Lafang China Co (SHSE:603630) ROA %: 3.99% (As of Mar. 2026) — 25% Above Median

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SHSE:603630 Lafang China Co Ltd SHSE:603630
64 GF Score
Price ¥15.20
GF Value ¥17.32
Valuation Modestly Undervalued
! 2 Warning Signs
View Full Analysis

What is Lafang China Co ROA %?

Lafang China Co SHSE:603630 +2.70% 64 ROA % is 3.99% as of Mar. 2026, which is 25% above its 10-year median of 3.18. GuruFocus rates SHSE:603630 with a GF Score™ of 64/100 and a GF Value™ of ¥17.32 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,995 Consumer Packaged Goods companies, Lafang China Co ranks worse than 75.84% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Lafang China Co's annualized Net Income for the quarter that ended in Mar. 2026 was ¥85.8 Mil. Lafang China Co's average Total Assets over the quarter that ended in Mar. 2026 was ¥2,150.6 Mil. Therefore, Lafang China Co's annualized ROA % for the quarter that ended in Mar. 2026 was 3.99%.

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

SHSE:603630' s ROA % Range Over the Past 10 Years
Min: -1.46   Med: 3.18   Max: 15.31
Current: -1.05

During the past 13 years, Lafang China Co's highest ROA % was 15.31%. The lowest was -1.46%. And the median was 3.18%.

SHSE:603630's ROA % is ranked worse than
75.84% of 1995 companies
in the Consumer Packaged Goods industry
Industry Median: 3.32 vs SHSE:603630: -1.05

Lafang China Co  (SHSE:603630) 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
=85.844/2150.552
=(Net Income / Revenue)*(Revenue / Total Assets)
=(85.844 / 893.02)*(893.02 / 2150.552)
=Net Margin %*Asset Turnover
=9.61 %*0.4153
=3.99 %

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.


Lafang China Co ROA % Related Terms


Lafang China Co ROA % Historical Data

* Premium members only.

The historical data trend for Lafang China 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.

Lafang China Co ROA % Chart

Lafang China 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 3.34 2.79 3.02 1.91 -1.46

Lafang China 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 2.41 -1.23 1.14 -8.14 3.99

SHSE:603630 vs PG, CL, KVUE: ROA % Comparison

For the Household & Personal Products subindustry, Lafang China 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.


Lafang China Co ROA % vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Lafang China Co's ROA % distribution charts can be found below:

* The bar in red indicates where Lafang China Co's ROA % falls into.


SHSE:603630
64GF Score
Lafang China Co Ltd SHSE:603630
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Lafang China Co ROA % Calculation

Lafang China 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 )
=-31.154/( (2146.427+2121.611)/ 2 )
=-31.154/2134.019
=-1.46 %

Lafang China 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 )
=85.844/( (2121.611+2179.493)/ 2 )
=85.844/2150.552
=3.99 %

* 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 3.99% mean?
Lafang China Co (SHSE:603630) has a ROA % of 3.99% 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 Lafang China Co and its competitors. This is 25% above median its historical median of 3.18. According to the industry distribution chart, Lafang China Co ranks #1513 out of 1995 companies in the Consumer Packaged Goods industry, placing it in the top 75.8%.
Is Lafang China Co's ROA % too high?
Lafang China Co's current ROA % of 3.99% is 25% above median its 10-year median of 3.18. The Consumer Packaged Goods industry median ROA % is 3.32. Lafang China Co's value of 3.99% is 20.2% above this industry median. Based on the distribution chart, Lafang China Co ranks #1513 out of 1995 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers. Overall, Lafang China 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 Lafang China Co's ROA % compare to PG and CL?
According to the Consumer Packaged Goods industry distribution chart, Lafang China Co ranks #1513 out of 1995 companies for ROA %. This places Lafang China Co in the lower half of its industry. The industry median ROA % is 3.32. Lafang China Co's value of 3.99% is 20.2% above this benchmark. While the company's 10-year median is 3.18 vs. the industry median of 3.32, Lafang China 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 Consumer Packaged Goods company?
The median ROA % among Consumer Packaged Goods companies is 3.32, based on 1,995 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. Lafang China Co's current ROA % of 3.99% is 20.2% 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 Lafang China Co and its competitors. For the Consumer Packaged Goods industry, the median ROA % is 3.32 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lafang China Co's current ROA % is 3.99%, which is 25% above median its own 10-year median of 3.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lafang China Co stock overvalued right now?
Based on GuruFocus' analysis, Lafang China Co (SHSE:603630) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥17.32, compared to a current price of ¥15.20 — trading 12.2% below its estimated fair value. The current ROA % is 3.99%, which is 25% above median its 10-year median of 3.18 and 20.2% above the Consumer Packaged Goods industry median of 3.32. Lafang China Co's overall GF Score™ is 64/100 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 Lafang China Co (SHSE:603630), the current ROA % is 3.99% 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 Lafang China Co (SHSE:603630) Overvalued in 2026?

Based on GuruFocus' analysis, Lafang China Co stock appears to be undervalued. The current stock price of ¥15.20 is trading 12.2% below its estimated GF Value™ of ¥17.32. GuruFocus considers Lafang China Co to be Modestly Undervalued.

Key valuation signals for SHSE:603630:

  • ROA %: 3.99% (25% above median its 10-year median of 3.18)
  • GF Value™: ¥17.32 vs. price of ¥15.20 (12.2% below fair value)
  • GF Score™: 64/100 with 2 warning signs
  • Industry Position: 20.2% above the Consumer Packaged Goods median (#1513 of 1995)

No single metric tells the full story. See the SHSE:603630 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Lafang China Co Business Description

Address Longjiang Road, Lafang Building, Wanji Industrial Zone, Guangdong Province, Chaonan District, Shantou, CHN, 515041
Lafang China Co Ltd research and development, production and sales of daily chemical products.
64GF Score

Get the complete analysis for SHSE:603630

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

¥15.20
Price
¥17.32
GF Value