Lushang Freda Pharmaceutical Co (SHSE:600223) ROA %: 2.16% (As of Mar. 2026) — 248% Above Median

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SHSE:600223 Lushang Freda Pharmaceutical Co Ltd SHSE:600223
68 GF Score
Price ¥5.51
GF Value ¥6.56
Valuation Modestly Undervalued
! 2 Warning Signs
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What is Lushang Freda Pharmaceutical Co ROA %?

Lushang Freda Pharmaceutical Co SHSE:600223 +0.36% 68 ROA % is 2.16% as of Mar. 2026, which is 248% above its 10-year median of 0.62. GuruFocus rates SHSE:600223 with a GF Score™ of 68/100 and a GF Value™ of ¥6.56 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,803 Real Estate companies, Lushang Freda Pharmaceutical Co ranks better than 61.45% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Lushang Freda Pharmaceutical Co's annualized Net Income for the quarter that ended in Mar. 2026 was ¥128 Mil. Lushang Freda Pharmaceutical Co's average Total Assets over the quarter that ended in Mar. 2026 was ¥5,894 Mil. Therefore, Lushang Freda Pharmaceutical Co's annualized ROA % for the quarter that ended in Mar. 2026 was 2.16%.

The historical rank and industry rank for Lushang Freda Pharmaceutical Co's ROA % or its related term are showing as below:

SHSE:600223' s ROA % Range Over the Past 10 Years
Min: 0.08   Med: 0.62   Max: 3.52
Current: 2.84

During the past 13 years, Lushang Freda Pharmaceutical Co's highest ROA % was 3.52%. The lowest was 0.08%. And the median was 0.62%.

SHSE:600223's ROA % is ranked better than
61.45% of 1803 companies
in the Real Estate industry
Industry Median: 1.71 vs SHSE:600223: 2.84

Lushang Freda Pharmaceutical Co  (SHSE:600223) 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: Mar. 2026 )
=Net Income/Total Assets
=127.588/5894.0995
=(Net Income / Revenue)*(Revenue / Total Assets)
=(127.588 / 3601.756)*(3601.756 / 5894.0995)
=Net Margin %*Asset Turnover
=3.54 %*0.6111
=2.16 %

Note: The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) 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.


Lushang Freda Pharmaceutical Co ROA % Related Terms


Lushang Freda Pharmaceutical Co ROA % Historical Data

* Premium members only.

The historical data trend for Lushang Freda Pharmaceutical 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.

Lushang Freda Pharmaceutical Co ROA % Chart

Lushang Freda Pharmaceutical 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 0.59 0.08 0.92 3.52 3.17

Lushang Freda Pharmaceutical Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 3.37 3.79 2.28 3.15 2.16

Lushang Freda Pharmaceutical Co ROA % Competitor Comparison

For the Real Estate - Development subindustry, Lushang Freda Pharmaceutical 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.


Lushang Freda Pharmaceutical Co ROA % vs Real Estate Industry

For the Real Estate industry and Real Estate sector, Lushang Freda Pharmaceutical Co's ROA % distribution charts can be found below:

* The bar in red indicates where Lushang Freda Pharmaceutical Co's ROA % falls into.


SHSE:600223
68GF Score
Lushang Freda Pharmaceutical Co Ltd SHSE:600223
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Lushang Freda Pharmaceutical Co ROA % Calculation

Lushang Freda Pharmaceutical 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 )
=187.752/( (6000.331+5857.892)/ 2 )
=187.752/5929.1115
=3.17 %

Lushang Freda Pharmaceutical Co's annualized ROA % for the quarter that ended in Mar. 2026 is calculated as:

ROA %=Net Income (Q: Mar. 2026 )/( (Total Assets (Q: Dec. 2025 )+Total Assets (Q: Mar. 2026 ))/ count )
=127.588/( (5857.892+5930.307)/ 2 )
=127.588/5894.0995
=2.16 %

