SHSE:603165's ROA % is ranked better than 67.17% of 399
companies
in the Packaging & Containers industry
Industry Median: 2.73
vs SHSE:603165: 4.78
Zhejiang Rongsheng Environmental Protection Paper Co (SHSE:603165) 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.
Zhejiang Rongsheng Environmental Protection Paper Co ROA % Related Terms
Zhejiang Rongsheng Environmental Protection Paper 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.
Zhejiang Rongsheng Environmental Protection Paper Co ROA % Chart
Zhejiang Rongsheng Environmental Protection Paper Co Annual Data
* 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.
Zhejiang Rongsheng Environmental Protection Paper Co ROA % vs Packaging & Containers 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.
Zhejiang Rongsheng Environmental Protection Paper Co (SHSE:603165) has a ROA % of 6.36% 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 Zhejiang Rongsheng Environmental Protection Paper Co and its competitors. This is 46% below median its historical median of 11.74. Over the past decade, Zhejiang Rongsheng Environmental Protection Paper Co's ROA % has ranged from 4.70 to 35.09. According to the industry distribution chart, Zhejiang Rongsheng Environmental Protection Paper Co ranks #131 out of 399 companies in the Packaging & Containers industry, placing it in the top 32.8%.
Is Zhejiang Rongsheng Environmental Protection Paper Co's ROA % too high?
Zhejiang Rongsheng Environmental Protection Paper Co's current ROA % of 6.36% is 46% below median its 10-year median of 11.74. Over the past 10 years, this metric has ranged from a low of 4.70 to a high of 35.09. The Packaging & Containers industry median ROA % is 2.73. Zhejiang Rongsheng Environmental Protection Paper Co's value of 6.36% is 133% above this industry median. Based on the distribution chart, Zhejiang Rongsheng Environmental Protection Paper Co ranks #131 out of 399 companies in the Packaging & Containers industry, which is above the industry midpoint. Overall, Zhejiang Rongsheng Environmental Protection Paper Co has a GF Score™ of 71/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Zhejiang Rongsheng Environmental Protection Paper Co's ROA % compare to SW and PKG?
According to the Packaging & Containers industry distribution chart, Zhejiang Rongsheng Environmental Protection Paper Co ranks #131 out of 399 companies for ROA %. This puts Zhejiang Rongsheng Environmental Protection Paper Co in the upper half of its industry. The industry median ROA % is 2.73. Zhejiang Rongsheng Environmental Protection Paper Co's value of 6.36% is 133% above this benchmark. Historically, Zhejiang Rongsheng Environmental Protection Paper Co's own ROA % has ranged from 4.70 to 35.09 over the past decade. While the company's 10-year median is 11.74 vs. the industry median of 2.73, Zhejiang Rongsheng Environmental Protection Paper 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 Packaging & Containers company?
The median ROA % among Packaging & Containers companies is 2.73, based on 399 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. Zhejiang Rongsheng Environmental Protection Paper Co's current ROA % of 6.36% is 133% 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 Zhejiang Rongsheng Environmental Protection Paper Co and its competitors. For the Packaging & Containers industry, the median ROA % is 2.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zhejiang Rongsheng Environmental Protection Paper Co's current ROA % is 6.36%, which is 46% below median its own 10-year median of 11.74. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zhejiang Rongsheng Environmental Protection Paper Co stock overvalued right now?
Based on GuruFocus' analysis, Zhejiang Rongsheng Environmental Protection Paper Co (SHSE:603165) is currently considered Modestly Overvalued. The stock's GF Value™ is ¥12.94, compared to a current price of ¥14.70 — trading 13.6% above its estimated fair value. The current ROA % is 6.36%, which is 46% below median its 10-year median of 11.74 and 133% above the Packaging & Containers industry median of 2.73. Zhejiang Rongsheng Environmental Protection Paper Co's overall GF Score™ is 71/100 with 9 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 Zhejiang Rongsheng Environmental Protection Paper Co (SHSE:603165), the current ROA % is 6.36% 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 Zhejiang Rongsheng Environmental Protection Paper Co (SHSE:603165) Overvalued in 2026?
Based on GuruFocus' analysis, Zhejiang Rongsheng Environmental Protection Paper Co stock appears to be overvalued.
The current stock price of ¥14.70 is trading 13.6% above its estimated GF Value™ of ¥12.94.
GuruFocus considers Zhejiang Rongsheng Environmental Protection Paper Co to be Modestly Overvalued.
Key valuation signals for SHSE:603165:
ROA %: 6.36% (46% below median its 10-year median of 11.74)
GF Value™: ¥12.94 vs. price of ¥14.70 (13.6% above fair value)
Industry Position: 133% above the Packaging & Containers median (#131 of 399)
No single metric tells the full story. See the SHSE:603165 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zhejiang Rongsheng Environmental Protection Paper Co Business Description
Zhejiang Rongsheng Environmental Protection Paper Co Ltd is engaged in manufacturing of paper and paper products. Its products include kraft liner board, corrugated cardboard and packaging product.
71GF Score
Get the complete analysis for SHSE:603165
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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