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ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. China Merchants Energy Shipping Co's annualizedNet Income for the quarter that ended in Mar. 2026 was ¥11,054 Mil.
China Merchants Energy Shipping Co's average Total Assets over the quarter that ended in Mar. 2026 was ¥83,660 Mil. Therefore, China Merchants Energy Shipping Co's annualized ROA % for the quarter that ended in Mar. 2026 was 13.21%.
SHSE:601872'
s ROA % Range Over the Past 10 Years
Min: 2.07 Med: 5.41 Max: 10
Current: 10
During the past 13 years, China Merchants Energy Shipping Co's highest ROA % was 10.00%. The lowest was 2.07%. And the median was 5.41%.
SHSE:601872's ROA % is ranked better than 86.52% of 1024
companies
in the Oil & Gas industry
Industry Median: 1.93
vs SHSE:601872: 10.00
China Merchants Energy Shipping Co (SHSE:601872) 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 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.
China Merchants Energy Shipping Co ROA % Related Terms
China Merchants Energy Shipping 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.
For the Oil & Gas Midstream subindustry, China Merchants Energy Shipping 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.
China Merchants Energy Shipping Co ROA % vs Oil & Gas 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 four times the quarterly (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
China Merchants Energy Shipping Co (SHSE:601872) has a ROA % of 13.21% 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 China Merchants Energy Shipping Co and its competitors. This is 144% above median its historical median of 5.41. Over the past decade, China Merchants Energy Shipping Co's ROA % has ranged from 2.07 to 10.00. According to the industry distribution chart, China Merchants Energy Shipping Co ranks #138 out of 1024 companies in the Oil & Gas industry, placing it in the top 13.5%.
Is China Merchants Energy Shipping Co's ROA % too high?
China Merchants Energy Shipping Co's current ROA % of 13.21% is 144% above median its 10-year median of 5.41. Over the past 10 years, this metric has ranged from a low of 2.07 to a high of 10.00. The Oil & Gas industry median ROA % is 1.93. China Merchants Energy Shipping Co's value of 13.21% is 584.5% above this industry median. Based on the distribution chart, China Merchants Energy Shipping Co ranks #138 out of 1024 companies in the Oil & Gas industry, which is in the top quartile — a strong position relative to peers. Overall, China Merchants Energy Shipping Co has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does China Merchants Energy Shipping Co's ROA % compare to WMB and EPD?
According to the Oil & Gas industry distribution chart, China Merchants Energy Shipping Co ranks #138 out of 1024 companies for ROA %. This places China Merchants Energy Shipping Co in the top 14% of its industry — outperforming the majority of peers. The industry median ROA % is 1.93. China Merchants Energy Shipping Co's value of 13.21% is 584.5% above this benchmark. Historically, China Merchants Energy Shipping Co's own ROA % has ranged from 2.07 to 10.00 over the past decade. While the company's 10-year median is 5.41 vs. the industry median of 1.93, China Merchants Energy Shipping 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 Oil & Gas company?
The median ROA % among Oil & Gas companies is 1.93, based on 1,024 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. China Merchants Energy Shipping Co's current ROA % of 13.21% is 584.5% 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 China Merchants Energy Shipping Co and its competitors. For the Oil & Gas industry, the median ROA % is 1.93 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Merchants Energy Shipping Co's current ROA % is 13.21%, which is 144% above median its own 10-year median of 5.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Merchants Energy Shipping Co stock overvalued right now?
Based on GuruFocus' analysis, China Merchants Energy Shipping Co (SHSE:601872) is currently considered Significantly Overvalued. The stock's GF Value™ is ¥8.60, compared to a current price of ¥15.70 — trading 82.6% above its estimated fair value. The current ROA % is 13.21%, which is 144% above median its 10-year median of 5.41 and 584.5% above the Oil & Gas industry median of 1.93. China Merchants Energy Shipping Co's overall GF Score™ is 63/100 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 China Merchants Energy Shipping Co (SHSE:601872), the current ROA % is 13.21% 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 China Merchants Energy Shipping Co (SHSE:601872) Overvalued in 2026?
Based on GuruFocus' analysis, China Merchants Energy Shipping Co stock appears to be overvalued.
The current stock price of ¥15.70 is trading 82.6% above its estimated GF Value™ of ¥8.60.
GuruFocus considers China Merchants Energy Shipping Co to be Significantly Overvalued.
Key valuation signals for SHSE:601872:
ROA %: 13.21% (144% above median its 10-year median of 5.41)
GF Value™: ¥8.60 vs. price of ¥15.70 (82.6% above fair value)
Industry Position: 584.5% above the Oil & Gas median (#138 of 1024)
No single metric tells the full story. See the SHSE:601872 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
China Merchants Energy Shipping Co Business Description
China Merchants Energy Shipping Co Ltd is a China-based company that engages in tanker transportation, bulk cargo vessel transportation, and liquid natural gas (LNG) vessel transportation. It provides a full range of energy transportation services running a large diversity of vessels, including crude oil tankers, dry bulk carriers, and LNG carriers. It provides services to customers from China, Japan, Korea, Southeast Asia, the United States, and other countries.
63GF Score
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