SHSE:603275's ROA % is ranked better than 67.47% of 3077
companies
in the Industrial Products industry
Industry Median: 3.05
vs SHSE:603275: 5.45
Shanghai Zhongchen Electronic Technology Co (SHSE:603275) 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.
Shanghai Zhongchen Electronic Technology Co ROA % Related Terms
Shanghai Zhongchen Electronic Technology 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.
Shanghai Zhongchen Electronic Technology Co ROA % Chart
Shanghai Zhongchen Electronic Technology Co Annual Data
For the Electrical Equipment & Parts subindustry, Shanghai Zhongchen Electronic 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.
Shanghai Zhongchen Electronic Technology Co ROA % vs Industrial Products 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.
Shanghai Zhongchen Electronic Technology Co (SHSE:603275) has a ROA % of 5.28% 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 Shanghai Zhongchen Electronic Technology Co and its competitors. This is 67% below median its historical median of 16.13. Over the past decade, Shanghai Zhongchen Electronic Technology Co's ROA % has ranged from 5.45 to 30.08. According to the industry distribution chart, Shanghai Zhongchen Electronic Technology Co ranks #1001 out of 3077 companies in the Industrial Products industry, placing it in the top 32.5%.
Is Shanghai Zhongchen Electronic Technology Co's ROA % too high?
Shanghai Zhongchen Electronic Technology Co's current ROA % of 5.28% is 67% below median its 10-year median of 16.13. Over the past 10 years, this metric has ranged from a low of 5.45 to a high of 30.08. The Industrial Products industry median ROA % is 3.05. Shanghai Zhongchen Electronic Technology Co's value of 5.28% is 73.1% above this industry median. Based on the distribution chart, Shanghai Zhongchen Electronic Technology Co ranks #1001 out of 3077 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Shanghai Zhongchen Electronic Technology Co has a GF Score™ of 64/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shanghai Zhongchen Electronic Technology Co's ROA % compare to VRT and BE?
According to the Industrial Products industry distribution chart, Shanghai Zhongchen Electronic Technology Co ranks #1001 out of 3077 companies for ROA %. This puts Shanghai Zhongchen Electronic Technology Co in the upper half of its industry. The industry median ROA % is 3.05. Shanghai Zhongchen Electronic Technology Co's value of 5.28% is 73.1% above this benchmark. Historically, Shanghai Zhongchen Electronic Technology Co's own ROA % has ranged from 5.45 to 30.08 over the past decade. While the company's 10-year median is 16.13 vs. the industry median of 3.05, Shanghai Zhongchen Electronic 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 3.05, based on 3,077 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. Shanghai Zhongchen Electronic Technology Co's current ROA % of 5.28% is 73.1% 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 Shanghai Zhongchen Electronic Technology Co and its competitors. For the Industrial Products industry, the median ROA % is 3.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shanghai Zhongchen Electronic Technology Co's current ROA % is 5.28%, which is 67% below median its own 10-year median of 16.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shanghai Zhongchen Electronic Technology Co stock overvalued right now?
Based on GuruFocus' analysis, Shanghai Zhongchen Electronic Technology Co (SHSE:603275) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥45.97, compared to a current price of ¥35.30 — trading 23.2% below its estimated fair value. The current ROA % is 5.28%, which is 67% below median its 10-year median of 16.13 and 73.1% above the Industrial Products industry median of 3.05. Shanghai Zhongchen Electronic Technology Co's overall GF Score™ is 64/100 with 3 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 Shanghai Zhongchen Electronic Technology Co (SHSE:603275), the current ROA % is 5.28% 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 Shanghai Zhongchen Electronic Technology Co (SHSE:603275) Overvalued in 2026?
Based on GuruFocus' analysis, Shanghai Zhongchen Electronic Technology Co stock appears to be undervalued.
The current stock price of ¥35.30 is trading 23.2% below its estimated GF Value™ of ¥45.97.
GuruFocus considers Shanghai Zhongchen Electronic Technology Co to be Modestly Undervalued.
Key valuation signals for SHSE:603275:
ROA %: 5.28% (67% below median its 10-year median of 16.13)
GF Value™: ¥45.97 vs. price of ¥35.30 (23.2% below fair value)
Industry Position: 73.1% above the Industrial Products median (#1001 of 3077)
No single metric tells the full story. See the SHSE:603275 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shanghai Zhongchen Electronic Technology Co Business Description
Shanghai Zhongchen Electronic Technology Co Ltd is a high-tech enterprise focusing on the research and development, production, sales and service of electric transmission and industrial automation products. The company's main products are variable frequency drives, servo drive systems and electric new energy vehicle drives. The company has a wide range of products, among which medium and low-voltage variable frequency drives are divided into two categories: general-purpose products and industry-specific products.
64GF 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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