETN, PH: ROA % Comparison

For the Specialty Industrial Machinery subindustry, Ching Chan Optical Technology 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.


Ching Chan Optical Technology Co ROA % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Ching Chan Optical Technology Co's ROA % distribution charts can be found below:

* The bar in red indicates where Ching Chan Optical Technology Co's ROA % falls into.


ROCO:2070
77GF Score
Ching Chan Optical Technology Co Ltd ROCO:2070
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Ching Chan Optical Technology Co ROA % Calculation

Ching Chan Optical Technology Co'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 )
=82.15/( (1282.376+1409.59)/ 2 )
=82.15/1345.983
=6.10 %

Ching Chan Optical Technology Co's annualized ROA % for the quarter that ended in Dec. 2025 is calculated as:

ROA %=Net Income (Q: Dec. 2025 )/( (Total Assets (Q: Sep. 2025 )+Total Assets (Q: Dec. 2025 ))/ count )
=150.356/( (1480.952+1409.59)/ 2 )
=150.356/1445.271
=10.40 %

* 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 four times the quarterly (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 10.40% mean?
Ching Chan Optical Technology Co (ROCO:2070) has a ROA % of 10.40% 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 Ching Chan Optical Technology Co and its competitors. This is 70% above median its historical median of 6.11. According to the industry distribution chart, Ching Chan Optical Technology Co ranks #942 out of 3074 companies in the Industrial Products industry, placing it in the top 30.6%.
Is Ching Chan Optical Technology Co's ROA % too high?
Ching Chan Optical Technology Co's current ROA % of 10.40% is 70% above median its 10-year median of 6.11. The Industrial Products industry median ROA % is 3.02. Ching Chan Optical Technology Co's value of 10.40% is 244.4% above this industry median. Based on the distribution chart, Ching Chan Optical Technology Co ranks #942 out of 3074 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Ching Chan Optical Technology Co has a GF Score™ of 77/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ching Chan Optical Technology Co's ROA % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Ching Chan Optical Technology Co ranks #942 out of 3074 companies for ROA %. This puts Ching Chan Optical Technology Co in the upper half of its industry. The industry median ROA % is 3.02. Ching Chan Optical Technology Co's value of 10.40% is 244.4% above this benchmark. While the company's 10-year median is 6.11 vs. the industry median of 3.02, Ching Chan Optical Technology 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 an Industrial Products company?
The median ROA % among Industrial Products companies is 3.02, based on 3,074 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. Ching Chan Optical Technology Co's current ROA % of 10.40% is 244.4% 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 Ching Chan Optical Technology Co and its competitors. For the Industrial Products industry, the median ROA % is 3.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ching Chan Optical Technology Co's current ROA % is 10.40%, which is 70% above median its own 10-year median of 6.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ching Chan Optical Technology Co stock overvalued right now?
Based on GuruFocus' analysis, Ching Chan Optical Technology Co (ROCO:2070) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$42.14, compared to a current price of NT$63.10 — trading 49.7% above its estimated fair value. The current ROA % is 10.40%, which is 70% above median its 10-year median of 6.11 and 244.4% above the Industrial Products industry median of 3.02. Ching Chan Optical Technology Co's overall GF Score™ is 77/100 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 Ching Chan Optical Technology Co (ROCO:2070), the current ROA % is 10.40% 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 Ching Chan Optical Technology Co (ROCO:2070) Overvalued in 2026?

Based on GuruFocus' analysis, Ching Chan Optical Technology Co stock appears to be overvalued. The current stock price of NT$63.10 is trading 49.7% above its estimated GF Value™ of NT$42.14. GuruFocus considers Ching Chan Optical Technology Co to be Significantly Overvalued.

Key valuation signals for ROCO:2070:

  • ROA %: 10.40% (70% above median its 10-year median of 6.11)
  • GF Value™: NT$42.14 vs. price of NT$63.10 (49.7% above fair value)
  • GF Score™: 77/100 with 1 warning sign
  • Industry Position: 244.4% above the Industrial Products median (#942 of 3074)

No single metric tells the full story. See the ROCO:2070 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Ching Chan Optical Technology Co Business Description

Address Number 58, Lane 110, Zhongxiao Street, Hunei District, Kaohsiung, TWN
Ching Chan Optical Technology Co Ltd is engaged in providing screening equipment and other products. The company offers Screening Machine, Forming Machine, Pressure sensor, Intelligent automatic car handling system, and surveillance system among others.
77GF Score

Get the complete analysis for ROCO:2070

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

NT$63.10
Price
NT$42.14
GF Value