* 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 (Mar. 2026) net income data. ROA % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 2.16% mean?
Lushang Freda Pharmaceutical Co (SHSE:600223) has a ROA % of 2.16% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Lushang Freda Pharmaceutical Co and its competitors. This is 248% above median its historical median of 0.62. Over the past decade, Lushang Freda Pharmaceutical Co's ROA % has ranged from 0.08 to 3.52. According to the industry distribution chart, Lushang Freda Pharmaceutical Co ranks #695 out of 1803 companies in the Real Estate industry, placing it in the top 38.5%.
Is Lushang Freda Pharmaceutical Co's ROA % too high?
Lushang Freda Pharmaceutical Co's current ROA % of 2.16% is 248% above median its 10-year median of 0.62. Over the past 10 years, this metric has ranged from a low of 0.08 to a high of 3.52. The Real Estate industry median ROA % is 1.71. Lushang Freda Pharmaceutical Co's value of 2.16% is 26.3% above this industry median. Based on the distribution chart, Lushang Freda Pharmaceutical Co ranks #695 out of 1803 companies in the Real Estate industry, which is above the industry midpoint. Overall, Lushang Freda Pharmaceutical Co has a GF Score™ of 68/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lushang Freda Pharmaceutical Co's ROA % compare to competitors?
According to the Real Estate industry distribution chart, Lushang Freda Pharmaceutical Co ranks #695 out of 1803 companies for ROA %. This puts Lushang Freda Pharmaceutical Co in the upper half of its industry. The industry median ROA % is 1.71. Lushang Freda Pharmaceutical Co's value of 2.16% is 26.3% above this benchmark. Historically, Lushang Freda Pharmaceutical Co's own ROA % has ranged from 0.08 to 3.52 over the past decade. While the company's 10-year median is 0.62 vs. the industry median of 1.71, Lushang Freda Pharmaceutical 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 Real Estate company?
The median ROA % among Real Estate companies is 1.71, based on 1,803 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. Lushang Freda Pharmaceutical Co's current ROA % of 2.16% is 26.3% 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 Lushang Freda Pharmaceutical Co and its competitors. For the Real Estate industry, the median ROA % is 1.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lushang Freda Pharmaceutical Co's current ROA % is 2.16%, which is 248% above median its own 10-year median of 0.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lushang Freda Pharmaceutical Co stock overvalued right now?
Based on GuruFocus' analysis, Lushang Freda Pharmaceutical Co (SHSE:600223) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥6.56, compared to a current price of ¥5.51 — trading 16% below its estimated fair value. The current ROA % is 2.16%, which is 248% above median its 10-year median of 0.62 and 26.3% above the Real Estate industry median of 1.71. Lushang Freda Pharmaceutical Co's overall GF Score™ is 68/100 with 2 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 Lushang Freda Pharmaceutical Co (SHSE:600223), the current ROA % is 2.16% as of Mar. 2026. 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 Lushang Freda Pharmaceutical Co (SHSE:600223) Overvalued in 2026?

Based on GuruFocus' analysis, Lushang Freda Pharmaceutical Co stock appears to be undervalued. The current stock price of ¥5.51 is trading 16% below its estimated GF Value™ of ¥6.56. GuruFocus considers Lushang Freda Pharmaceutical Co to be Modestly Undervalued.

Key valuation signals for SHSE:600223:

  • ROA %: 2.16% (248% above median its 10-year median of 0.62)
  • GF Value™: ¥6.56 vs. price of ¥5.51 (16% below fair value)
  • GF Score™: 68/100 with 2 warning signs
  • Industry Position: 26.3% above the Real Estate median (#695 of 1803)

No single metric tells the full story. See the SHSE:600223 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Lushang Freda Pharmaceutical Co Business Description

Address No. 9777 Jingshi Road, Building 5, Lixia District, Jinan City, CHN
Lushang Freda Pharmaceutical Co Ltd formerly Lushang Health Industry Development Co Ltd is a real estate developer in China. The company is engaged in the development of office buildings, infrastructure, apartments, and hotels.
68GF Score

Get the complete analysis for SHSE:600223

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

¥5.51
Price
¥6.56
GF Value